Important Update: Your Solar & Battery Rebate Is Changing in 2026

December 15, 2025
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There’s a big update to the Federal Battery Rebate and the national solar rebate (STCs) that every homeowner should know about — and it comes with both good news and bad news.

I’ll keep it simple.

GOOD NEWS

If you book your solar or solar + battery installation before Christmas, you will still qualify for the full Federal Battery Rebate and the current STC rate.

Nothing changes for you — you lock in the maximum support available today.

BAD NEWS

From May 2026, the Federal Battery Rebate and STC Program start to shift. And not in your favour.

The government is adjusting the STC Factor, which is the multiplier used to calculate how many STCs (rebate certificates) your system receives. STCs are essentially government-backed credits that reduce the upfront cost of solar and solar + battery systems.

The change has two major impacts:

  1. The STC Factor will now decline twice a year (every 6 months)
  2. It will decline at a faster rate than before

Meaning:
Systems installed after May won’t receive the same level of rebate — especially larger systems.

WHAT’S ACTUALLY CHANGING?

Below is the official proposed update provided by the Department of Climate Change, Energy, the Environment and Water.

Year Period Existing STC Factor Proposed STC Factor
2026 Jan–Apr 8.4 8.4
2026 May–Dec 8.4 6.8
2027 Jan–Jun 7.4 5.7
2027 Jul–Dec 7.4 5.2
2028 Jan–Jun 6.5 4.6
2028 Jul–Dec 6.5 4.1
2029 Jan–Jun 5.6 3.6
2029 Jul–Dec 5.6 3.1
2030 Jan–Jun 4.7 2.6
2030 Jul–Dec 4.7 2.1

SO WHAT DOES THIS MEAN FOR YOU?

Here’s the simplest explanation:

More STCs = more rebate

Fewer STCs = smaller rebate

As the STC Factor drops:

  • You receive fewer STCs
  • Your system receives less rebate
  • You pay more out of pocket for the exact same system

And because the rebate now declines twice a year instead of once, the changes happen faster and more aggressively.

THE CRITICAL TIMING WINDOWS

1. Before Christmas 2025

You secure access to the full Federal Battery Rebate + current STC rate.
No reductions. No surprises.

2. Before May 2026

This is the last period where homeowners can still claim the rebate at its strong levels for larger batteries and systems before the first major cut kicks in.

3. After May 2026

The rebate begins stepping down more sharply.
Larger systems are affected the most.

THE BOTTOM LINE

If solar or a battery is on your radar for 2026, the smartest financial move is:

Book before Christmas → Install before May → Lock in the full rebate

This ensures you’re getting the maximum support before the new rules reduce the value of both the solar and battery rebate programs.

Want clarity on what your home qualifies for?

Reply to this email or click below for a no-pressure assessment.

We’ll show you:

• What your rebate looks like today
• What changes after May
• Whether your system size is affected
• How to secure the full rebate before the step-downs begin

This update matters — and acting early means you won’t miss out. Contact a Stag Electrical Solar and Refrigeration Australia solar expert today!

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