Governments worldwide are taking proactive measures to promote energy efficiency in pursuing sustainable development and combating climate change.
In Victoria, Australia, various state-funded programs, rebates, incentives, and subsidies are available to encourage residents to adopt energy-efficient practices and technologies. This comprehensive guide highlights the energy-efficient products and initiatives currently offered in Victoria.
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What Victoria solar rebates are available in 2026?
Victoria solar rebates and incentives are available to homeowners, renters and businesses from three distinct sources, and in most cases, they can be combined (“stacked”) on a single installation.
- Federal government incentives — issued to individuals and small businesses installing eligible renewable technology, plus the Cheaper Home Batteries Program for storage.
- Electricity retailer feed-in tariffs — that credit you for excess solar power exported back to the grid.
- Victorian state government rebates — delivered through the Solar Homes Program, covering solar panels, rental properties and hot water systems.
The table below summarises the main Victorian solar rebates currently on offer.
Victoria solar rebate | Provider | Typical value | Who is it for |
Solar panel (PV) rebate | Solar Homes Program | Up to $1,400 | Owner-occupiers |
Interest-free solar loan | Solar Homes Program | Up to $1,400 | Owner-occupiers |
Rental solar rebate | Solar Homes Program | Up to $1,400 | Rental providers |
Hot water rebate | Solar Homes Program | Up to $1,000-$1,400 | Owner-occupiers |
STC solar rebate | Federal government | Varies by system size | All households/businesses |
Cheaper Home Batteries Program | Federal government | ~$238-$252 per usable kWh | All households/businesses |
Feed-in tariff | Electricity retailer | Retailer-set, ≥ 0c/kWh | All solar exporters |
Federal government Victoria solar rebates
Two federal schemes make up this layer of Victoria solar rebates: the Small-scale Renewable Energy Scheme for solar panels, and the Cheaper Home Batteries Program for storage.
Small-scale Renewable Energy Scheme (STCs)
Solar panel systems, small-scale wind and hydro systems, solar water heaters and air-source heat pumps are all eligible under the Small-scale Renewable Energy Scheme (SRES). The scheme provides a financial incentive by issuing Small-scale Technology Certificates (STCs) for systems up to 100kW.
Small-scale Technology Certificates (STCs) are created and traded through the REC Registry, an online platform managed by the Clean Energy Regulator. Your installer typically claims and applies this Victoria solar rebate on your behalf, discounting the price of your system upfront rather than requiring a separate claim.
Commercial systems and Large-Scale Generation Certificates (LGCs)
Once a system reaches 100kW or larger, STCs no longer apply. Instead, the system can generate Large-scale Generation Certificates (LGCs), and the owner is recognised as an accredited power station.
- 1 megawatt-hour (MWh) of generation equals 1 LGC.
- Businesses can make an annual claim for the energy their system generates.
- LGCs can be sold to entities that need to offset emissions under the Renewable Energy Target.
Cheaper Home Batteries Program
The federal Cheaper Home Batteries Program has applied since 1 July 2025 and is one of the most valuable Victorian solar rebates for households adding storage. It uses the STC mechanism to discount eligible batteries by roughly 30% of the upfront cost.
- Eligibility: Battery systems of 5kWh to 100kWh, installed alongside new or existing solar panels.
- Current rebate value: Around $238-$252 per usable kWh for the first 14kWh of capacity, tapering for larger systems, following the program’s step-down from 1 May 2026.
- Eligibility and end date: No income test applies, and the program is scheduled to run until 2030, with rebate values gradually reducing over time.
- Stacking: This federal Victoria solar rebate can be combined with the state Solar Homes Program rebates on the same installation.
State government of Victoria solar rebates: the Solar Homes Program
The Solar Homes Program is Victoria’s flagship state-funded scheme and the source most people mean when they search for “Victoria solar rebates.” It is administered by Solar Victoria and funds solar panels, rental installations, and hot water systems.
Solar panel (PV) rebate
Eligible owner-occupiers can receive a Victorian solar rebate of up to $1,400 towards installing a solar panel (PV) system, available for existing homes, homes under construction, and rental properties. An optional interest-free loan of up to $1,400 can further reduce upfront costs, repayable over four years or earlier as a lump sum.
This Victoria solar rebate is deducted directly from the installer’s invoice rather than paid to you afterwards, and new rebates are released each month, so timing your application matters.
Victorian Energy Upgrades (VEU) program
The Victorian Energy Upgrades (VEU) program complements Victoria’s solar rebates by offering discounts on energy-efficient products and appliances, including upgrades to heating and hot-water systems. It supports the state’s broader electrification and emissions-reduction targets and can be combined with Solar Homes Program rebates for eligible hot water upgrades.
