Battery Storage & VPP Incentives

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Battery Energy Storage Systems.

Battery Energy Storage Systems (BESS) can now be incentivised under some national and state schemes to either offset a property’s load, or discharge power back to the grid to reduce peak demand. 

The national Cheaper Home Batteries Program launched in 2025 to help Australian’s offset the cost of a new battery install, and in 2026 a raft of new BESS incentives were announced in NSW under the PDRS – encompassing residential, commercial and industrial systems. Home and small business batteries connected to an eligible virtual power plant (VPP) in SA and NSW can also claim a rebate.

NSW PDRS BESS5

Commercial & Industrial Battery Energy Storage System
NSW energy certificates

The Peak Demand Reduction Scheme (PDRS) incentivises large and Commercial & Industrial businesses installing large BESS assets to support heavy energy loads. 

More about BESS5 >

BESS5 FAQs >

Certificate Peak Reduction Certificates (PRCs)
Stack with LGCs & REGOs
Eligible 200kWh – 30MWh
Claim Up to 10MWh | Estimate PRC incentive >
Solar Optional
Building types/uses Large Commercial & C&I sites
Create Post installation & audit
Min. co payment Under consultation
Dates 1 September 2026 +

NSW PDRS BESS4

Small & Medium Business Battery Energy Storage System
NSW energy certificates

A welcome new PDRS incentive offer for small to medium businesses looking to install medium to large-sized battery systems up to 200kWh. 

More about BESS4 >

BESS4 FAQs >

Certificate Peak Reduction Certificates (PRCs)
Stack with STCs (for batteries <100kWh)
Eligible 20kWh – 200kWh | CEC approved BESS only
Claim Up to 200kWh | Estimate PRC incentive >
Solar Optional
Building types/uses Small & Medium Businesses
Create Post installation & audit
Min. co payment $5,000
Dates 1 September 2026 +

NSW PDRS BESS3

Apartment Battery Energy Storage System
NSW energy certificates

A new, dedicated incentive designed to support multi-occupancy apartment buildings with installing a battery storage system, and helping reduce the load on the grid at peak times.

More about BESS3 >

BESS3 FAQs >

Certificate Peak Reduction Certificates (PRCs)
Stack with STCs (for batteries <100kWh)
Eligible BESS 20kWh – 200kWh | CEC approved only
Claim Up to 200kWh | Estimate PRC incentive >
Solar Optional
Building types/uses Apartment buildings (min. 4 dwellings)
Create Post installation & audit
Min. co payment $1,000
Dates 1 September 2026 +

Stay up to date with C&I BESS.

Get the latest C&I BESS scheme, incentive, and eligibility updates as they’re released.

 

NSW PDRS BESS2

Onboarding Battery Energy Storage System to a VPP
NSW energy certificates

A secondary, one-off incentive rewarding customers for contracting their existing or newly installed battery to an approved Virtual Power Plant (VPP) to help support the grid during peak summer events.

More about BESS2 >

Certificate Peak Reduction Certificates (PRCs)
Stack with STCs & PRCs (BESS1)
Eligible BESS 2kWh – 50kWh | CEC approved only
Claim Up to 28kWh
Solar Not required
Building types/uses Residential & Small Businesses
Create Post installation & audit
Dates 1 November 2024 +

NSW PDRS BESS1

Residential & Small Business Battery Energy Storage System
NSW energy certificates

An incentive usually applied at point-of-sale to reduce the hardware and installation costs for new residential and small-business battery systems.

More about BESS1 >

Certificate Peak Reduction Certificates (PRCs)
Stack with STCs for approved sites only
Eligible BESS 2kWh – 28kWh | CEC approved only
Claim Up to 28kWh
Solar Required
Building types/uses NSW State & Local Government sites
Approved exempt energy programs
Create Post installation & audit
Dates (Releaunced) 1 July 2026 +

National Battery STCs

Cheaper Home Battery Program

An incentive applied at the point of sale to reduce the hardware and installation costs of new residential and small-business battery systems. 

More about Cheaper Home Battery Program >

Certificate Small-scale Technology Certificates (STCs)
Eligible BESS 5kWh – 100kWh | CEC approved only
Claim First 50kWh | Estimate STC incentive >
Solar Required
Building types/uses Residential & Small Businesses
Create Post installation & audit
Dates 1 July 2025 – 31 December 2030

SA REPS VPP1

Onboarding Battery Energy Storage System to a VPP

In South Australia under the REPS program, incentives may be available to consumers who connect their battery to an eligible VPP. With low targets and limited quotas for 2026, incentives for this activity are in short supply. 

More about REPS VPP1 >

Certificate Gigajoules (GJs)
Stack with STCs
Eligible BESS 2kWh +
Claim Up to 28kWh | Estimate VPP1 rebate >
Building types Residential & Small Businesses
Create Post VPP onboarding & audit
Dates 1 January 2026 – 31 December 2030

How You Can Capitalise on Your BESS Projects.


Incentive value based on PRC spot price of $2.50, excluding GST, processing, registration and any associated certificate fees. Spot prices fluctuate and can be updated at any time. Calculations may change at any time as regulations are updated. Ecovantage does not take responsibility for any inaccuracies in eligibility, certificate values or pricing. Values presented are to be used as estimations. Do not use these for guaranteed quotes.
The calculator assumes a Firmness Factor of 1, fixed equipment lifetime of 15 years, and a standard 6-hour summer peak demand reduction window. 
Please consult your Account Manager for further details and final incentive values.

C&I Client Onboarding.

How Ecovantage Fits In.

Accredited Certificate Providers, like Ecovantage, ensure projects projects meet the scheme requirements, then generate energy savings certificates and sell them on a closed market – the value is often passed on to the end user as an upfront discount.

At Ecovantage we work directly with installation companies. We support you with a one-to-one Account Manager for direct communication for any questions and opportunities that may arise.

Ben and Nancy
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