In this paper, a new mathematical model in semi-empirical form for lead-acid batteries is presented, which describes the relationship between the battery terminal voltage and the variable discharge current. Based on the proposed model, a new estimation method of the battery available capacity (BAC) in the presence of variable discharge currents is developed. The method involves the real-time identification of the model parameters which are then used to estimate the BAC according to the predefined cutoff voltage and the trend of battery terminal voltage during discharging. Thus, both temperature and aging influences on the BAC are considered inherently. Comparisons between the calculated results and the measured data confirm that the proposed method can provide an accurate real-time estimation of the BAC under variable discharge currents.