Get a free quote NSW VIRTUAL POWER PLANT PROGRAM
Connect Your Battery.
Support the Grid. Get Rewarded.
Eligible NSW households and small businesses may receive an additional government incentive by connecting a compatible solar battery to a participating Virtual Power Plant.
You may also receive ongoing payments or electricity bill credits when your stored energy is used to support the electricity grid.
MORE VALUE FROM YOUR BATTERY
NSW Upfront Incentive
Eligible customers may receive an additional NSW Government incentive when joining a participating VPP.
Ongoing Energy Payments
Depending on your VPP agreement, you may receive payments or electricity bill credits when stored energy is exported to the grid.
Combine with the Federal Rebate
The NSW VPP incentive can be combined with the Australian Government's Cheaper Home Batteries Program.
Support the Electricity Grid
Your battery can help supply electricity during periods of high demand and improve overall grid stability.
What Is a Virtual Power Plant?
A Virtual Power Plant, or VPP, connects compatible solar batteries through smart software.
When electricity demand is high, the VPP provider may remotely access an agreed portion of the energy stored in participating batteries and export it to the grid.
In return, battery owners may receive an upfront incentive, ongoing payments, electricity bill credits or other benefits, depending on the selected provider and contract.
Your battery remains installed at your property and continues to store solar energy for your home. The amount of energy available to the VPP and when it can be accessed will depend on your agreement.
How Much Is the NSW VPP Incentive?
The incentive is not a fixed amount. The actual value depends on:
- The eligible battery capacity made available to the VPP
- The participating VPP provider
- The contract and payment structure
- The battery model and system compatibility
- The amount of capacity the provider is permitted to access
Eligible batteries can be more than 2kWh and up to 50kWh in capacity. The incentive amount is calculated according to eligible capacity made available to the grid, up to 28kWh.
The incentive may be paid upfront, in instalments or as a credit on the customer's electricity bill.
General Eligibility Requirements
To qualify for the NSW VPP incentive, customers generally need:
- To be located in NSW
- An eligible grid-connected solar and battery system
- A battery with more than 2kWh and no more than 50kWh of eligible capacity
- A battery and inverter compatible with the selected VPP provider
- To choose a VPP provider participating in the NSW Government incentive
- To use a compatible electricity retailer, or change retailer if required
- To sign the provider's contract and NSW nomination form
- To complete the provider's onboarding process
- Not to have previously claimed the same NSW VPP incentive for the NMI
The incentive can generally only be claimed once per National Metering Identifier. Off-grid battery systems are not eligible because they cannot export stored electricity to the grid.
How the VPP Program Works
- Check Battery Compatibility
Tenet Tech can help confirm whether your proposed or existing battery system is technically VPP-capable.
- Compare VPP Providers
Different providers support different battery models, electricity retailers and locations. Their payments and operating conditions can also vary.
- Review and Sign the Agreement
The provider will issue a contract explaining how much battery capacity it can access, when it may access the battery and how you will be paid. You will also need to sign the required NSW nomination form.
- Complete Onboarding
After the cooling-off period and verification process, the battery will be connected to the VPP.
- Receive Your Incentive
Depending on the provider, the NSW incentive may be paid upfront, in instalments or as an electricity bill credit. You may also receive ongoing benefits under the VPP agreement.
What to Check Before Joining
Before signing a VPP contract, compare:
- The upfront incentive offered
- Ongoing export payments or bill credits
- How often the provider may access your battery
- The amount of battery capacity reserved for your home
- Electricity usage and feed-in tariffs
- Contract duration and cooling-off period
- Exit fees or early termination conditions
- Compatible battery and inverter models
- Whether you need to change electricity retailer
- Any potential impact on battery usage or warranty conditions
VPP providers operate independently and may offer significantly different contract terms.
Frequently Asked Questions
Can I combine the VPP incentive with the federal battery rebate?
Yes. Eligible NSW customers may use the Australian Government battery discount and then receive the separate NSW incentive by joining a participating VPP.
Can I join with an existing battery?
Possibly. Your battery must meet the NSW eligibility requirements and be supported by a participating VPP provider.
Will the VPP use all the energy in my battery?
The provider can only access the battery according to the conditions in your contract. Check how much capacity will remain available for your household.
Are ongoing VPP payments guaranteed?
No. Payments depend on the provider, contract, energy market conditions and the amount of stored energy exported.
Can an off-grid property join a VPP?
No. The battery must be connected to the electricity grid.
Can I claim the NSW incentive twice?
No. The incentive can generally only be claimed once per NMI. Customers who previously claimed the earlier NSW VPP incentive cannot claim the increased incentive again for the same NMI.
Find the Right VPP-Compatible Battery
Tenet Tech can help you select a compatible battery system and explain the difference between the Australian Government battery rebate and the NSW VPP incentive.
Final VPP approval, contract terms and incentive payments are determined by the selected VPP provider.
Important Information
Tenet Tech is not a VPP provider or government agency. VPP eligibility, battery compatibility, incentive amounts, payments and contract conditions are determined by the participating provider and applicable NSW Government program rules.
Customers should review the provider's contract, electricity tariffs, battery access conditions, exit terms and payment structure before joining.
View Official NSW VPP Incentive Information