When Will Solar Batteries Be More Affordable? The Answer Is Now!

Solar batteries for residential solar systems have been available for at least 5 years now. We were one of the first ones to tell clients not to rush into buying a solar battery as the prices weren’t cost effective and they would probably come down in due time.

This has been the case for a while, despite some bumps with the world economy, pandemics, and international issues that have affected trade and goods shipment costs. However, the truth is, solar batteries are getting cheaper.

So to simply answer your question, ‘when will solar batteries be affordable?’, we can now tell you the answer is now! Read on to learn why that is.

Why have solar battery prices gotten cheaper recently?

Recently, solar battery prices have come down substantially and we don’t expect any more major price drops anytime soon. This is because the raw materials, processing, and manufacturing processes have stabilised, reaching peak market efficiency.

We still get questions from people wondering why solar batteries are so expensive and it’s a difficult question to answer since the term ‘expensive’ is relative. To put things into perspective, currently a 10 KW solar battery is cheaper than some average-priced furniture, not to mention large TV sets.

Given that solar batteries can power your home for around 15 years and save you substantial money, they may not seem as costly in the long run. However, the initial capital outlay remains. Fortunately, this can be managed through attractive payment plans available on the market, or even through your home mortgage, which typically offers the lowest interest rates.

Learn more about e-Solar’s payment plans. So you can start saving with a solar battery right away!

Advancements in solar battery technology

There are a number of technologies in the pipeline and they all look promising, however, what makes the price of a product so high is the mass production of the same and the adoption in the market.

For now, Lithium batteries are the cheapest and like other products, the more they are produced in more efficient ways the cheaper they will get. When and to what extent it’s always difficult to predict.

People realise that waiting for battery price drops means you miss savings

One thing is certain: waiting for battery prices to drop further is not cost-effective. The savings they are providing overall, even at the current prices, are such that waiting any further would mean losing out in the long run. The sooner you start investing in solar batteries, the more money you’ll save on energy.

More value for money solar battery storage

While prices themselves may not be plummeting, one could argue that the value of what’s being offered is steadily improving. Also, because there are so many different types of batteries, ranging from small camping solar batteries to commercial batteries, we see some offers coming in the mail that looks quite cheap and affordable, however often the size of these batteries is not realistic for most households’ requirements.

2-3 kW batteries won’t significantly impact your electricity bills if you’re planning to run everyday appliances like fridges, washing machines, and dishwashers regularly. They might be enough to power your lights and TVs at night, but these aren’t the main contributors to high electricity costs. Instead, they contribute to high solar battery costs with little reward.

The benefits of owning a battery are increasing, whilst the costs are decreasing

The benefits of owning a solar battery are steadily increasing as the technology continues to improve, while the associated costs are gradually decreasing. With enhanced efficiency, longer lifespans, and greater storage capacities, modern batteries offer homeowners the ability to store excess solar energy generated from their solar panels, reduce reliance on the grid, and significantly lower electricity bills.

Additionally, the initial investment is becoming more accessible, thanks to falling prices and attractive financing options. As a result, the overall value of installing a solar battery has never been better, making it a more compelling choice for those looking to maximise their energy independence and savings.

The demand for residential solar batteries is increasing

Finally, as the demand for residential solar batteries rises, manufacturers are able to produce them at larger scales, driving down production costs. This increased demand encourages competition among suppliers, leading to innovations and efficiency improvements that further reduce prices. Additionally, economies of scale and technological advancements help make solar batteries more affordable for homeowners, making the shift to renewable energy storage more accessible.

Why solar batteries are considered expensive

So, as we know, cheap is relative. Therefore, we need to be careful when buying cheap solar batteries. It is also important to make sure that what you buy is going to cater for your realistic needs and make a difference on your bill, otherwise, the money invested in a solar battery is wasted.

There is nothing worse than when a client comes to us for additional solar battery capacity and we need to tell them that the solar battery they need cannot be integrated with their existing solar system.

They initially spent what they considered a reasonable and affordable price for a battery, only to quickly realise it wasn’t meeting their expectations or the promises made by the seller. Having experienced a glimpse of the benefits, they’re now willing to invest significantly more to achieve the desired results. This serves as a clear example of how batteries can still be costly in the long run.

What influences the price of a solar battery?

When considering the cost of a solar battery, it’s important to recognise that several key factors play a role in determining the final price. Here’s some factors to consider.

• Capacity (kWh) – The larger the storage capacity, the higher the price.
• Battery type – Lithium-ion batteries are generally more expensive than lead-acid or other types but within good reason, they offer greater efficiency.
• Battery lifespan – Longer-lasting batteries with higher cycle life tend to be more costly.
• Brand/manufacturer – Well-known brands may charge premium prices due to reputation and quality.
• Warranty – Longer or more comprehensive warranties typically increase the cost.
• Installation costs – Installation complexity and labour charges can impact the overall price.
• Inverter compatibility – Batteries compatible with specific or advanced solar inverters may have higher prices.
• Raw material costs – The availability and price of materials like lithium and cobalt affect battery pricing.
• Supply chain and manufacturing efficiency – Efficient production processes and supply chain stability can lower or stabilise prices.
• Local incentives or rebates – Locations with incentives or rebates for solar batteries may offset initial costs, influencing the final price.
• Shipping and logistics – Transportation and logistics costs may vary, especially for imported batteries.
• Market demand – High demand can drive up prices, while increased competition may reduce them.

These are only some of the factors, with so many to consider, it’s easy to see why solar battery prices can vary widely, and why understanding these elements is vital when making an informed solar battery investment decision.

Talk to e-Solar For Reliable and Affordable Solar Battery Solutions

Battery brands that come and go and then provide no support or warranty make batteries expensive for the unfortunate ones. Lucky for you, e-Solar has been helping Perth homeowners power their homes with solar for 21+ years. All of our clients who have opted for solar batteries in the last five years are all still happy with the decision they took and in fact, most of them have come back to add even more!

Whether you’re looking to install a new solar and battery system or looking to add a solar battery to an existing solar system, our team is ready to help you. Submit an online enquiry or call us today on (08) 6363 5420 for a no-obligation free quote.