Solar Battery Costs: Solar Battery Price Index

A house illuminated by lights during the nighttime.

In 2017 we launched this Solar Choice Battery Price Index which is updated every 3 months. Solar Choice has previously been publishing average solar PV system prices on a monthly basis since August 2012 in our Solar Panel Price Index, which focused on household solar prices and which ultimately became the Solar Choice Price Index.

Average out-of-pocket battery installation prices -November 2024

The table below displays average, indicative battery installation prices from a range of installers around Australia, most of whom are active in the Solar Choice network. Prices include installation and GST.

Average Solar Battery System Costs (Fully Installed)  – November 2024
Battery Size Battery Only Price* Battery + Inverter/Charger**
3kWh $4,050 $5,070
8kWh $9,120 $10,640
13kWh $13,780 $15,730
18kWh $18,360 $20,520
*Includes the installation of the battery only. You must already have a hybrid/battery ready system
**Includes an additional inverter to manage the battery bank for a DC-coupled battery system

Not sure what battery size is right for your home? Check out our Quick Guide to Sizing Residential Solar & Battery Systems

Average battery installation prices – November 2024

Battery capacity rangeInstalled cost per kWh capacityCost per kWh throughput (total cycle life)Cost per kWh throughput (1 cycle per day)
1-5 kWh$1,350$0.22$0.35
6-10 kWh$1,140$0.18$0.30
11-15kWh$1,060$0.16$0.27
16-20kWh$1,020$0.16$0.27
All$1,140$0.18$0.30

In this table we try to take a holistic approach to representing battery value. When comparing battery systems, people in the industry typically speak in terms of ‘dollars per kilowatt-hour’ ($/kWh) of storage capacity. This is an easy shortcut for discussing battery value (which is why we’ve included it), but doesn’t tell the full story as different batteries can tolerate different levels of use. For example, some batteries may only be charged/discharged (‘cycled’) once daily, while others can by cycled up to 2.7x per day (see: sonnen) without voiding the warranty.

To this end, we’ve also included figures on ‘energy throughput‘. The energy throughput metric gives you an idea of how much you’ll pay for each kWh of energy that you pass through the battery over its lifespan.

We’ve looked at two scenarios:

  1. If you cycle the battery as many times as its cycle life will allow per day (total cycle life), or
  2. If you cycle it only once per day (which is the more realistic scenario since most homes will charge their batteries only with the sun and not with the grid – c.f. tariff arbitrage).

As noted in the footnotes of the image above, these figures are highly indicative and are intended to serve as a means of comparison between battery products – they do not take into account battery degradation or efficiency.

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The ‘Are we there yet?’ Meter(s)

Despite their growing popularity, the vast majority of the almost 2 million households with solar panels in Australia do not have batteries. As battery technology costs fall, battery storage will become more financially attractive and the number of battery installations will increase.

The ‘Are we there yet?’ Meter (the charts below) gauge the overall attractiveness of home battery storage in Australia – for both households considering a brand new solar-plus-storage system as well as those looking at a possible battery retrofit.

Fusion Power Systems Titan battery cabinet + inverter (containing 4x Aquion S-Stack batteries).

We look at the national ‘low end’ battery prices for moderately-sized (5kWh & 10kWh) battery systems (not a specific product, but more an amalgamation of various products that we’ve seen) and see how the estimated payback periods stack up against a theoretical ‘ideal’ payback period of 7 years; we see this 7 year mark as being a reasonable signifier of the battery market being where it needs to be to make sense for most households (the ‘there’ in ‘are we there yet?’).

So is battery storage worth it?

Battery plus inverter

(Relevant for homes undertaking a full battery retrofit or a new solar & storage system with two inverters)

At $800-$900/kWh for systems on the ‘low’ end of the price spectrum, and with payback periods approaching 10 years in the right combinations of circumstances, we’re close enough for lots of Australians to justify making an investment in a battery retrofit, but not yet in the territory of ‘mass appeal’.

Note: that this month we updated the electricity price details we use in our modelling, which has changed the results beyond just the battery price movements.

Also remember that this chart is meant to reflect the national situation as an amalgamated whole – your individual situation (including the state you live in, the amount you pay for electricity & the deal you get on a battery system) may be conducive to a shorter payback period, so we encourage you to look into it for yourself.

(You can get battery system pricing by requesting a Quote Comparison through our system. You can evaluate battery viability for your situation using our  Solar & Battery Storage Sizing & Payback Estimator Tool.)

‘Full’ battery-plus-inverter system installation prices vs average payback periods across two battery size categories (5kWh and 10kWh). Note that the lowest price on a 5kWh battery size category offering is already below the $7,000 affordability threshold. Click to enlarge.

Batteries only

(Relevant for homes purchasing a brand new solar+storage system with hybrid/battery-ready inverter, or retrofitting batteries to a battery with a hybrid/battery-ready inverter)

Prices for ‘battery only’ installations did not change this month as significantly as they did for battery+inverter systems, but the situation remains the same as previous months: For anyone in the market for a brand new solar system, it may be worthwhile to tack on a small or medium-sized battery bank while you’re at it, judging by this month’s data. A 5kW solar system plus (roughly) 5kWh battery bank could cost as little as $10,000, depending on where you live and which products you go with. A system of this size at this price would enable most households to dramatically reduce their electricity bills, would deliver a reasonable return and would allow for a respectable degree of energy independence (possibly including some emergency blackout protection).

About this data

Solar Choice’s Battery Storage Price Index is the companion to our Solar PV Price Index, which covers solar system installation prices around Australia. The aim of the Battery Storage Price Index is to assist shoppers in getting a grip on this relatively new market and assess whether batteries are worth their while.

Tables and charts included in this article were compiled using data from Solar Choice’s installer network database (as well as a couple of outside sources), which contains regularly-updated pricing and product details from over 100 solar & battery installation companies across Australia. Prices do not ordinarily incorporate meter installation fees or additional costs for difficult installations.

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Since 2008 our knowledge and sophisticated software has allowed over 300,000 Australian households and businesses to make a well-informed choice on their solar & battery installer.
Jeff Sykes

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