Labor’s 2025 Election Victory: What It Means for Energy Efficiency and Sustainable Homes in Australia
The Albanese Government has secured a landmark victory in the 2025 federal election, winning a powerful mandate for action on climate and energy policy. Among the headline promises now set to become policy is Labor’s $2.3 billion investment in the “Cheaper Home Batteries” program - designed to bring solar battery storage within reach for more Australians.
But while this and other electrification initiatives mark a new chapter for clean energy in Australian homes, they are not silver bullets on their own. For these upgrades to deliver maximum benefit, they must be paired with energy efficiency measures - especially draught proofing.
Without first ensuring your home holds on to the energy it already uses, even the most advanced battery or solar panel won’t deliver full value. Labor’s election win is a once-in-a-generation opportunity to drive energy transformation - but without a focus on efficiency, we risk missing the mark.
A New Mandate for Clean Energy
Labor’s re-election has been widely interpreted as a public mandate for climate action. The Clean Energy Council welcomed the result, noting it gives the federal government “a clear mandate to accelerate the decarbonisation of Australia’s energy system.”
Central to this shift is the Cheaper Home Batteries program. Under this scheme, homeowners will receive subsidies of up to 30% (approximately $4,000 per battery) to install battery storage alongside solar panels. The goal: over one million new home batteries by 2030. That’s a massive boost for renewable energy uptake - and a key step toward reducing our reliance on the national electricity grid.
But renewable energy generation and storage only go so far without addressing where much of our energy actually goes: out the cracks and gaps in poorly sealed homes.
Why Draught Proofing Comes First
It might not be as flashy as a sleek new lithium battery, but draught proofing is one of the most cost-effective ways to improve energy efficiency. According to research from the Energy Efficiency Council, Australian homes are among the leakiest in the developed world, often losing 25–40% of heating or cooling through gaps around doors, windows, vents, and other building penetrations.
Labor’s focus on clean energy generation and storage is necessary - but if homes remain leaky, the impact of those investments will be diluted. Draughts allow heat to escape in winter and seep in during summer, forcing heating and cooling systems to work harder. The result is higher energy use, more strain on household budgets, and greater stress on the electricity grid during peak demand.
By comparison, sealing those leaks can dramatically reduce the amount of energy needed to keep a home comfortable. In fact, draught proofing is often the single biggest upgrade a home can make in terms of heating and cooling performance - especially when paired with home batteries and electrification.
A Synergistic Approach: Batteries + Draught Proofing
The beauty of battery storage is its ability to maximise self-consumption of solar power. Instead of feeding excess solar back to the grid at low rates, households can store energy during the day and use it in the evening when electricity prices are higher.
But if your home is poorly sealed, much of that stored energy will be wasted on temperature regulation that struggles to keep up. Draughts can lead to rapid thermal loss, undermining the very efficiency that batteries are meant to improve.
By addressing air leakage before or alongside a battery installation, homeowners can ensure that stored energy goes further. A well-sealed home holds temperature better, reduces demand on HVAC systems, and allows battery-stored electricity to stretch across more of the day or night.
This synergy is especially important as more households switch to electric heating, cooling, and hot water systems. Every new electric appliance adds to a home’s total energy load. But with energy efficiency measures like draught proofing, that load can be kept in check - ensuring battery systems and rooftop solar are sized appropriately and perform optimally.
The Bigger Picture: Electrification and Energy Independence
Labor’s 2025 energy agenda goes beyond just batteries. In the lead-up to the election, the party pledged to support full home electrification, phasing out gas appliances and expanding support for efficient electric systems like heat pumps and induction cooktops.
Rewiring Australia’s “electrify everything” movement, promotes a significant shift in how we think about energy at the household level. Homes that were once passive energy consumers are now active energy systems - with generation, storage, and demand all happening on-site.
This transformation requires not just technology upgrades, but a new approach to how homes are designed, maintained, and retrofitted. And that’s where building fabric upgrades - like draught sealing - play a critical role.
It’s also where the federal government must turn next. As the Energy Efficiency Council argued in its post-election statement, Labor’s landslide win sets the stage for “ambition on efficiency and electrification.” The Council is calling for a new wave of policies that put home energy performance front and centre - because electrifying a leaky home just locks in higher energy use.
What Homeowners Should Do Now
With federal investment soon to flow into battery subsidies and electrification programs, homeowners have a unique opportunity to future-proof their homes. But acting strategically is key. Before investing in a solar battery, ask:
Is my home well sealed against air leakage?
Are doors and windows fitted with durable perimeter seals?
Have I addressed passive losses through vents, chimneys, and roof space access?
Am I ready to switch to electric heating or cooling - but unsure how to keep energy bills down?
Draught Fix helps homeowners take the first, foundational step. By assessing where your home is leaking energy and installing architecturally considerate draught seals, we prepare your home to make the most of batteries, solar, heat pumps, and more.
A Fairer Energy Future - But Only if We Get Efficiency Right
The path to a zero-carbon home doesn’t start with high-tech gadgets. It starts with sealing what you’ve got. That’s because energy you don’t waste is energy you don’t need to generate, store, or pay for.
As Labor rolls out its climate and energy policies over the next term, it must ensure that energy efficiency is treated as equal to generation and storage. Fortunately, momentum is building. Programs like the Residential Efficiency Scorecard and the Nationwide House Energy Rating Scheme (NatHERS) are beginning to shape how homes are built and renovated. But for existing homes - where most Australians live - we need real incentives and support for retrofit draught proofing.
Labor’s 2025 win gives it the political capital to deliver that support. But homeowners don’t have to wait. By starting with draught proofing today, they can prepare their homes to make the most of what’s coming: cleaner energy, lower bills, and greater comfort.
