“One day, I’ll just go off-grid.” The idea sounds simple. Cut ties with the energy companies. Run everything yourself. No more power bills. No more blackouts. No more headaches.
But here’s the thing. Off-grid solar isn’t as simple as putting up some panels and adding a battery. It’s not just a lifestyle choice. It’s a big decision, and it comes with real costs and responsibilities.
At PSC Energy, we’ve seen an increase in people inquiring about off-grid solar since the federal government announced its new battery rebate in 2025. Off-grid systems now qualify for the federal battery rebate. And that changes everything.
In this article, you’ll learn about the following:
- What Counts As “Off-Grid” in 2025?
- Which Batteries Are Off-Grid Ready?
- Advantages and Disadvantages of Off-Grid Solar
- Frequently Asked Questions About Off-Grid Solar and the 2025 Federal Battery Rebate
By the end of this article, you’ll understand what off-grid solar really means in 2025. We’ll explain the rules, the rebates, and the risks.
If you’ve ever said, “I want to go off-grid,” this one’s for you.
What Counts As “Off-Grid” in 2025?
Going off-grid means your home or property gets all of its power from solar and batteries, not from the local power grid. You’re not connected to the street poles or wires. If the grid goes down, it doesn’t affect you because you’re not on it.
That part hasn’t changed. However, in 2025, the rules regarding what qualifies as a genuine off-grid system, especially if you want the new federal battery rebate, have become more specific.
To get the rebate, your off-grid system must meet two main rules:
- Distance from the grid: Your home or point of supply must be more than one kilometre away from the nearest available grid connection.
- Cost of connecting to the grid: You must show that it would cost more than $30,000 to connect to the grid.
If you can’t meet both of those, the government advises that you should connect to the grid. Their view is that batteries connected to the grid help reduce pressure during busy times.
Off-grid batteries don’t do that because they don’t send anything back to the grid. That’s why off-grid systems were excluded from earlier rebates, such as the New South Wales PDRS scheme.
The federal rebate, introduced by Minister Chris Bowen, changed that.
It now allows off-grid solar systems to qualify, which is excellent news for farmers and rural homes. It means off-grid solar finally has some financial support behind it.
Still, the government wants to see that your off-grid system is the right choice, not just a lifestyle option. Before you get started, you’ll need to do a bit of homework. That might include quotes from power companies, location maps, and proof of costs to bring grid power to the site.
If you’re interested in learning a bit more about the importance of a good installer for your solar (the most important component of any system, seriously), you might want to check out the following article titled, In-house Installers vs. Subcontractors: Which is Better?
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Which Batteries Are Off-Grid Ready?
Not all batteries can handle an off-grid system. Some are designed to work only when the grid is present. Others are built to run everything on their own, even when there’s no grid at all.
At PSC Energy, we install a few different types of batteries. Some of them are great for grid-connected homes, but not ideal for off-grid use.
Let’s start with Tesla Powerwall 3. This is one of the most popular batteries in Australia. It looks good, it’s smart, and it comes from a big brand. But it’s not designed for off-grid use.
Tesla expects your home to be tied to the grid. It doesn’t come with a generator input, which is important for off-grid homes that need backup. If you plan to live off-grid, the Powerwall 3 may not be the best choice.
The same goes for Enphase batteries. These are ideal for homes already connected to the grid. They’re reliable and safe. But they also aren’t built to run a full home off-grid. Like the Powerwall, they rely on the grid to function properly.
Then there’s Sigenergy SigenStor. This battery is different. It’s made for off-grid systems. It comes with a generator input, allowing you to plug in a backup diesel generator if you need one.
It can run single-phase or three-phase properties. That gives you a lot of flexibility, especially on larger rural sites.
SigenStor is smart and strong enough to run your home without grid support. That makes it an excellent choice for individuals seeking genuine energy independence.
If you’re considering going off-grid, the battery you choose matters. Some brands work best with the grid. Others, like Sigenergy, are built to do it all on their own.
If you’re interested in learning a bit more about rooftop solar vs. ground mount solar, you might want to check out the following article titled, Rooftop Solar vs. Ground Mount Solar: Which One is Right for You?
Let’s talk solar savings. Click here.
Advantages and Disadvantages of Off-Grid Solar
Let’s start with the big upside. When you go off-grid, you’re in control. You don’t rely on the power companies. You make your own electricity. You store it. You can use it when you want. No one can charge you for using your own energy. For many people, that freedom is the main reason to go off-grid.
But that freedom comes with a few catches.
The biggest disadvantage is cost. Off-grid systems usually cost more than grid-connected ones. You need extra batteries to cover cloudy days. You need more solar panels. And you’ll likely need a diesel generator just in case your batteries run out.
