There is no single dollar rate per kWh because the rebate is calculated in certificates, and the certificate count steps down as the battery gets bigger. You can still work out an effective rate for each band.
The three bands in 2026
The 2026 factor is 6.8 certificates per kWh. Multiply by a price of $38 to $40 per certificate, the market range at the time of writing, and you get the figures below.
| Band of usable capacity | Share of factor | STCs per kWh | Approx. $ per kWh |
|---|---|---|---|
| First 14 kWh | 100% | 6.8 | $260 to $270 |
| 14 to 28 kWh | 60% | 4.1 | $155 to $165 |
| 28 to 50 kWh | 15% | 1.0 | $39 to $41 |
| Above 50 kWh | 0% | 0 | nil |
So the rebate for a 14 kWh battery is around $3,600 to $3,800, but the second 14 kWh adds only about $2,200 to $2,300 and the last 22 kWh of a 50 kWh system adds only about $900.
Why this matters when you size a battery
If your evening usage is modest, the first 14 kWh is where the discount works hardest. Stepping up in size still helps with backup and with VPP earnings, but the rebate will not pay for the extra hardware the way the first block does. Compare the cost of the extra kWh with the extra rebate rather than the headline discount.
From 1 January 2027 the factor falls to 5.7, so the first-band figure becomes roughly $215 to $225 per kWh. See the 2027 rebate answer for more, including the further step to 5.2 on 1 July 2027.
What this means for you
Work out how much energy you actually need to shift each evening, then price the 14 kWh option against bigger ones. Our battery STC pillar explains the scheme, and the how it works page shows how the installer converts certificates to cash. For the total dollar figure, see how much the federal battery rebate is.