English
Australia's 2.3 billion AUD household subsidy implemented: An analysis of opportunities and challenges for Chinese enterprises.
Created on 09.18
Opportunities and challenges coexist, Chinese energy storage companies welcome a new window for going abroad.
Recently, the Australian government officially launched a "Home Battery Scheme" with a total amount of 2.3 billion Australian dollars, which will be officially implemented from July 1, 2025. The introduction of this policy brings new market opportunities for global energy storage companies.
New Market Opportunities: Subsidy Policies Release Demand
According to the new policy, Australian households installing energy storage systems can receive a cost subsidy of 20%-30%. Specifically, a subsidy of up to approximately 372 AUD per kilowatt-hour of storage capacity can be obtained, and this subsidy standard will gradually decrease over the next few years.
To qualify for subsidies, the product must meet the following conditions:
- Electrochemical energy storage system (mainly lithium iron phosphate battery)
- Certified by the Clean Energy Council (CEC) of Australia
- The capacity range is between 5-100kWh.
- Must be used in conjunction with the photovoltaic power generation system.
Market response: Installation volume has significantly increased
In the first month of policy implementation, Australia's residential energy storage market showed explosive growth. In July, a total of 19,592 battery systems were installed nationwide, with a total capacity of 344.1 megawatt-hours, which is equivalent to a quarter of the total installation amount for the entire last year.
The market shows two obvious trends:
- The demand for existing photovoltaic users to install energy storage has surged.
- The average capacity of energy storage systems has increased from the traditional 10-12 kilowatt-hours to 17-18 kilowatt-hours.
Data shows that the top three regions by installation volume are: New South Wales (NSW) 7347 sets, Queensland (QLD) 4159 sets, South Australia (SA) 3052 sets.
Market potential: Broad development space
Despite rapid growth, the Australian household storage market is still in the early stages of development. Data shows that currently only 8% of photovoltaic users in Australia have configured energy storage systems, a figure far lower than Germany's 40%.
Since 2008, Australia has installed 4 million residential photovoltaic systems, but the total number of energy storage systems is only 320,000, with a total capacity of 3.6 gigawatt-hours. This indicates that there is significant market potential yet to be developed.
The breakthrough path of Chinese enterprises
For Chinese energy storage companies, to seize this opportunity, it is necessary to focus on the following aspects:
Certification access is a prerequisite
CEC certification and market access are the primary conditions for entering the Australian market. Companies need to complete product certification as soon as possible to ensure compliance with local standards.
Product innovation is key
The launch of highly integrated solutions will become the key to victory. Products that integrate photovoltaic inverters, energy storage batteries, energy management systems, and more are better suited to local market demands.
Localization services are guaranteed
Establishing a complete local service system is crucial. This includes localized operations for technical support, installation training, after-sales service, and other aspects.
Long-term strategy is fundamental
Although the subsidy policy brings short-term opportunities, companies need to develop long-term development strategies. While enjoying the benefits of the policy, it is important to focus on brand building and channel maintenance to prepare for the post-subsidy era.
The new subsidy policy introduced in Australia has brought significant development opportunities for Chinese energy storage companies. However, to truly seize this opportunity, companies need to quickly complete product certification, provide innovative solutions, establish a localized service system, and formulate long-term development strategies.
For companies intending to expand into the Australian market, now is the best time to lay out their plans. However, it is important to note that subsidy funds may be exhausted in the coming years, and businesses need to seize the time window to complete their market layout as soon as possible.
Opportunities are fleeting; only those companies that are well-prepared can win the market.
Contact Us
Leave your information and we will contact you.
