These rebates are designed to help businesses store excess solar energy during the day and then use it at night, or sell it back to the grid during peak demand periods. It’s about reducing pressure on the network while rewarding businesses for playing an active role in the energy market.

For full eligibility details and participating installers, you can check the NSW Government Energy Saver site.

Why Battery Storage Changes the Game for Businesses

If you think of your solar panels as the “generator”, then the battery is your “warehouse” for energy. Without storage, any unused solar power you generate during the day is sent straight to the grid — usually for a feed-in rate that’s far less than what you pay to buy electricity in the evening.

With a battery in place, you can:

• Maximise self-consumption — Use your own stored power after sunset instead of drawing from the grid.

• Avoid high evening tariffs — Particularly important for businesses operating late hours.

• Provide backup during outages — Keeping key operations running during blackouts.

In practical terms, this means you’re paying less for grid electricity and relying more on the free energy you’ve already produced.

Where VPPs Fit In

A Virtual Power Plant is essentially a network of connected solar-plus-battery systems. By joining one, your battery can feed energy back into the grid during times of high demand — and you get paid or receive bill credits for doing so.

Here’s why a VPP can work for a business:

• Extra income stream — You’re compensated for making your stored energy available to the grid when it’s most valuable.

• Enhanced ROI on your battery — Shortens the payback period for your investment.

• Grid stability benefits — While it’s not your primary reason for joining, helping prevent blackouts can indirectly protect your operations.

The VPP operator manages all the technical aspects — from when your battery exports power to how much is kept for your own use.

Real-World Savings Example

Let’s take a hypothetical café in Newcastle operating from 7am to 10pm:

Solar panels already cover the café’s daytime coffee machine and kitchen loads.

• Without a battery — the café still pulls expensive peak-rate power every evening to run refrigeration, lighting, and dishwashers.

• With a 10kWh battery — excess solar from lunchtime is stored and powers the café’s evening operations, cutting the grid draw to near zero after sunset.

• Joined to a VPP — during an extreme summer demand event, the café’s battery sends stored power back to the grid for a cash credit, without affecting their ability to operate.

Over a year, the savings on electricity plus VPP credits could significantly reduce their energy spend — all while making use of a government rebate to cut installation costs.

Timing Is Everything

Energy prices aren’t showing signs of dropping any time soon, and the NSW battery rebate won’t be around forever. If you’re already generating solar power, adding a battery and connecting to a VPP could be one of the most impactful upgrades you make to your business in 2025.

With government support, the upfront cost barrier is lower, and the long-term savings — plus operational security — can make the numbers stack up quickly.

Ready to Explore Your Options?

At Connect Business Energy, we help businesses find the smartest, most cost-effective energy solutions — from competitive retail plans to integrating clean tech like batteries and VPPs. If you’re in NSW and want to make the most of this rebate, we can connect you with trusted installers and ensure your setup is optimised for both savings and reliability. Get started today and turn your solar power into a 24/7 business asset.