That backup is important because once your batteries are empty, the lights go out. There’s no grid to fall back on.
Another thing to consider is how closely you are connected to your installer. When you go off-grid, you’re marrying the company that builds your system. That’s because if anything goes wrong, they’re the ones you’ll call. And you’ll need them to act fast.
If your system breaks and you’re off the grid, you have no power until someone fixes it. That’s different from being on the grid.
With a grid-tied system, if the battery runs out, the grid is still available. You’re not completely stuck. But off-grid means you need help immediately.
If you’re building an off-grid system, make sure your installer is reliable. You want a team that will still be around in 5 or 10 years. You want them to know your setup and be ready to help when you need it. You don’t want someone who installs off-grid solar as a side hustle. You want a company that lives and breathes this stuff.
That’s why it’s so important to pick a solar company you trust. When you go off-grid, you’re choosing a long-term partner, not just someone to install panels and walk away.
If you’re interested in learning a bit more about working with a solar installer, you might want to check out the following article titled, Top Questions to Ask Your Solar Installer Before Hiring Them.
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Should You Go Off-Grid or Not?
That depends on a few things.
If you live far from power lines, going off-grid might be the best choice. It can be expensive to bring the grid to your home. That means you will be eligible for the new federal battery rebate, even if you don’t have a grid connection.
Off-grid systems are great, but they require more thought and more money. They need a bigger battery, more panels, and a backup plan. They also need a reliable installer who will be available when needed.
The big question is: are you ready to go fully independent? Or does staying tied to the grid with a solid battery still make more sense for your home?
At PSC Energy, we help people figure this out every day. Whether you go off-grid or stay connected, we’ll make sure your system is smart, strong, and ready for whatever comes next. It’s what we do.
If you’re interested in learning a bit more about the federal solar rebate, also known as the Federal Cheaper Home Batteries Program, you might want to check out the following article titled, What the 2025 Federal Election and the Government Rebate Means for Solar Batteries in Australia.
Frequently Asked Questions About Off-Grid Solar and the 2025 Federal Battery Rebate
What is off-grid solar in Australia?
Off-grid solar means your home or property is completely disconnected from the electricity grid. You generate power with solar panels, store it in batteries, and rely on that energy full-time. You don’t use poles or wires from the street, and you’re not affected by grid outages.
Can you get the federal battery rebate if you’re off-grid?
Yes. As of 1 July 2025, the federal battery rebate includes off-grid homes—if they meet the eligibility rules. You must live more than 1 kilometre from the nearest grid connection, or show that connecting to the grid would cost over $30,000.
How much is the 2025 federal battery rebate for off-grid systems?
The rebate offers up to $372 per usable kilowatt-hour of battery storage, capped at 50kWh. For example, an off-grid home with a 16kWh system could receive up to $5,952 in rebates.
What batteries work best for off-grid solar systems?
Most grid-connected batteries are not designed for off-grid use. For true off-grid performance, look for systems like the Sigenergy SigenStor, which includes generator inputs, scalable storage, and full backup capability. Tesla Powerwall 3 and Enphase IQ Battery 5P are not recommended for off-grid homes.
Does the Tesla Powerwall 3 work off-grid?
No. The Powerwall 3 is designed for grid-connected homes. It does not support standalone off-grid use and lacks features like a generator input. If you plan to disconnect from the grid, it is not a suitable option.
What’s the downside of going off-grid with solar?
Off-grid systems cost more upfront. You’ll need larger battery storage, more solar panels, and usually a backup generator. If your installer isn’t experienced with off-grid setups, you may face performance issues or limited support when things go wrong.
Do I still need a generator if I go off-grid?
Yes. Most off-grid systems include a diesel generator for backup. On cloudy days or during long outages, your solar panels and batteries may not supply enough energy on their own. A generator keeps your home running when solar falls short.
How long does it take to charge an off-grid battery system?
It depends on your inverter size and solar output. If you use a Powerwall 3 with an Expansion Pack, charging can take 6+ hours in good sun. Off-grid systems need careful planning to ensure batteries charge fully each day, especially during winter.
Can I install an Expansion Pack in an off-grid system?
No. The Powerwall 3 Expansion Pack depends on the inverter inside the original Powerwall. Since Tesla batteries are not off-grid compatible, Expansion Packs also won’t work in off-grid setups.
Is off-grid solar right for me?
Off-grid solar is ideal if you’re far from existing power lines or want complete energy independence. But it’s not right for everyone. You’ll need the right layout, enough roof space, and a reliable installer who specialises in off-grid systems.
