Australian households and small businesses continue to face evolving energy costs in 2026. While the previous federal Energy Bill Relief Fund concluded its direct payments on 31 December 2025, a new $150 federal energy rebate is set to roll out for eligible households from July 2026, applied automatically to electricity bills. This new measure, targeting low- and middle-income households, aims to provide further support against utility expenses. Beyond this, a complex landscape of state and territory-specific concessions, rebates for energy-efficient upgrades, and strategic consumption habits remain critical for managing your power bills this year.
The Latest on Federal Energy Bill Relief in 2026
The National Energy Bill Relief Fund, which provided $150 (delivered in two $75 instalments) to households and eligible small businesses for the first half of the 2025-26 financial year, concluded its payments on 31 December 2025. However, the Australian Government has confirmed a new $150 energy rebate will be applied to eligible household electricity bills starting from July 2026. This rebate is expected to be split across multiple billing periods and will be automatically applied, primarily benefiting low- and middle-income households.
Small businesses that met eligibility criteria also received a $150 credit for the 2025-26 financial year, with most payments having concluded by early 2026. Applications for businesses in embedded networks (e.g., shopping centres, strata) generally closed on 30 June 2026.
State and Territory Energy Concessions and Rebates (2026)
While federal direct bill relief payments are shifting, all Australian states and territories continue to offer a range of ongoing concessions and rebates. These typically target low-income earners, pensioners, and those with specific medical needs, often requiring a valid concession card and the energy account to be in the applicant’s name at their principal place of residence.
| State/Territory | Key Energy Concessions/Rebates (2026) |
|---|---|
| New South Wales (NSW) | Low Income Household Rebate: Up to $285/year (quarterly credit). NSW Gas Rebate: Up to $110/year. Family Energy Rebate: For Family Tax Benefit recipients. Energy Savings Scheme (ESS): Point-of-sale discounts for upgrades (e.g., heat pumps, insulation). Peak Demand Reduction Scheme (PDRS): Upfront incentives for connecting batteries to Virtual Power Plants (VPPs) from April 1, 2026. |
| Victoria (VIC) | Victorian Energy Upgrades (VEU) program: Discounts on LED lighting, efficient heating/cooling, heat pumps, insulation, solar. No income limits. Solar Panel Rebate: Up to A$1,400 (or 50% of cost) for eligible owner-occupiers (household income < A$210,000, property value < A$3 million). Hot Water Rebates (Solar Victoria): Up to $1,000 (standard) or $1,400 (Australian-made) for heat pumps/solar hot water. Stackable with VEU and federal STCs. |
| Queensland (QLD) | Electricity Rebate: For pensioners and seniors. Reticulated Natural Gas Rebate, Medical Cooling and Heating Electricity Concession Scheme, Electricity Life Support, Home Energy Emergency Assistance Scheme. Queensland Battery Storage Loan: Interest-free loans up to $10,000 for battery storage. Solar for Renters Rebate: Up to $3,500 for landlords installing solar. |
| South Australia (SA) | Retailer Energy Productivity Scheme (REPS): Free or discounted upgrades (insulation, hot water, efficient AC, VPP connection, EV demand response). Highest incentives for concession card holders. SA Concessions Energy Discount Offer (SACEDO): With Origin Energy, 20% off electricity, 15% off gas for eligible concession holders until at least 2029. |
| Western Australia (WA) | WA Residential Battery Scheme: Up to $1,300 (Synergy customers) or $3,800 (Horizon Power customers) for batteries. Interest-free loans up to $10,000 for eligible households (income < $210,000). VPP participation is mandatory. Distributed Energy Buyback Scheme (DEBS): Feed-in tariff (10c/kWh peak 3-9pm; 2c/kWh other times for Synergy). |
| Tasmania (TAS) | Annual Electricity Concession: ~$513.70/year for concession card holders. Heating Allowance: $56/year. Medical Cooling or Heating Concession: ~$513.70/year. Energy Saver Loan Scheme: Interest-free loans up to $10,000 for energy upgrades. EV Rebate: $2,000 for eligible new BEVs or second-hand EVs new to Tasmania. |
| Australian Capital Territory (ACT) | Sustainable Household Scheme: Low-interest loans up to $15,000 for EV chargers, induction cooktops, insulation. Electricity, Gas and Water Rebate: Annual rebate. |
| Northern Territory (NT) | NT Concession Scheme: Up to $1,200/year for electricity. |
Harnessing Federal Solar and Battery Incentives
Beyond direct bill relief, significant federal incentives continue to drive down the upfront cost of renewable energy systems, though values are changing in 2026.
