Installers say they are struggling to keep up with the massive surge in demand for home batteries as Australian households scramble to get a piece of the federal government’s generous new subsidy scheme.

Labor’s $2.3 billion home battery subsidy, which came into effect on Tuesday, provides discounts of 30 per cent on the upfront cost of new installations, which the government claims will save households more than $2000 on their annual energy bills if combined with solar panels.