WA Residential Battery Scheme Explained

Industry insights · Nov 18, 2025

The Western Australia’s Residential Battery Scheme is a state program that helps make home batteries more affordable by combining a cash rebate with access to an optional no-interest loan, while requiring systems to join an approved Virtual Power Plant (VPP). It’s designed to boost self-consumption of rooftop solar, cut energy bill pressures, and strengthen overall grid reliability. 

The scheme can also work alongside the federal Cheaper Home Batteries Program, which provides an upfront discount of about 30% at the point of sale through approved retailers/installers. Eligible WA households can stack state and federal support to lower costs and further lower payback times. These incentives aim to encourage battery uptake while keeping homes powered and the grid more secure during peak demand. 

How the WA Residential Battery Scheme Works?

Opened to homeowners on 1 July 2025, the WA battery scheme is available to customers on the South West Interconnected System (SWIS), where Synergy is the state-owned retailer and Western Power is the utility that operates the poles-and-wires network. It also applies in Horizon Power’s service areas across regional and remote WA, where Horizon operates as a fully integrated utility that both supplies electricity and runs local networks and microgrids.

WA Battery Scheme Rebate Amounts

The WA Residential Battery Scheme pays a fixed amount per kWh of usable battery capacity, applying to approved systems from 5 kWh and above, capped at 10 kWh. Rebate amounts differ by the service areas for Synergy (SWIS) and Horizon Power.

  • Synergy: A$130 per kWh, up to A$1,300 (10 kWh cap).
  • Horizon Power: A$380 per kWh, up to A$3,800 (10 kWh cap).

The FranklinWH aPower X, with  13.6 kWh capacity, qualifies for the maximum A$1,300 rebate for Synergy customers and the maximum A$3,800 rebate for households in Horizon Power’s regional and remote service areas, since it meets the full 10 kWh capacity cap. 

When combining the state rebate with the federal Cheaper Home Batteries point-of-sale discount (about 30% via approved retailers/installers), homeowners can substantially trim their upfront cost. 

Interest-Free Loans (Optional)

In addition to the rebate, WA offers no-interest loans to help with upfront costs. The loans are managed by Plenti, an Australian fintech lender that holds an Australian Credit Licence and has been appointed by the WA Government to administer the WA Battery Scheme’s finance component. 

Here is the breakdown of the loan details:

  • Eligibility (income): Available to households with gross annual income under A$210,000.
  • Loan amount: A$2,001–A$10,000.
  • Term: 3–10 years, 0% interest for the entire term. 
  • How to apply: You go through an accredited vendor. Plenti conducts credit checks and issues the loan once your system meets the Scheme requirements.
  • Allowable uses: Loans can be used for the battery and related equipment (e.g., inverter or new/upgrade solar if installed with the battery). 

While the loan is separate from the state rebate, you can bundle them together on the same project (and also stack with the federal Cheaper Home Batteries discount). 

The VPP Requirement Explained

What a VPP Is

A VPP links many small, distributed energy sources (most commonly home batteries), so software can coordinate them to act as if they are a single flexible power plant. During peaks or grid stress, the operator briefly charges or discharges participating batteries to support the wider electricity system. 

Why WA Requires It

Under the WA Residential Battery Scheme, joining an approved VPP is a condition of eligibility. WA’s aim is to improve grid reliability, maximize the value from rooftop solar, and cut down on electricity generation costs by accessing a large, dispatchable pool of distributed batteries rather than building more peaking infrastructure. 

How VPP Participation Works in Practice

Minimum term: Every eligible system must join a VPP for a minimum of two years. After the initial two-year commitment, homeowners are free to opt out.

Choice of VPP providers: All customers will be enrolled into a VPP product offered by their electricity retailer: Synergy or Horizon Power. Synergy customers have the option to choose an alternative VPP product, as long as it meets the State’s criteria:

  • The alternative VPP must be offered by your battery supplier and technically compatible with your system.
  • It must share benefits with you (e.g., bill credits or payments).
  • It must be supported by real, verifiable value to the grid.

Dispatch events: For Synergy, expect up to around 30 events per year, typically a few hours during late-afternoon or evening peak demand hours. Horizon’s dispatch strategy is needs-based rather than quota-based due to its program diversity. 

Credits & Rewards

Synergy: During a battery rewards activation event, Synergy pays A$0.70 per kWh exported from your battery. The money is applied as credits on your Synergy bill (they show up on your next billing cycle, not as an instant payment). Synergy caps events at no more than 30 per year.

Horizon Power (regional & remote WA): Horizon does not offer a fixed per-kWh event rate or a set annual number of dispatch events across all towns. Rewards and timing are program-specific and location-dependent. Check Community Wave, the current VPP program under Horizon for your location to estimate savings specific to your situation via the calculator it provides.

