Are Solar Batteries Safe? Will My Battery Catch on Fire?

Despite what much of the fancy marketing shows, no qualified installer in Australia is putting a solar battery inside your living space. It doesn’t happen. Under strict Australian battery positioning guidelines, home batteries are installed in garages, on external walls, or in sheds — not in bedrooms, hallways, or next to your couch. If someone suggests otherwise, that’s your cue to walk away.

So why is the topic of fire safety in regard to batteries so prominent?

You’ve likely seen news stories about lithium battery fires or heard about battery recalls. You might have been warned by a neighbour, or come across conflicting information online that made the risk feel bigger than it is.

Here at Lenergy, we have this conversation with our clients every day. When you’re considering installing a large battery in your home, asking “Is this actually safe?” isn’t being overly cautious — it’s a sensible question to ask before making a long-term decision.

Here’s the problem: most of what you hear about “battery fires” isn’t actually about home solar batteries at all. A lot of the concern traces back to a specific LG battery recall, combined with a growing number of fires involving e-bikes, power tools, phones, and cheap lithium chargers. Those stories get lumped together, and suddenly it feels like every battery is a ticking time bomb — even though modern home energy storage systems are designed, regulated, and installed very differently.

In this article, you’ll get a clear, fact-based answer to the question you actually care about: how safe are solar batteries in Australian homes, really? You’ll see real fire data from recent years, understand what safety systems are built into modern batteries, learn why installer quality matters more than brand hype, and decide for yourself whether the risk is acceptable for your home — or not.

Where Solar Batteries Are (and Aren’t) Installed in Australia

Before talking about fire risk, it’s important to clear up one of the biggest misconceptions around home batteries. A compliant solar battery is not installed inside your living space. No qualified installer will mount a battery in a bedroom, hallway, living room, or anywhere inside of your family home.

In Australia, battery installation locations are governed by strict national guidelines. These rules exist to reduce risk in the unlikely event something goes wrong. Under current Australian standards, a home battery will typically be installed in one of three places:

• In your garage
• On an external wall of the house
• In a detached shed or outbuilding

Installers must also maintain minimum clearances from windows, doors, vents, and ignition sources, and ensure the battery is protected from physical damage and excessive heat.

These requirements are set out in the Battery Energy Storage System Installation Guidelines.

If an installer suggests placing a battery somewhere that doesn’t meet these rules — or dismisses them as “overkill” — that’s a red flag. The standards are not optional.

Why Are People Worried About Battery Fires in the First Place?

The concern around solar battery fires didn’t come out of nowhere. It was triggered by a very specific, real event — and then amplified.

Much of today’s fear traces back to the LG Energy Solution battery recall, which followed a small number of residential battery fires in Australia and overseas. Those incidents were investigated, and affected systems were recalled, replaced, or shut down.

That recall was the correct outcome. It showed that safety systems, regulators, and consumer protections worked.

The problem is what happened next.

Many headlines failed to explain that:
• The issue related to specific LG battery models
• The number of incidents was very small relative to installations
• The recall applied to older battery designs

At the same time, unrelated lithium battery fires — involving e-bikes, power tools, phones, and chargers — became more common and more visible.

Those incidents started being mentally linked with home batteries, even though they are completely different technologies.

Are Home Solar Batteries Actually Catching Fire in Australia?

When you look at Australian regulator and fire authority data, a clear picture emerges: home solar battery fires are rare.

Australia has seen tens of thousands of residential batteries installed. In that context, only a small number of confirmed incidents involving fixed home battery systems have been recorded over several years.

Most confirmed incidents are linked to:
• Recalled or early-generation systems
• Installations completed before current standards existed
• Non-compliant installations

If you are looking for more information on these incidents here are some helpful links:

ACCC LG battery recall notice
Fire and Rescue NSW guidance
DFES WA lithium battery fire data
ACCC lithium-ion battery safety paper                                                                                        
Solar Quotes

The majority of lithium battery fires reported by fire services involve portable batteries — not fixed home energy storage systems.

Why Most Lithium Battery Fires Have Nothing to Do With Home Batteries

Most lithium battery fire statistics relate to:

• E-bikes and e-scooters
• Power tools and chargers
• Phones, laptops, and power banks

These batteries are frequently handled, dropped, charged indoors, and often poorly manufactured or misused.

Home solar batteries are fundamentally different. They are:

• Fixed in place
• Installed by licensed electricians
• Actively monitored
• Designed to shut down automatically if faults occur
• Installed under strict Australian standards

This distinction is critical — and often missing from public discussion.

What Makes Modern Solar Batteries Safer Than Older Lithium Batteries?

Safer battery chemistry

Most modern home batteries use Lithium Iron Phosphate (LFP) chemistry. LFP batteries are:

• More thermally stable
• Far less prone to thermal runaway
• Free of cobalt
• Slower and more predictable to degrade

Active monitoring and shutdown

All compliant batteries include a Battery Management System (BMS) that constantly monitors temperature, voltage, and current. If anything moves outside safe limits, the system can isolate or shut down automatically.

Physical containment

Modern batteries are housed in robust enclosures with internal separation, venting pathways, and pressure relief systems designed to contain faults safely.

What Fire Protection Exists Inside Different Solar Batteries?

Modern batteries rely on multiple layers of protection, including:

• Battery Management Systems
• Multi-point thermal monitoring
• Cell and module isolation
• Pressure relief and venting
• Fire-retardant materials
• In some systems, internal fire suppression

The goal is not to fight fires after they start — it’s to prevent faults from escalating in the first place.

Solar Battery Fire Safety Comparison: What Protections Do Different Batteries Use?

Why the Installer Matters More Than the Battery Brand

Most serious battery issues trace back to installation quality, not the battery itself.

A good installer ensures:
• Correct placement
• Required clearances
• Adequate ventilation
• Proper electrical protection
• Full commissioning and compliance

Cheap installs often cut corners. That’s where risk increases. If you are looking for a quality installer in your area, reach out to us at Lenergy to speak with one of our specialists and figure out whether we could be the right option for you.

Where a Solar Battery Should Be Installed to Minimise Fire Risk

Compliant battery locations include:
• Garages
• External walls
• Detached sheds

Clearance rules apply to doors, windows, vents, gas meters, and ignition sources. Placement is a passive safety layer that further reduces risk.

Should Fire Risk Stop You From Getting a Solar Battery?

For most homes, no.

Solar batteries are not risk-free, but the risk is low, understood, and managed when:
• A reputable battery is chosen
• A qualified installer is used
• Australian standards are followed
• The battery is installed in the right place

A battery might not be right for you if:
• You don’t have a compliant installation location
• You’re considering an installer that is oddly cheap
• You’re uncomfortable with any additional electrical risk
• The financial return doesn’t stack up

There’s nothing wrong with deciding a battery isn’t for you — as long as the decision is informed, not fear-driven.

Want to talk through battery safety for your home?

If you’re considering a solar battery and want to understand what’s safe, what’s compliant, and what actually makes sense for your home, Lenergy can help.

Lenergy installs solar and battery systems across Australia and works strictly within current Australian safety and installation standards. That means looking at:

• Whether your home has a suitable battery location
• What battery types are appropriate for your setup
• How to minimise risk through correct design and installation

If you’d like an honest assessment of whether a battery is right for your home, speak with the team at Lenergy.