Small businesses across South Australia are set to pocket an extra $20 million a year, thanks to a targeted initiative that is cutting energy costs where it matters most. With over 900 businesses benefiting from the latest round of grants under the Malinauskas Labor Government’s $154 million Economic Recovery Fund (ERF), energy efficiency is becoming a reality for those looking to ease the strain of rising power bills.
Secrets by the Sea, a popular Henley Beach restaurant, is among the recipients, securing nearly $15,000 to install solar panels and battery storage. The investment is already proving its worth, slashing nearly $15,000 from annual power bills. For small business owners battling operating costs, this type of saving isn’t just a bonus—it’s essential for survival.
The grants, which ranged from $2,500 to $50,000, were awarded on a dollar-for-dollar matching basis. This approach ensured businesses could make meaningful investments in their energy infrastructure without shouldering the full financial burden. The top three sectors to benefit include retail, hospitality and accommodation, and agriculture, forestry and fishing—industries where energy costs often weigh heavily on the bottom line.
The funds were directed towards upgrades such as solar panels, battery storage, high-efficiency appliances, automation technologies, and improved heating and cooling systems. The most common investment among grant recipients was solar power with battery storage, followed closely by energy-efficient appliances. The structured application process included an Energy Consumption Reduction Calculator, giving applicants a clear understanding of the potential savings before committing to upgrades.
Early figures suggest these grants will translate into around $20 million in savings annually for small businesses and not-for-profits. These figures were estimated at the time of application, providing a tangible measure of the long-term benefits of the program.
Stephen Mullighan, South Australia’s Treasurer, emphasised the government’s commitment to assisting small businesses in reducing overheads. Energy Efficiency Grants, he noted, are a practical way to address the challenges businesses face.
“We recognise that it’s a tough operating environment and this grant will help small businesses lower their ongoing costs with savings on their energy bills,” he said. “By improving the ongoing energy efficiency, this grant will help small businesses both now and long into the future.”
Minister for Small and Family Business Andrea Michaels reinforced the government’s intention to support businesses struggling with high energy prices.
“We know that power bills are a particular pain point for small businesses, and so this grant is providing real relief where it is needed,” Michaels said. “Small businesses are saving approximately $20 million each year by installing new energy-efficient equipment. We will continue to support small businesses to address cost-of-living pressures.”
For business owners like Rob Leonardi, who runs Secrets by the Sea, the grant has provided a much-needed reprieve.
“The grant and the solar and battery installation have been a game-changer for us,” Leonardi said. “This is saving us approximately $14,880 per year on our electricity bills, which is a significant boost to our bottom line.”
Electricity costs are a pressing issue for the hospitality sector, with energy-intensive operations driving up expenses. The move towards self-sufficiency through solar power is proving to be a critical strategy in managing costs.
“The ability to store and use our own solar power means we’re less exposed to rising energy prices, and we’ve already seen a noticeable reduction in our monthly bills,” Leonardi added.
The Malinauskas Government’s approach is not only helping businesses cut costs but is also steering South Australia towards a more sustainable energy future. The widespread adoption of solar and battery technology through these grants indicates a shift towards energy independence for small businesses. With the high uptake of solar solutions, businesses are not just reacting to energy price hikes but proactively taking control of their energy needs.
The grants are also having a broader impact, stimulating investment in energy-efficient technologies and supporting local industries involved in renewable energy and automation. With automation technology also eligible under the scheme, businesses have the opportunity to invest in smarter, more efficient operations beyond just power generation.
For many businesses, the immediate benefit is clear—lower electricity bills. But the longer-term effect is even more significant. Reducing reliance on traditional power sources helps businesses remain resilient in the face of fluctuating energy prices. The upfront investment, supported by government funding, allows businesses to future-proof their operations in a way that would have been financially challenging without assistance.
The impact of these grants extends beyond the businesses receiving them. Suppliers of solar panels, battery systems, and energy-efficient appliances are seeing a surge in demand, strengthening the local economy and supporting job growth in the renewable energy sector. The initiative has created a ripple effect, with flow-on benefits reaching businesses that manufacture, install, and maintain these technologies.
While the grants provide immediate financial relief, they also serve as a blueprint for how government intervention can drive long-term economic benefits. By providing businesses with the tools to lower their expenses, the initiative allows them to reinvest savings into growth, employment, and service improvements.
The success of the program so far suggests there is strong demand for continued support in this area. As businesses share their success stories, the case for further investment in energy efficiency becomes even stronger.
For now, South Australian businesses benefiting from the ERF grants can enjoy the immediate relief of lower energy bills while positioning themselves for a more sustainable, cost-effective future. The government’s focus on practical, targeted support has turned an economic challenge into an opportunity for businesses to thrive, proving that small changes can lead to big savings.
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