By Denise Aubourg of Electrify Illawarra

There have never been more incentives to install solar panels and batteries in our homes. These installs can significantly cut our energy bills and carbon footprint. But there are different things on offer by Federal, State and Local governments… Ahhhh – so confusing!

So, here’s a quick summary of how you can access these incentives:

• Roughly 30% subsidy on rooftop solar and batteries from the Federal Government. Typically handled by the solar installer and included in their quote. You can only claim once on batteries and they need to be installed on a new or existing solar system.
• If you’re in a unit-complex, your body corporate or strata manager can apply for the NSW Solar for Apartment Residents (SOAR) grant of up to $150k for rooftop solar. You’ll need to be quick, it’s a complicated application process and applications close on 1 December 2025.
• You can get a further discount if you sign up to your local Council's recently announced Community Renewables Program. The solar-battery bulk & Virtual Power Plant (VPP) offer is for all Wollongong, Shellharbour, Kiama and Shoalhaven residents. To find out more, register your interest at www.shinehub/ISJO and attend one of the Community Meetings being scheduled for late August/September. The federal solar and battery rebate will automatically be applied on top of the bulk buy discount.
• Consider joining a Virtual Power Plant (VPP). There’s a NSW government incentive of $400-$500 for a 10kWh battery (up to $1,500 for a 27kWh battery) for the first time you sign up to a VPP. The VPP operator will provide the incentive as an upfront payment, instalment or credit off your power bill.
• If you’re willing to be more hands-on, you could also switch to a retailer, like Amber, that allows you to access the wholesale electricity market.

What’s a Virtual Power Plant (VPP)?

A VPP is a network of batteries that can work together to act like a larger power plant supplying energy to the grid when needed by drawing a limited amount of energy from each battery. 

VPPs help stabilise the grid, reduce peak loads and provide a financial return to the owners of the batteries of about $300 a year.

VPP plans vary in terms of the amount of energy that can be drawn from your battery and how much you are paid, so you need to review the terms and conditions carefully. The SolarQuotes website provides a good comparison of VPPs.

How much do I need?

A 10kW solar system and 10-15kW battery is about right for the average two-person home.

A 5kW solar system is enough to support the average two-person home including an electric vehicle in summer but not quite enough in winter.