As more Australian households invest in solar energy, a common question arises—is it better to export excess solar power to the grid or store it at home using a solar battery? The right choice can significantly impact your electricity bill savings and long-term return on investment. 

This blog helps you understand the difference between grid export and home battery storage, compares the financial outcomes, and offers guidance on making the best decision for your energy needs. 

Understanding the Basics

1. What is Grid Export? 

When your solar panels produce more electricity than your home needs at a given time, the excess power can be sent (or exported) to the electricity grid. In return, your energy retailer pays you a feed-in tariff (FiT) — a small amount per kWh exported. 

Pros of Grid Export: 

• Immediate return in the form of FiT 
• No upfront battery cost 
• Simple system setup 

Cons of Grid Export: 

• Feed-in tariffs are often low (typically between 5–10 cents/kWh) 
• Energy retailers can reduce FiT over time 
• You still pay for electricity when the sun isn’t shining 

2. What is Home Storage (Battery Storage)? 

Battery storage systems let you store the excess solar energy your system generates during the day and use it later—like in the evening or during a power outage. This reduces your reliance on the grid. 

Pros of Home Storage: 

• Use your own solar energy at night 
• Protects against rising electricity prices 
• Some battery systems offer blackout protection 
• Can improve your solar system’s payback period 

Cons of Home Storage: 

• Higher upfront cost (typically $7,000–$12,000) 
• Payback periods can range from 7–12 years depending on usage and savings 
• Batteries degrade slightly over time 

Financial Comparison: Grid Export vs Home Storage

Let’s look at two example households in Australia to illustrate the difference in savings over a year.

Conclusion:

While FiT income adds a small benefit, storing energy at home increases self-consumption, leading to greater bill savings in the long run.

When is Grid Export the Better Option?

Grid export may suit you if:

• Your household is mostly occupied during the day (high daytime energy use)
• You want a low-maintenance, cost-effective solar system
• You’re on a tight budget and cannot invest in a battery yet

Tip: If you choose this route, compare energy retailers and look for the highest feed-in tariffs in your area.

When Should You Consider Battery Storage?

Battery storage makes more sense if:

• Your household uses most of its energy in the evening
• You want to reduce your electricity bills as much as possible
• You want protection against blackouts
• You’re planning to stay in your home long-term

Bonus: In some states (like WA or SA), battery rebates can reduce upfront costs by up to thousands of dollars—making batteries more affordable than ever.

Smart Hybrid Strategy: Best of Both Worlds?

Many modern solar systems now include hybrid inverters and smart energy management, allowing you to store some energy and export the rest. You can also program the system to export during high FiT periods and store when FiT is low.

This hybrid setup lets you:

• Maximise savings from both methods
• Increase battery lifespan
• Respond to real-time grid conditions

Other Financial Factors to Consider

• Battery lifespan: Most come with a 10-year warranty and can last up to 15 years
• Solar system size: A larger system (6.6kW and above) offers more excess energy to export or store
• Tariff structure: Time-of-use tariffs can make batteries even more valuable during peak evening periods
• Government rebates and STCs: Can reduce your upfront solar + battery costs

 Which Option is Right for You?

Maximise Your Solar Investment Today

Whether you decide to go for grid export, home battery storage, or a combination of both, the key to getting the most out of your solar system lies in choosing the right setup and provider.

Get quotes from top three solar retailers near you and save time with Sun Quotes. We compare, you choose—no pressure, just clarity.