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Battery STCs and Cheaper Home Batteries Program

Battery rebate calculator: formula, tiers and examples

Short answer

The formula is tiered usable kWh x the factor for the install year x the STC price. Use the table below for common sizes: 10, 14, 20, 28 and 50 kWh for 2026 (factor 6.8) and January to June 2027 (factor 5.7); the factor falls again to 5.2 on 1 July 2027.

Written and checked by the Energy Merchants desk · Reviewed 2 October 2026 · For homeowners

Where the previous page walks through the method, this one gives you the formula and a reference table so you can sanity-check any online calculator.

The formula

Rebate = (tiered usable kWh x factor) x STC price

Tiered usable kWh = the first 14 kWh at 100%, plus the next 14 kWh at 60%, plus the next 22 kWh at 15%, capped at 50 kWh in all. Factor = 6.8 for installs from 1 May to 31 December 2026, 5.7 for January to June 2027 and 5.2 from 1 July 2027.

Reference table

Prices use $39 per STC, the middle of the $38 to $40 range at the time of writing.

Usable size 2026 STCs 2026 value 2027 STCs 2027 value
10 kWh 68 about $2,650 57 about $2,200
14 kWh 95 about $3,700 79 about $3,100
20 kWh 119 about $4,650 101 about $3,900
28 kWh 152 about $5,900 127 about $5,000
50 kWh 174 about $6,800 146 about $5,700

Tests for a good calculator

A sound calculator asks for usable capacity rather than the model name, applies the tiers, asks for the install date, and says which STC price it assumes. Treat one that shows the same dollar-per-kWh at every battery size as out of date, because the tiers began on 1 May 2026.

A calculator also cannot know your eligibility. The battery must be CEC approved and VPP-capable, paired with a new or existing solar system, installed by an accredited installer, and the property must not have claimed before.

Reading a quote against the table

If a quote for a 14 kWh battery in 2026 shows a discount well below $3,600, ask why. It may be a trader margin, a smaller usable capacity or a different STC price assumption. If it is well above, check whether the installer is bundling other incentives into one line, because that makes the quote harder to compare.

From the desk: If a calculator asks for your state and applies an income test, it is mixing in a state scheme. The federal program has no income test.

What this means for you

Use the table to size a battery and to read a quote. If the STC count on the quote is below the table figure, ask why. It may be a different usable capacity, or a rounding difference, but it is worth knowing. The battery STC pillar explains the scheme, the pricing page shows what installers are paid for certificates, and how it works shows the settlement path.

Follow-up questions

People also ask

Can I use a calculator on a battery installer website?
Yes, but check it uses the tiered structure that began on 1 May 2026 and the right factor for your install date.
Does the calculator show what I will pay?
No. It shows the certificate value only. Hardware, installation, switchboard and other costs come separately.

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