Important update: Tesla Powerwall 2 will no longer be eligible for BESS2 VPP rebate beyond 25th August 2025. See the bottom of this document for more details.
What is the Peak Demand Reduction Scheme?
The Peak Demand Reduction Scheme (PDRS) is a government initiative designed to lower electricity demand during peak times. It works by rewarding customers that take up installations and technologies like Amber’s SmartShift battery optimisation, that help reduce or shift energy consumption during the peak summer period. The Amber team is here to help with providing documents to apply for the scheme, such as providing the required nomination contract should you be unable to locate it in your email inbox or spam folder.
When it was launched in 2024, the scheme had two parts: the first rebate is for installing a new battery (BESS1). The second rebate was for connecting your battery to a Virtual Power Plant (VPP).
As of July 1, 2025, this has been updated and the BESS1 rebate has been replaced with the Federal Government's Cheaper Home Batteries Program (CHBP).
For more details on the CHBP, visit this page on the Clean Energy Regulator.
The BESS2 VPP connection rebate has also increased.
This FAQ will explain the rebate and how they interact with Amber’s SmartShift program.
The VPP (BESS2) rebate application is filled out by you and payment is facilitated by MAC Trade Services, Amber’s accredited activity provider under PDRS.
For more details on the latest, visit NSW Climate and Energy Action.
Connecting a New or Existing Battery to a VPP rebate (BESS2)
Earn up to $970 by connecting your battery to Amber's SmartShift technology! (Previously up to $485 for a 28kWh capacity battery).
What you are entitled to claim under the scheme
How much you are entitled to be rebated under the scheme is dependent on your battery size (kWh) and your battery make/model (more on this below).
Rebates are capped at 28 kWh, the total battery capacity cannot be 28 kWh or more.
Check the MAC Trade Services Rebate Calculator tool on their website to determine which rebate amount applies to your specific battery capacity. As of June 10, 2025, this has not been updated to reflect the increased rebate amount for connecting to a VPP.
Under the original version of this scheme, you could claim this rebate twice; once when you first connect your battery to Amber's SmartShift technology and again after you have been connected to SmartShift for 3 years.
As of June 10, 2025, this has been frontloaded so you can get six years' worth of incentives up front, effectively doubling your rebate for joining a VPP or VPP-like service, such as Amber.
This rebate can only be claimed once per site/household, meaning if you connect your battery to Amber's SmartShift technology and then move to another VPP, you will not be eligible for the rebate again.
Note: Claiming this rebate does not lock you into Amber for any period of time. It's basically free cash!
Is your battery eligible?
Your battery must be compatible with Amber's SmartShift technology and be included on the full list of batteries that have been assessed for compliance by MAC Trade Services. See the full list on the MAC Trade Services website here.
Further eligibility criteria include:
- Be a residential site with Amber as your retailer
- Have solar PV installed at the same site (NMI)
- No Life Support Equipment in use at the site
- The total battery system capacity cannot be 28kWh or more
- Each battery model must:
- Be listed on the Clean Energy Council's approved battery list when connected to the VPP.
- Have a capacity of more than 2 kWh and less than 28 kWh
- Have a minimum of 6 years remaining on the warranty
- Meet specific warranty conditions
How to claim your rebate?
This rebate is available for new and existing batteries connecting to Amber's SmartShift technology for the first time. The most important step for the application process for the rebate is step 4; which should take around 10-15 minutes to complete. Please be aware that if your rebate application is approved, the process to receiving the rebate may take up to 60 days.
Join Amber now, and we will reach out to you with the next steps. This process may be delayed for the first few customers, but rest assured, we will send you the details as soon as possible.
New Amber customers
If you are not yet an Amber for Batteries customer in NSW, the first step is to join Amber.
- Wait until your new battery is installed.
- Join Amber and provide your battery details to join SmartShift.
