How much do solar and batteries cost? (mid-tier)
For most Australian homeowners, a mid-tier system is the appropriate benchmark. The figures below are already net of the federal Cheaper Home Batteries Program rebate at the current STC clearing-house price, and reflect mid-tier equipment installed by accredited retailers in major cities.
| System | Installed price (after rebate) | Cost per kW (solar) | Cost per kWh (battery) |
|---|---|---|---|
| 6.6kW solar + 6kWh battery | $10,900 – $14,900 | $760 – $1,400 | $985 |
| 6.6kW solar + 10kWh battery | $14,780 – $18,780 | $760 – $1,400 | $980 |
| 10kW solar + 15kWh battery | $21,940 – $26,940 | $800 – $1,300 | $930 |
Across these configurations, solar accounts for 50-60% of the total installed cost and the battery accounts for 40-50%. Quotes materially above this range usually reflect premium brands or unusually complex installs. Quotes materially below it usually reflect either aggressive hardware pricing from newer market entrants or thinned-out installer margins, and the difference matters.
How much does solar cost on its own? (mid-tier)
Solar without a battery sits well below the combined-system numbers above. A 6.6kW solar-only install in 2026 typically lands between $4,000 and $8,000 after the federal rebate, depending on inverter brand and installation complexity. Adding a battery later is more expensive than adding it at the time of the original install, but it remains a defensible deferred decision while battery prices continue to fall.
| System Size | Number of Panels | Average Price |
|---|---|---|
| 3kW | 7-10 | $2,500 – $4,000 |
| 5kW | 12-17 | $3,500 – $7,000 |
| 6.6kW | 16-20 | $4,000 – $8,000 |
| 10kW | 24-30 | $7,000 – $12,000 |
| 13kW | 31-40 | $9,000 – $14,000 |
How much does a battery cost on its own? (mid-tier)
Adding a battery to an existing solar system is a separate cost question. The federal rebate applies the same way, 9.3 STCs per kWh of usable capacity, capped at the first 50kWh, but the per-kWh installed cost is typically slightly higher than buying a battery as part of a combined install, because the fixed labour and design overhead is spread across a smaller job.
The table below covers mid-tier battery-only installs in 2025-26, retrofitted to an existing solar system, after the federal rebate.
| Battery size | Installed price (after rebate) | Cost per kWh |
|---|---|---|
| 5 kWh | $5,500 – $7,500 | $1,100 – $1,500 |
| 10 kWh | $9,500 – $13,500 | $950 – $1,350 |
| 13.5 kWh | $12,000 – $15,500 | $890 – $1,150 |
| 15 kWh | $13,500 – $17,000 | $900 – $1,130 |
| 20 kWh | $17,500 – $22,000 | $875 – $1,100 |
Two factors push the per-kWh cost up at smaller capacities. The first is the rebate cap structure the federal program incentivises batteries between 5 and 100kWh, with the discount applied to the first 50kWh, so a 5kWh battery captures the smallest rebate in dollar terms. The second is install economics: an installer’s day on site costs roughly the same whether they’re fitting a 5kWh unit or a 15kWh unit, so the labour-per-kWh falls as capacity rises.
A second decision sits underneath the price: AC-coupled or DC-coupled. Retrofitting a battery to an existing string-inverter solar system is almost always an AC-coupled install, which adds a battery inverter to the bill (typically $1,500-$3,000 of the totals above). DC-coupling is generally only available if the original solar inverter was a hybrid, in which case the retrofit is materially cheaper, often $1,000-$2,000 less for the same battery capacity.
What affects the price?
Four factors do most of the work in determining where any individual quote lands within the ranges above. System size and modularity affect economies of scale. Larger systems typically have a lower cost per kW. Installation complexity adds variable labour cost: distance from the switchboard, multi-storey access, three-phase work, and switchboard upgrades can each add hundreds to thousands of dollars to a quote. Brand tier sets the floor. Premium European inverters and panels command premiums of 20-40% over mainstream Chinese-made equivalents. And location adds a regional cost layer, with non-metro areas typically paying 5-15% more for the same install.
Government rebates and incentives
Two layers of public funding sit on top of every residential install. The federal Cheaper Home Batteries Program, delivered through Small-scale Technology Certificates (STCs), provides 9.3 STCs per kWh of usable battery capacity in the 2025-26 financial year, worth approximately $372 per kWh at the current $40 clearing-house price, capped at the first 50kWh of a battery between 5 and 100kWh. The federal solar rebate runs in parallel for the panel side. State-level schemes, interest-free loans in Victoria and the ACT, and direct rebates in NSW sit on top of the federal layer and vary widely. The federal program steps down annually until 2030, so the dollar value of waiting falls each year.
Return on investment and savings
After rebates, payback periods for combined solar-and-battery systems typically range from 7-14 years, depending on system size, household consumption profile, and the prevailing feed-in tariff. A 10kWh battery that previously paid back in around 10.4 years now drops to roughly 8.5 years under the same consumption assumptions. Annual savings from a 10kWh battery sit between $642 and $2,742, depending on tariff structure and self-consumption rate.
There is an important caveat. Battery warranties typically run 10 years, and for some households, the payback period can approach or exceed that warranty mark. Sizing the battery to actual consumption, not to maximum capacity, remains the single biggest lever for keeping the maths in your favour.
Financing and payment options
Three main payment routes are common in residential solar. Paying upfront in cash avoids any interest, but ties up capital. Loans have the added interest cost but can ideally be structured as cash flow positive (Note: Green loans and personal loans are functionally similar products with different marketing, green loans sometimes carry lower interest rates pitched at sustainability investments, but the underlying credit product is largely the same). Lastly there are, Power Purchase Agreements (PPAs) which shift system ownership to a third party who sells you the electricity at a fixed rate. This method is not as popular in Australia as it is in the United States.
Is it worth buying second-hand solar panels?
Used panels appear regularly on classifieds at a fraction of new prices, but the federal rebate only applies to new equipment, and most installers will decline to fit second-hand panels because the warranty exposure sits on them. The arithmetic rarely works out as favourably as the sticker price suggests.
