Family of 12 slashes $1,000 electricity bill to zero as solar battery discounts confirmed

A Sydney dad has shared how he has more than halved his electricity bill and expects his next bill will be nothing. Demand for solar batteries is expected to soar over the coming year, with the federal government announcing discounts on batteries and states also introducing rebates on installation costs.

David Sellen recently installed three solar batteries on his four-bedroom family home in Horsley Park in Sydney’s south-west, having previously installed solar panels on the roof. The 68-year-old told Yahoo Finance his family were “big power users” with up to a dozen people regularly at home at any one time across his three adult kids, partners and six grandkids.

“In the last few years, the price of electricity has gone through the roof, so I decided I’d better do something, especially if I’m going to retire. I don’t want to be spending $1,000 per quarter on electricity,” he said.

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Sellen, who works two days a week in design technology, said it cost him $12,000 to install two 10.1 kWh solar batteries at the end of last year.

He received a discount from the state government for the batteries. Since then, he said the two batteries had “more than halved” his electricity bill.

He installed a third battery a few weeks ago for $5,000 and expects his next bill will be “nothing” or he may get a “small credit”.

“I’ve noticed with the third battery on, in the morning even after it’s heated the hot water overnight, I’ve still got about 75 per cent battery life left,” he said.

“It’s made a huge difference on how much electricity I still have in the batteries. I can comfortably use the stove, use the coffee machine and put the dryer on and know that I’m not using power out of the grid.

“That’s a saving of $4,000 a year, $1,000 every quarter, so I reckon in three to four years it will all be paid for by itself.”

NSW households can get an upfront discount when installing solar batteries, something Sellen was able to take advantage of.

Since the incentive was launched in November, the state government said more than 7,800 batteries had been installed.

The discount depends on the size of the battery, with a typical 13.5 kW battery able to get $2,000 off.

“More than a third of NSW homes already have rooftop solar, and now we’re helping thousands of them connect a battery so they can store the energy produced when the sun is up, and use it around the clock,” Premier Chris Minns said.

“We know there is a lot more work to do to reduce cost-of-living pressures but schemes like this are putting money back in people’s pockets in a way that is good for energy reliability and good for the environment.”

Solar battery provider VoltX said it has seen an uptake in household battery systems, mirroring international trends.

“Australia is set to follow suit, with up to 160,000 new battery installations nationwide expected in the next 12 months,” VoltX Energy CEO David Sedighi said.

“We alone are anticipating an eight-fold increase from around 1,500 households per year to over 12,000.”

Like customer Sellen, Sedighi said he was seeing households opting for two batteries to retain more of the solar power they were generating during the day and reducing reliance on the grid.

He claimed this meant clients are “no longer paying an electricity bill at all”.

Labor announced a $2.3 billion Cheaper Home Batteries program over the weekend.

Under the plan, households, small businesses and community facilities would get a 30 per cent discount on the upfront cost of a typical battery.

One in three Aussie households have solar panels, but the government estimated that just one in 40 had their own battery.

Labor said the plan would save a household with existing rooftop solar up to $1,100 extra off their power bill every year and up to $2,300 a year for those with new solar.

Sellen said the cost of installing solar batteries was a “huge barrier” and any financial support was welcome.

“I just had to bite the bullet. I’m still working two days a week and putting some of that money aside so I’ve got money to buy it. I also drew on my super a bit to put the batteries on,” he told Yahoo Finance.

Sellen said he was in the process of upgrading his appliances to more energy efficient versions ahead of retiring.

He said it was a nice feeling knowing he wasn’t going to have a “huge electricity bill” and could put money towards his kids and grandkids instead.

“If I’m retiring completely and don’t have to work, it’ll be nice not to have to worry from month to month about where the money is coming from and whether I have to go back to work,” he said.

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