- Once you are an Amber customer, and you have provided your battery details for onboarding, Amber will send you an email with the following:
- The IPART (NSW Energy Sustainability Schemes) Fact Sheet - This outlines things to consider when connecting a battery to a VPP.
- A copy of your MAC Nomination contract. Please download a copy of this email so that you can upload this as part of step 4 - This agreement allows MAC Trade Services to facilitate your rebate
- You will need to save this email as a PDF, so that you can upload it as part of the MAC Trade Services application. See below for more details on the documentation requirements.
- Once your battery is being optimised by Amber's SmartShift technology, we will send you an email with the following:
- A link to complete the application for your rebate with MAC Trade Services (https://mactradeservices.com.au/new-south-wales/virtual-power-plant)
- The SmartShift Terms and Conditions
In the MAC Trade Services application, you are required to upload the following documents.
If you are having trouble finding the correct documentation, please see the explainer below:
-
Signed VPP Contract/Terms & Conditions
Please use a standard copy of the SmartShift Terms & Conditions. This does not need to be signed or personalised in any way.
You can download the SmartShift T&Cs here. -
Scheme Nomination Form
The "Scheme Nomination Form" is part of the first email you received from Amber in relation to the PDRS rebate. Please search your emails for “IMPORTANT INFORMATION to claim your NSW battery rebate”, then save that email as a PDF.
For assistance with saving an email as a PDF, please review this article: How to save an email as a PDF -
Recent Electricity Bill
You can download your most recent bill from the Amber app, in the 'Bills' section. You can also use a bill from a previous retailer, as long as it is not older than 6 months. -
Onboarding Welcome email from your VPP
Please search for “Your battery is being optimised” in your email inbox. You should have this email once your battery is enrolled with SmartShift. If you are unable to find this in your inbox, please reach out to Amber support, and we can send you a copy. -
Certificate of Compliance - Electrical Work
Please reach out to your battery installer if you do not have this document. -
Battery Quote and/or Detailed Battery Purchase Invoice
Please reach out to your battery installer if you do not have this document.
Existing Amber customers installing a new battery
This applies if you are an Amber customer and are connecting a newly installed battery to Amber's SmartShift technology. All of the above eligibility requirements still apply.
Once your battery is installed, you will need to sign up for SmartShift via the devices tab in your Amber app. From there, the process to apply for this rebate will be the same as a new Amber customer once you have submitted your battery details.
To be clear, Amber is not paying this rebate, determining eligibility or rebate amount. We have simply worked with MAC Trade Services to get batteries connected to SmartShift approved by the NSW Government under PDRS, so you have the opportunity to access this rebate once you are a fully optimised Amber for Batteries customer.
Need help with the application process?
Should you run into any trouble filling out the application, the MAC Trade Services support team can be contacted by calling 1300 430 917.
If you are missing any of the above emails from Amber, including the Nomination Contract, please reach out to our team for a copy of these.
New Battery Installation rebate (BESS1)
As of July 1, 2025, this incentive has been scrapped in favour of the Federal Government's Cheaper Home Batteries Program (CHBP). The CHBP is not a rebate - it is an upfront discount on the price of a battery, organised by your installer.
For more details on the CHBP, please visit this page on the Clean Energy Regulator.
August update: Tesla Powerwall 2 not eligible after 25 August 2025
The Tesla Powerwall 2 CEC approval will expire on Saturday 23rd August 2025. Tesla has advised that they will not be extending this approval.
Under the rules of the PDRS BESS2 activity, a battery must be on the CEC list at the time of the BESS2 activity taking place (the onboarding of the battery to the VPP) in order to be eligible for the BESS2 rebate.
As of 9am on Monday 25th August, the Tesla Powerwall 2 will be removed from the application form and customers will no longer be able to apply for the BESS2 rebate as of this date. Any customer whose battery is onboarded to a compatible VPP before midnight on the 23rd will remain eligible. This includes those who show evidence of onboarding before 23 August after that date.
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