Backup Power and Battery Behavior

Joining a VPP does not mean you lose backup power. Outside dispatch events, the battery operates normally, and the VPPs from both Synergy and Horizon allow you to set a minimum reserve level to ensure you maintain sufficient backup capacity for outages. 

Eligibility Criteria to Receive the Rebate/Loan

The following are the listed criteria for WA program participation.

  • Live in WA at a residential property (owner-occupied, investment with a tenant, or a rental with landlord consent). Certain government/utility-owned properties are excluded. You can ask an approved Scheme vendor to check whether your address is against the eligibility database. 
  • Be a Synergy or Horizon Power customer.
  • Have an ongoing internet connection so the system can be orchestrated and monitored for the VPP.
  • Participate in a VPP.
  • Use an approved Scheme vendor (applications are submitted on your behalf).
  • Install on or after 1 July 2025 (systems installed before that date are not eligible). 

Install Eligible Equipment

The appropriate equipment includes:

For more eligibility details, homeowners can also see the WA Government’s Information for Applicants.

How to Apply for the WA Battery Rebate: Step-by-Step Guide

To take advantage of the rebate program, follow the listed steps.

1. Get quotes from approved vendors: Choose an accredited Scheme vendor. The application must go through them. Vendors are accredited via Plenti. 

2. The vendor checks your system & VPP readiness: Your vendor confirms you meet eligibility rules and that your battery system will enrol in an approved VPP product.

3. Vendor submits the rebate and 0% loan application (optional): Applications are submitted by the vendor. If your rebate or loan is conditionally approved, you have up to six months to complete the installation before the approval expires.

4. Network connection approval: Before installation, your vendor/installer obtains grid-connection approval from the relevant network utility. 

5. Installation & VPP enrolment: Your approved equipment is installed, and the system is registered to the electricity retailer’s VPP (Synergy’s SWIS offer or Horizon Power’s Community Wave and related programs).

6. Rebate/loan processing after installation: Once the system is commissioned and enrolled in a VPP, the rebate and (if applicable) this Plenti loan is processed in line with the ways stated in the WA Government’s Information for Applicants guide. 

Note: If you’re upgrading an existing system in Horizon territory from 1 July 2025, the Horizon requires compatibility with its VPPs for new solar or battery connections. Your vendor will advise if an inverter change is needed.

Installation Timelines and What Can Delay the Project

Industry guides for the SWIS suggest around 4–6 weeks from application to operation for a typical home installation, with network approval and meter change taking the most time. 

Timelines can stretch due to product availability and shipping, vendor backlogs, or network constraints, etc. The safest approach is to engage an approved vendor early to help allocate enough time in advance. Meeting the current technical standards and keeping paperwork complete can also help keep things moving more smoothly. 

Pros and Cons of the WA Battery Scheme

Key Benefits

There are a number of advantages to joining the Scheme:

  • Significantly lowers upfront cost of home batteries.
  • Reduces electricity bills by maximizing the utilization of solar energy.
  • Provides additional income or bill credits via VPP programs.
  • Enhances home energy resiliency with backup power capability.
  • Strengthens grid stability across WA.

Potential Drawbacks

Considerations before deciding to join the Scheme include:

  • It requires a two-year VPP commitment with limited control during events.
  • Possible installation delays from high product demand and network approvals.
  • Equipment choices are restricted to approved product lists.
  • You must use accredited vendors, limiting installer flexibility.

Final Thoughts

The WA Residential Battery Scheme is perfect for homeowners expecting  lower energy bills, greater energy freedom, and reliable backup power. By stacking state and federal incentives, it’s now easier to make a battery investment pay off. If you’re considering it, get quotes from approved vendors that partner with FranklinWH and check your eligibility early to take full advantage of the rebates and loans available. 

FAQs

1. What Is the WA Residential Battery Scheme?

The WA Residential Battery Scheme offers attractive rebates and interest-free loans to help WA homeowners install home batteries required to be linked to an approved VPP.

2. What is the Minimum Battery Size for the WA Residential Battery Scheme?

To qualify for the scheme, your battery must have a usable capacity of at least 5 kWh.

3. Can I Combine the WA Rebate with the Federal Cheaper Home Batteries program?

Yes. You can stack the WA rebate with the federal Cheaper Home Batteries to significantly bring down your upfront costs.

4. Is a Tenant Eligible for the WA Battery Scheme?

Yes. Tenants can participate in the WA Residential Battery Scheme if their landlord gives written consent for the battery installation.

5. Can I Purchase a Battery from Any Retailer or Installer to Be Eligible for the Battery Rebate? 

No. You must purchase and install the battery through a vendor accredited under the WA Residential Battery Scheme. Your battery system must be compatible with an approved VPP for your grid network.

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