Solar rebates for rental properties
Rental providers can apply for a Victorian solar rebate of up to $1,400 to install solar panels on a maximum of two rental properties per financial year, helping close the gap for renters who have historically missed out on solar savings.
Hot water rebate
Solar hot water and heat pump hot water systems use less energy than conventional electric storage systems and can save homeowners between $140 and $400 a year on electricity bills. A hot water rebate of up to $1,000 is available for eligible heat pump and solar hot water products, rising to $1,400 for eligible locally manufactured products.
This Victoria solar rebate is applied as a final discount after federal STCs and state Victorian Energy Efficiency Certificates (VEECs) have already been deducted from the total cost.
Check out the latest brands of Heat Pumps in Australia.
Income eligibility changed on 1 July 2026
This is the most important recent change to Victoria’s solar rebates: from 1 July 2026, the combined household income cap for the solar panel and hot water rebates will drop from $210,000 to $150,000 per year. Applications submitted after 5 pm on 30 June 2026 are assessed against the new, lower cap.
- Rebate values themselves have not changed — only the income eligibility threshold.
- The change targets support for renters and lower-income households facing cost-of-living pressure.
- Solstice Energy customers transitioning off the closed CNG network remain exempt from the income cap.
- The Solar for Apartments program has been extended to 30 June 2027.
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Victoria feed-in tariffs: What you earn for exported solar
Feed-in tariffs are the third piece of the Victorian solar rebates and incentives picture, credited by your electricity retailer for solar power you export to the grid. This is no longer set by the government — since 1 July 2025, the Essential Services Commission (ESC) has stopped setting an annual minimum feed-in tariff.
Before deregulation, the ESC’s last mandated flat rate for 2024-25 was 3.3 cents per kWh, down from previous years as wholesale daytime electricity prices fell and rooftop solar uptake rose. Retailers can now set their own feed-in tariff, provided it never drops below $0.00 per kWh.
- Victoria feed-in tariffs vary widely between retailers, from close to zero up to around 8 cents per kWh on some plans.
- Time-varying tariffs pay different rates depending on when you export — typically higher in the evening peak, lower or zero during the day.
- Comparing retailer offers is now the only way to maximise the return on your exported solar power.
Expert tip
Because Victoria’s feed-in tariff is deregulated, the gap between the best and worst retailer offers can be significant. Compare plans at least once a year, especially if you’ve recently added a battery and export less than you used to.
How to get more from your Victoria solar rebates
Beyond claiming every available Victoria solar rebate, a few practical habits help you get the most out of your solar investment.
- Seal drafts, improve insulation, and choose energy-efficient appliances to cut baseline consumption.
- Shift usage, such as laundry and dishwashing, to daylight hours to self-consume more of your solar generation.
- Compare electricity retailers regularly, since feed-in tariffs and plan pricing change throughout the year.
- Consider an electric vehicle or heat pump upgrade, both supported by additional Victorian and federal incentives.
Frequently asked questions about Victoria solar rebates
How much is the Victoria solar rebate in 2026-27?
Eligible owner-occupiers can get up to $1,400 off a solar panel system, plus an optional $1,400 interest-free loan. Hot water rebates range from $1,000 to $1,400, and the federal battery rebate adds roughly $238 to $252 per usable kWh on top.
Am I eligible for Victoria solar rebates?
You generally need to be a Victorian owner-occupier or rental provider with a combined household income of under $150,000 per year (from 1 July 2026) to qualify for the solar panel and hot water rebates. The federal battery and STC rebates have no income test.
Can I combine federal and state Victoria solar rebates?
Yes. Federal STC and Cheaper Home Batteries Program rebates can generally be stacked with Victoria’s Solar Homes Program rebates on the same installation, though state loans may have their own limits.
Has the Victoria feed-in tariff changed?
Yes. Since 1 July 2025, the Essential Services Commission no longer sets a minimum feed-in tariff. Retailers set their own rate, which cannot go below $0.00 per kWh, so comparing offers matters more than ever.
How do I apply for Victoria solar rebates?
Most Victoria solar rebates are applied by your accredited installer, who deducts the rebate directly from your invoice. Speak with a Solar Victoria-approved retailer or request free quotes to start the process.
Read more about energy saving, carbon reduction and cash-saving opportunities
- How You Can Reduce Your Carbon Footprint With Solar Power
- 10 Tips To Reduce Your Live Electricity Usage In Australia
- What can you eat to reduce your carbon footprint?
- How to save money and improve your carbon footprint at your business
- Australia: Net Zero Emissions Target By 2050
- How to calculate your carbon footprint
¹ Victoria State Government, Energy, Environment and Climate Action – Victorian Energy Upgrades
