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What the new Home Energy Saver Loan means for NSW residents
- Solar Power
- 4 minute read
The NSW Labor Government has just launched its new $557 million Home Energy Saver Loan Program intended to help low and middle-income residents in New South Wales to make the switch to green energy.
From 17 June 2026 eligible residents in NSW can apply for a zero-interest loan of up to $15,000 for approved energy saving upgrades.
A $4,000 discount is available on some eligible upgrades for applicants with a combined household income of less than $80,000 per year is also expected to launch in the near future.
NSW Home Energy Saver loan key Information
The table below summarises the key information about the NSW Home Energy Saver loan:
| Details | Information |
|---|---|
| Start Date: | 17th June 2026 |
| Loan Value: | Up to $15,000 |
| Interest Rate: | Zero interest |
| Location: | The property must be located in New South Wales |
| Residency: | Borrower must be an Australian citizen or permanent resident. |
| Income: | Applicants must have a combined total household income of <$210,000 p.a. |
| Property: | Borrowers must own the property either as an owner-occupier or as a landlord. |
| Eligible upgrades: | The intended upgrade must feature on the eligible energy savings upgrades list (see below). |
| Property type: | Single dwelling + shared dwelling (apartment) properties are both eligible. |
| End Date: | No end date has been mentioned. |
Further discounts of up to $4,000 for eligible low-income households (combined income of <$80,000) have also been mentioned as part of the program launch. At the time of writing, the exact information – including launch date – has not yet been specified.
Eligible Energy Savings upgrades
Under information found in the new Home Energy Saver loan guidelines, the following purchases are eligible for loans:
- Rooftop solar PV modules
- Residential battery energy storage system
- Heat pump water heater
- Solar hot water heater (electric boosted)
- Reverse cycle air conditioner
- Ceiling insulation
- Double-glazed windows or doors
- Induction cooktop (replacing gas cooktop)
- Electric vehicle (EV) Level 2 charger (parts + install)
- Draught proofing windows and doors
- Ceiling fans
- Switchboard upgrade
- NatHERS home energy assessment
Note: Loan funds must only be used on the purchase and installation of these upgrades. Home owners must not use the loan towards any accompanying upgrades to the property – such as roofing – that may be required to facilitate these upgrades going ahead. If you intend to get any other upgrades performed at the same time or have other items not listed above installed at the same time, they must be quoted and paid separately.
What the Home Energy Saver Loan means
The New Home Energy Saver Loan launched by the Minns Labor Government is intended to make energy saving upgrades more accessible for low- and middle-income earning households in NSW.
The NSW Government projects that the new program will benefit more than 32,000 households in what will be a $480-million commitment from the government.
Whilst New South Wales has one of the highest solar adoption rates in Australia – second in volume only to Queensland – the uptake has largely skewed towards higher socio-economic households. The high upfront cost of solar panels and in particular solar batteries has – to this point – been a sticking point for those in lower income brackets – a point which Chris Minns acknowledged when launching the program:
“For many households, the upfront cost of these upgrades has simply been too high. We’re stepping in to help where we can, so more families can access technology that lowers their bills and makes their homes more comfortable.”
A sentiment echoed by Minister for Climate Change and Energy, Penny Sharpe:
“For too many households, energy-saving upgrades have felt like something other people can afford. This is about changing that and giving more families a fair opportunity to access the kinds of improvements that make their homes more comfortable, more efficient and better to live in.”
Smart Energy Council CEO, David McElrea says that lowering the upfront costs is one of the most important levers in driving energy saving adoptions in the home:
“Helping lower-income earners and renters to overcome the cost barrier to modernising their homes with smart solar, batteries, efficient cooling and heating is the fastest way to permanently drive down household expenses while building a more resilient grid.”
How to apply for the new Energy Saver Loan
Eligible applicants looking to take advantage of the new Energy Saver Loan will need to do the following:
- Step 1: Find an approved Finance Provider on the Home Energy Saver Page
- Step 2: Get quotes from NETCC-approved suppliers for your chosen upgrade
- Step 3: Your supplier sends you a link to apply with the Finance Provider
- Step 4: Submit your application (proof of ownership, income details, serviceability assessment)
- Step 5: If you are approved, you must sign the loan agreement
- Step 6: Once the agreement has been signed, the supplier can then install the upgrades to your property.
- Step 7: Finance Provider pays the supplier, and your repayments begin at the agreed terms
Final thoughts
The new Home Energy Saver Loan launched by the Minns Government is a positive step towards widespread adoption solar, batteries and energy saving upgrades. The upfront cost of solar panels and batteries has been a significant barrier-to-entry for low and middle-income households in New South Wales.
The new program allows adopters to balance their upgrade repayments with energy bill savings – which will limit out-of-pocket expenses. At the time of writing, the program does not have a specified end date, however, like similar previous solar initiatives, it is likely that loan amounts and terms may change to balance adoption rates with the program budget.
written byBy Michael Henderson
