For batteries onboarded to a VPP on or after 1 July 2026, the key changes are: Batteries up to 50 kWh may now be eligible The rebate is still calculated on the first 28 kWh only The nomination form can be signed up to 90 days after VPP onboarding Solar panels are no longer required to be installed at the property

NSW VPP rebate rule changes from 1 July 2026

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NSW VPP rebate rule changes from 1 July 2026

NSW VPP rebate rule changes for batteries onboarded from 1 July 2026

The NSW VPP battery rebate rules have been updated for batteries that are onboarded to a Virtual Power Plant, also known as a VPP, on or after 1 July 2026.

The main changes affect battery size eligibility and when the customer nomination form can be signed. These changes are intended to make the rebate easier to access for more customers joining a VPP.

What has changed?

For batteries onboarded to a VPP on or after 1 July 2026, the key changes are:

Batteries up to 50 kWh may now be eligible
The rebate is still calculated on the first 28 kWh only
The nomination form can be signed up to 90 days after VPP onboarding
Solar panels are no longer required to be installed at the property

Battery size eligibility has increased

Previously, batteries needed to be under 28 kWh to be eligible for the NSW VPP rebate.

For batteries onboarded to a VPP on or after 1 July 2026, batteries with a usable capacity of more than 2 kWh and up to 50 kWh may now be eligible.

This means some larger household batteries may now be able to participate, including systems that may have previously been too large for the rebate.

How is the rebate calculated?

Although batteries up to 50 kWh may now be eligible, the rebate amount is still capped at 28 kWh.

This means if your battery is larger than 28 kWh, you may still be able to apply, but the rebate amount will only be calculated using the first 28 kWh of usable battery capacity.

For example, a 50 kWh battery will not receive a rebate based on the full 50 kWh. It will receive the same rebate amount as a 28 kWh battery.

Nomination forms can now be signed after VPP onboarding

Another important change is the timing of the customer nomination form.

Previously, the nomination form needed to be signed on or before the day the battery was onboarded to a VPP.

For batteries onboarded to a VPP on or after 1 July 2026, the nomination form can now be signed up to 90 days after VPP onboarding.

This gives customers, VPP providers and rebate providers like MAC more flexibility, while still keeping the requirement for clear customer consent.

Do I still need solar panels?

No. For batteries onboarded to a VPP on or after 1 July 2026, the NSW VPP rebate rules no longer require solar panels to be installed at the property.

This means a battery may still be eligible to join a VPP and receive a rebate even if there is no solar system installed at the site.

What if my battery was connected to a VPP before 1 July 2026?

These changes apply to batteries that are onboarded to a VPP on or after 1 July 2026.

If your battery was onboarded to a VPP before 1 July 2026, the previous eligibility rules may apply. This means batteries over 28 kWh are not eligible under the previous rules.