Australia's home battery installations triple in 2025
Wed, 1st Jul 2026 (Today)
SunWiz has published a report showing that Australian home battery installations tripled in 2025, with 221,000 residential battery systems installed during the year.
That was a sharp rise from 72,500 installations in 2024 and added 4,790MWh of storage. According to SunWiz, that volume was enough to supply about 1.2 million homes during the four-hour evening peak.
The data also points to a shift in the scale of household systems, not just the number of installations. Average battery size rose to 21.6kWh in 2025 from 11.8kWh a year earlier, indicating that households were buying larger units rather than simply more of them.
New South Wales remained the largest state market, accounting for more than 76,000 installations, or more than a third of the national total. Queensland moved ahead of Victoria for the first time, taking 19% of installations to Victoria's 18% after changes to Victoria's subsidy settings.
Across the country, 4.6% of homes now have a battery installed, the report found. It also found that 13% of solar photovoltaic systems in Australia now include battery storage.
Market shift
The report described 2025 as a turning point for the residential battery sector, with installation growth far outpacing the previous year. It also placed Australia among the world's largest home battery markets, saying the country had become the third largest globally.
SunWiz linked much of the growth to the Federal Government's Cheaper Home Batteries Program, which encouraged households to install batteries and choose larger systems. Broader concern over electricity prices was also cited as a factor in household decision-making.
Brand market share also shifted during the year. SunWiz said China-based Sigenergy led the market despite entering Australia only in 2024, while Fox ESS returned and captured a 10% share by kilowatt-hour. Tesla and BYD both lost ground, according to the report.
Warwick Johnston, Managing Director of SunWiz, said the market had changed significantly.
"2025 wasn't so much a growth year for Australian batteries, it was the year they went mainstream," said Warwick Johnston, Managing Director of SunWiz.
"It's telling that while installations have increased threefold, capacity has increased fivefold - Australian homes are benefiting from more modern and larger battery systems that are supporting the country's emissions goals and their own back pockets at a time when energy costs have become such a major national concern," Johnston said.
Cost pressure
The report forecast further expansion in 2026, with about 350,000 battery installations expected nationwide. SunWiz said the outlook reflected continued support from the Cheaper Home Batteries Program as well as anxiety over energy prices linked to the Iran war.
That projection suggests the residential battery market could grow again after its strongest year on record. If reached, it would mark another large annual increase on 2025's total and deepen battery adoption in a country where uptake has already spread to nearly one in 20 homes.
Australia's battery market is expanding alongside significant activity in larger storage projects. More than 25GWh of grid-scale battery energy storage is under construction, showing that household systems are growing in parallel with utility-scale investment.
The comparison with utility assets underlines the scale of the residential build-out. SunWiz said the 4,790MWh added in 2025 was roughly 25 times the capacity of South Australia's Hornsdale Power Reserve.
Johnston said concerns over household energy bills were likely to remain a key influence on demand.
"We're looking at years of higher energy costs and uncertainty over those costs," Johnston said.
"That motivates Australian families to secure their own electricity supply. We anticipate installation volumes to 2030 will be shaped by the interplay of declining rebates, falling battery costs, rising electricity prices, and rising demand for energy self-sufficiently. On balance, these forces point to sustained demand. The boom is far from over," Johnston said.