In-depth analysis of Australia's PV-energy storage market in 2025

NANJING, China — May 27, 2025 — Australia has one of the highest rates of rooftop solar adoption in the world and is now scaling home battery installations to match. For overseas manufacturers, the market is attractive but the buying pattern is specific: Australian customers are increasingly configuring PV-plus-storage as a single household decision, rather than adding storage as an afterthought. The data below summarises the policy backdrop and the market signals relevant to product planning.

Scale of rooftop solar

Rooftop PV penetration in Australia is above 30% of households. The Clean Energy Regulator (CER) recorded more than 4.0 million rooftop PV systems by the end of 2024, with cumulative capacity exceeding 25 GW — 2024 alone added roughly 3.1–3.2 GW, near an annual record. New South Wales leads in rooftop capacity at around 6.6 GW. Source: Clean Energy Regulator quarterly reports.

Home battery uptake

Home battery installations have been growing alongside PV, though from a much smaller base. CER figures place cumulative home battery systems in the low hundreds of thousands as of mid-2024, with roughly 10% of new PV installations in 2024 being battery-connected, up from around 8% in 2023. Growth accelerated further in 2025 with the launch of the federal Cheaper Home Batteries program.

Policy drivers

The Australian federal government and state governments run several programs that shape demand for storage:

• Small-scale Renewable Energy Scheme (SRES) — lets rooftop solar and battery owners earn Small-scale Technology Certificates (STCs) through the CER.
• Battery Breakthrough Initiative — A$523 million program delivered by ARENA to support domestic battery manufacturing capability.
• Solar Sunshot — A$1 billion ARENA program to develop local PV supply chain manufacturing.
• State incentives — zero-interest loans and rebates in several states (e.g. ACT's Sustainable Homes program, Victoria's Solar Homes rebate and interest-free loan). Programs update frequently; buyers should check current state rules at the time of installation.

Program details are published by ARENA and individual state energy agencies.

Economic case for storage

Two market features drive the storage decision in Australia:

• High retail tariffs with time-of-use structure. Many households are on multi-rate tariffs with Peak, Off-peak and Shoulder periods. The spread between peak and off-peak is wide enough that shifting consumption to stored solar can materially reduce bills. Average retail prices vary by state — for reference, a Finder comparison published in April 2025 showed South Australia at roughly 44.4¢/kWh and Victoria at roughly 26.1¢/kWh.
• Low and declining feed-in tariffs. Export tariffs paid by retailers for rooftop PV are typically a fraction of the retail rate and have been falling, which reduces the economics of exporting and strengthens the case for self-consumption.

Comparison of average electricity prices across Australian states using Finder

Storage outlook to 2050

The Australian Energy Market Operator (AEMO) publishes the Integrated System Plan (ISP), which models the storage needed under different transition scenarios. The widely cited figure of storage growing from about 2 GW to around 61 GW by 2050 comes from AEMO's 2023 ISP under the "Step Change" scenario — it is a planning model, not a government target. The 2024 ISP revised the Step Change figure to roughly 49 GW, and the draft 2026 ISP indicates around 33 GW by 2050 including roughly 6 GW of pumped hydro. The direction is consistent: significant storage build-out across grid-scale batteries, distributed batteries and pumped hydro.

Australia's 2050 Electricity Decarbonization Plan and Solar Storage Trends

What this means for GreenMore

For a supplier of home storage batteries, Australia's market characteristics — high rooftop PV penetration, retail tariff structure that rewards self-consumption, and a growing share of PV-plus-storage bundles — make the market relevant to GreenMore's home battery range. Our home energy storage products can be viewed on the home energy storage category page, and inquiries from prospective distribution partners can be sent through the contact page.

About GreenMore

GreenMore is a solar energy company headquartered in Nanjing, China, focused on building-integrated photovoltaics (BIPV), including its core solar roofing tiles, along with solar power and energy storage systems. The company works with distributors, installers and project partners overseas.