Australia’s solar and battery transition is leaving behind millions of renters, apartment dwellers and low-income households, Energy Consumer Australia (ECA) research released today shows. ECA is calling for immediate government action to ensure all households can benefit in the home energy revolution.
Understanding household barriers to residential solar and battery uptake and the potential for growth shows that 50% of Australians are facing one or more structural barriers to making the switch to household solar and batteries.
The report analyses data from Energy Consumers Australia’s most recent Consumer Energy Report Card which surveyed about 4000 Australian households on various attitudes towards the energy transition.
It shows that 33% of Australians live in rental homes, leaving them with little control over their home’s energy infrastructure. A further 7% are owner-occupiers living in apartments, where strata rules can create complex legal and governance barriers to electrification. A total of 10% are neither renters nor apartment dweller but have a household income below $50,000, so may not have the financial means to purchase solar or a battery.
ECA Executive Manager, Analysis and Advocacy, Ashley Bradshaw, said the report underlines the growing divide when it comes to accessing solar and batteries and the huge impacts on those unable to access the technologies.
"We applaud the Federal Government’s Cheaper Home Batteries Program and similar programs which are significantly accelerating household battery uptake across the country,” Mr Bradshaw said. “Our data shows, however, that millions of households - especially renters, apartment dwellers, and low-income families - are being locked out of the solar and battery revolution. That is why we are calling on state and territory governments to urgently introduce minimum energy performance standards for rental properties, so renters can reduce their energy bills and improve their comfort and wellbeing, even if they cannot access solar or batteries directly."
In addition, ECA is calling for the following reforms to supercharge the inclusive rollout of solar and batteries and support those with barriers – governments should:
- Make sure all social and community housing is fully upgraded by 2035 by accelerating funding for the Social Housing Energy Performance Initiative (SHEPI).
- Require energy performance ratings for homes and businesses at point of lease and sale to help prospective tenants and owners make their homes more affordable and comfortable.
- Reform strata rules to support rapid electrification in multi-unit dwellings.
- Provide grants and direct finance options for low-income households or illiquid homeowners to electrify.
- Explore targeted tax incentives for landlords who invest in energy upgrades — including batteries — for their properties without increasing the total cost renters pay.
The report also identifies a large 'untapped' segment of Australians who face no structural barriers and are considering solar and batteries, but have not yet made the switch.
"There remains a massive, untapped appetite for small-scale energy in Australia,” Mr Bradshaw said. “Our data reveals that 15 per cent of Australian homes do not face these major barriers and are currently researching solar, while another 23 per cent say they are interested in getting a battery. These aren't households locked out by apartment living or rental agreements - these are families ready to invest right now."
The report also shows that households that strongly agree they understand why Australia is transitioning to clean energy are more likely to own – or be considering – a battery.
"All households and small businesses should have tailored, trusted, and well-publicised advice and support to make better energy decisions, including the purchase of a battery,"Mr Bradshaw said. "In Victoria, the State Electricity Commission is launching a one-stop-shop that provides free, trusted and simple advice to families on how to save money on their bills. We think all Australians deserve such advice and we encourage all governments to fund similar services."
Click here to read the report in full.
For interview requests or more information, contact Stuart Turner on 0415 403 208
About Energy Consumers Australia
Energy Consumers Australia is the independent, national voice for residential and small business energy consumers. We enable residential and small business energy consumers to have their voices heard.