It’s taken years to get here, but Labor’s election pledge to make household batteries cheaper is a significant step forward that should cut climate pollution and limit power price rises. While it has been criticised by some as a subsidy for the wealthy, it could drive a change that benefits everyone who uses the power grid, and not just those who can afford to put an energy storage unit in their garage.

Labor’s promise is that from July it will cut the cost of a typical household battery by about $4,000, or 30%. The discount will be delivered through a long-running small-scale renewable energy scheme that has helped make rooftop solar panels and hot water systems affordable for more people.

This is obviously great for those well-off enough to cover the rest of the cost of installing a battery. The energy department has estimated it could lower annual power bills for those with an average-sized solar system on their roof by about $1,100 a year. This subsidy will significantly reduce the time it takes to pay off the battery through cheaper quarterly bills.

In simple terms, it means less of the rooftop solar energy generated when the sun is at its most potent in the middle of the day will be lost or fed into the grid for little financial benefit. Instead, the energy will be stored and used to power these people’s homes in the evening.

If this was all it did it may be hard to justify.........

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