Federal Small-scale Renewable Energy Scheme (STCs) for Solar
The Small-scale Renewable Energy Scheme (SRES) remains Australia’s primary federal solar rebate, delivered through Small-scale Technology Certificates (STCs). These certificates are typically assigned by your installer at the point of sale, providing an upfront discount on your system.
Important Change for 2026: On 1 January 2026, the deeming period for STCs dropped from six years to five years, resulting in an approximate 15-20% reduction in the upfront discount for new solar panel installations. The value of STCs will continue to reduce annually until the scheme ends on 31 December 2030. This means installing solar sooner rather than later can maximise your rebate.
For example, a 6.6kW solar system in Brisbane could see an STC value of approximately $2,800 - $3,200 in 2026, while in Adelaide, it’s around $2,000.
Federal Cheaper Home Batteries Program (Changes from May 1, 2026)
The federal Cheaper Home Batteries Program provides an upfront discount on eligible home battery systems. However, significant changes took effect from 1 May 2026.
“From 1 May 2026, the federal battery rebate is worth about $252 per usable kWh for most standard home batteries.”
Previously, the rebate was around $311 per usable kWh (pre-May 1, 2026). The new structure introduces a tiered rebate system, where the full STC factor applies up to 14 kWh of usable capacity, with reduced rates for larger batteries (60% for 15-28 kWh, and 15% for 29-50 kWh). This means smaller and mid-sized battery systems will be relatively more attractive under the revised scheme. Expected savings for a standard 14 kWh home battery are approximately $4,350.
This rebate can often be stacked with state-based incentives, such as those in WA for VPP participation.
Cutting Your Utility Bills: Beyond Rebates
While rebates offer crucial upfront relief, long-term savings come from strategic energy management and efficiency upgrades. Wholesale electricity prices averaged $73/MWh in Q1 2026 across the National Electricity Market (NEM), down 12% from Q1 2025, with an anticipated reduction in default electricity prices from 1 July 2026. East coast wholesale gas prices also saw a significant drop, averaging $10.61/GJ in Q1 2026, a four-year low in March at $9.22/GJ.
To maximise your savings, consider:
- Energy-Efficient Appliances: Upgrading to high-efficiency appliances like heat pump hot water systems can drastically reduce energy consumption. Many state programs, like Victoria’s VEU scheme and NSW’s ESS, offer discounts on these upgrades. For example, Victorian households can receive up to $1,000 (or $1,400 for Australian-made) for eligible heat pumps. For a detailed guide, see our article on Best Heat Pump Hot Water Systems in Australia 2026: Costs, Rebates & Buyer’s Guide.
- Solar & Battery Storage: With federal STCs and evolving battery rebates, installing solar panels and home batteries remains a sound investment. Batteries allow you to store excess solar generation for use during peak evening periods, reducing reliance on grid electricity. Explore Best Solar Panel & Home Battery Financing Options in Australia 2026: Loans, PPAs & Green Mortgages Explained for financial support.
- Insulation and Draught Sealing: Improving your home’s thermal envelope can significantly reduce heating and cooling costs. The Victorian Energy Upgrades program, for instance, has expanded to include ceiling insulation from April 2026. This is especially critical as we head into colder months. Our guide, Winter is Coming: How to Slash Your Australian Heating Bills in 2026 as Energy Rebates End, offers further strategies.
- Virtual Power Plants (VPPs): In states like NSW, SA, and WA, connecting your home battery to an approved VPP can unlock additional incentives and ongoing payments.
- Compare Energy Plans: Regularly comparing electricity and gas plans from different retailers can ensure you’re on the best possible tariff for your consumption patterns. Websites like Energy Made Easy (federal) or Victorian Energy Compare (VIC) are essential tools.
Bottom Line
While the direct, broad federal energy bill relief payments from the 2025-26 financial year have concluded, new targeted federal support of $150 per household is coming from July 2026. This, combined with a robust suite of state-based concessions and incentives for energy efficiency and renewable energy, provides multiple avenues for Australians to manage their utility costs. Actively seeking out eligible state concessions, taking advantage of federal STCs for solar (before they reduce further), and carefully considering the revised federal battery rebate structure from May 1, 2026, are crucial steps. Beyond rebates, investing in energy-efficient upgrades and regularly comparing energy plans will deliver the most substantial and sustained savings. Don’t wait; assess your eligibility for current programs and make informed decisions to lower your energy bills now and into the future.