Home Energy Ratings: How solar panels improve energy efficiency

Understanding NatHERS in 2025

The Nationwide House Energy Rating Scheme (NatHERS) now assesses both the building’s thermal shell and fixed appliances like heating, cooling, hot water systems, solar panels, and batteries.

As of May 2024, the National Construction Code (NCC) mandates a minimum 7-star NatHERS rating for new homes, promoting energy efficiency and comfort.

Solar panels and NatHERS ratings

Integrating solar panels and batteries can enhance your home’s Whole of Home rating by reducing reliance on grid electricity.

Homes with solar systems can save an average of $1,073 annually on electricity bills, contributing to a higher NatHERS rating.

Federal and state solar rebates in 2025

Federal incentives

  • Small-scale Renewable Energy Scheme (SRES): Offers upfront discounts on solar installations through Small-scale Technology Certificates (STCs).

  • Cheaper Home Batteries Program: Launching 1 July 2025, this program provides up to a 30% discount on battery installations, potentially saving households up to $4,000.

State-specific incentives

  • Victoria: Rebates up to $1,400 for solar panel systems and interest-free loans for eligible households (this has now ended)
  • New South Wales: The Peak Demand Reduction Scheme offers $1,600 to $2,400 for battery installations, with extra incentives for Virtual Power Plant (VPP) connections. (The Battery PDRS scheme will need 30 June 2025. The VPP incentives will increase 1 July 2025)
  • South Australia: The City of Adelaide offers up to 50% (maximum $2,000) rebate on energy storage systems.
  • Western Australia: From July 2025, the Residential Battery Scheme provides up to $7,500 for battery installations.
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Benefits of a 7-star NatHERS rating

Achieving a 7-star rating ensures:

  • Enhanced comfort: Maintains consistent indoor temperatures year-round.

  • Energy savings: Cuts heating and cooling costs.

  • Increased property value: Energy-efficient homes are more attractive to buyers.

  • Environmental impact: Reduces greenhouse gas emissions.

Take the next step

Ready to improve your home’s energy efficiency? Explore your solar options and take advantage of available rebates. Contact Energy Matters for up to three free solar quotes tailored to your home.