What does Australia’s new battery rebate mean for V2G technology?

In the recent Australian election, Prime Minister Anthony Albanese’s Labor Party returned to power with a key campaign promise for a national rebate on home battery systems. This is an important and necessary step in the country’s transition to a cleaner, smarter energy future, but for those of us working on vehicle-to-grid technology (V2G) like JET Charge, there’s a question that naturally follows: what does this mean for V2G uptake?

June 30, 2025 Kristian Handberg

Image: JET Charge

On the surface, the answer seems pretty straightforward: batteries will get a boost. This rebate gives homeowners a real financial incentive to install home batteries, helping them cut power bills, reduce their reliance on the grid and make better use of their solar investment. And while that might make V2G look a little less appealing by comparison in the short term, it’s not all bad news for EVs.

Let’s take a step back.

Australia is uniquely positioned to adopt battery technology at scale. Around one in three homes already has solar, but much of that energy is being sold back into the grid for mere cents – especially during the day, when supply is high and demand is low. The economics just aren’t great. A home battery changes that. Instead of almost giving away surplus energy, you store it and use it later, usually in the evenings when energy costs are higher. That’s a clear path to bill savings.

At first glance, that seems like bad news for V2G. It’s likely that a number of consumers who were interested in running their homes off their vehicles – especially houses with solar panels – will now instead choose to take advantage of a subsidised home battery, delaying their EV purchase or V2G plans. We expect to see a delay in V2G demand and possibly EV uptake in the niche “energy prosumer” customer segment.

But this isn’t necessarily a setback, just a shift in timing.

The upside is that the rollout of these subsidised batteries is going to create the exact type of environment that the V2G sector needs to thrive in the future. Excitingly, we’ll learn a lot through this public investment. We are going to get a large amount of data on things like how consumers engage with storage, how they respond to energy tariffs and how retailers can build compelling customer propositions around flexible energy use. All of that applies just as much to V2G as it does to static batteries.

In other words: same electrons, different bucket.

V2G will become a key part of Australia’s future energy system, but the technology is still maturing. For example, right now it can cost upwards of $5,000 (USD 3,265) for a V2G charger before installation – and that’s without a subsidy. V2G requires bi-directional inverters and car manufacturers are still rolling out approvals for cars that support the tech. From a government policy perspective, the timing isn’t quite right to subsidise V2G – yet.

As the tech matures, costs come down and more EVs have V2G capability, it will make sense to revisit that conversation. And based on the upcoming home battery experience, we’ll be seeing calculators that can help tell consumers the best option for their circumstances and set-up – whether that’s a home battery, a V2G set-up, or both.

We already know the ideal conditions where a V2G charger can shine. For example, if you have an EV and can charge it during the day – either at home or at work, especially with cheap off-peak solar – then using it to power your home in the evenings can absolutely reduce your energy bill. The double benefit here is that your car’s battery is effectively a sunk cost that can now also power your home beyond providing transport.

Ultimately, Australia’s national battery subsidy shouldn’t be seen as competition for V2G. Instead, we should see it as a valuable learning opportunity and a step in the right direction for a clean-energy future. Through this initiative, we will see a new fleet of smart, responsive batteries and energy assets that will help pave the way for a future where V2G is an obvious choice.

It’s a good thing for consumers, a good thing for the energy system and, in time, it will be a good thing for the EV transition.

Author: Kristian Handberg, Head of Future Business, JET Charge – Australia’s largest EV infrastructure and technology company. With over a decade of industry expertise, the company delivers full-service charging solutions to Australian homes and fleet networks. Kristian is passionate about powering electrification in Australia and New Zealand towards a safer, more sustainable, low-emissions future.

The views and opinions expressed in this article are the author’s own, and do not necessarily reflect those held by pv magazine.

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