Living with low (or even zero) solar feed-in tariffs
The minimal solar feed-in tariff rates (as they are) were last defined in Victoria for the last time. However, Smart Solar ownership will continue to bring significant financial and other advantages. And this applies in all of Australia, where the prices were reduced.
In mid-February we reported that Victoria’s Energy and Climate Change Minister Lily D’Ambrosio should announce on February 17 that the Victorian government would not determine minimum prices for solar feed-in tariff (fit). This was done in the period in which the Essential Services Commission (ESC) of the state reported on its final decision for the minimum introductory duties for 2025/26 after a public feedback period on its decision of the draft.
Minister d’Ambrosio’s announcement has not occurred, and yesterday the ESC published its final decision for minimum rates for 2025/26. In short:
- The minimum flat feed -in tariff rate is 0.04 cents per kWh (currently 3.3 ° C). These are four hundredths of centers zero.
- The two temporary feed-in tariff options varied ranges from 0.00 cents per kWh during the day to 6.57 cents per kWh in the late afternoon/ evening summit (4 p.m. to 9 p.m.). Only a few retailers offer time variable options.
The ESC also explained:
“The tariffs apply from July 1, 2025, unless the 2000 electricity industrial network will be changed to deregap the setting of feed tariffs.”
So if you get rid of the minimal feed -in tariffs in Victoria, there is still cards and * could take place before July 1st.
The ESC received another 300 entries after the release of its draft decision and undoubtedly threw an ear (eyes?). The reason for the low tariffs was the persistent increase in Home Solar, which put the daily wholesale price in wholesale. that have become increasingly negative.
While a bitter pill for owners of PV systems can be swallowed on the roof, the upward trend has switched on the solar households when depositing electricity prices for all and the associated emissions in the federal state. Take a bow, solar owner.
No minimum does not necessarily mean zero
If it has occurred, Victoria would not be the first jurisdiction that does not set a minimum feed-in tariff tariff. Southeast Queensland, New South Wales, Act and South Australia had not been able to minimum retailers in these jurisdiction for years and often deliver payments.
Let’s take a look at New South Wales. While a minimum is not set, the NSW independent pricing and regulatory tribunal (iPart) publishes a recommended area. For the 2024-25 financial year it is 4.9 to 6.3 c/kWh.
Ronald von SQ recently looked through all feed-in tariff tariffs in New South Wales and found:
- A retailer that offers a standard rate of 8.1c/kWh.
- Several offers 8c – 14c for the first x kWh daily (8 – 14 kWh) and then 5c afterwards.
I took a look at the average rate under a number of individual dealers that we list that offer feed-in tariffs, and it worked 4.18 ° C/kWh. The analyzed plans:
- 76 had a feed -in tariff of 1c or higher.
- Only eight offered 1c.
Keep an eye on the electricity plans
Every market is different and it remains to be seen what will happen in Victoria if a minimum rate is removed. A good way to follow how the feed-in tariffs are pursued throughout Australia is to use the electricity plan comparison tool from solar quotes.
Note that the highest feeder tariff does not necessarily represent the best offer for electricity as a whole. See the consumption rates, daily and other fees to determine what is a good balance for you. In general, solar owners with a flat rate current plan are better off, while households with solar collectors and a battery may be the best option. Also remember that the tariffs can change masses in view of the situation on July 1st or soon after.
Solar energy self-consumption is king
Generous (conventional) feed-in tariffs in Australia are dead and buried, apart from some legacy programs that still have to land. They served their purpose and encouraged the Australians to install solar modules at a time when the systems were comparatively very expensive.
The disappointment in NO and low food in tariffs is completely understandable-and some owners can decide to zero their systems instead of leaving electricity retailers for their solar energy quality for nothing or nothing. Others can go one step further and separate from the raster. Although the right thing is not done, it remains very expensive.
Others will be intelligent solar owners with the river and will look for opportunities to increase the self-consumption of the electricity that create their systems in order to minimize what is buried in the power grid.
Here are some ideas.
Increase the time shift of the devices
A solar household can maximize the value he receives from his system by shifting as much as possible to daylight as possible when it generates electricity. For example, running pool pumps and laundry/dishwasher cycles during the pointed solar energy generation.
You can also use a Home Energy Management system to monitor sun production and activate loads accordingly. On the software page of things is an example of the home assistant, the Open -Source -Home -Tomation -Software, which is supported by a global community of hobbyists and DIY enthusiasts. Note that there is a learning curve, but if you are a hobbyist, it could be an interesting exercise.
Install a home battery
Realistically speaking, there is no escape at night that the network power current is operated – unless you have a solar battery. Batteries also bring other advantages, e.g. B. Blackout protection (provided you buy the right type).
There is also the potential to play through services such as Amber on the wholesale market. Amber’s “real -time” feed tariff reflects the actual market value of exported solar energy at the time of export. Battery owners can also fill up via amber when network prices drop – and sometimes negative. This means that you can be paid to charge your battery. This cheap energy can be sold onto the market if the prices reach its climax. However, amber customers can be exposed to high consumption costs and negative export prices (i.e. they pay for exporting). Although there are some protective measures.
At the moment, Solar Victoria does not have any battery loans of up to 8,800 US dollars to support a battery purchase. But before you go out and buy a battery, tie the numbers. Solar quotes makes this easier with a Whizz Bang Home-Battery calculator that uses your smart measurement data to assess whether a battery offers financial benefits.
Rise in (electrical) hot water
Home batteries are a large piece of technology, but still expensive. However, there is a different type of battery that is comparatively cheap – an electric hot water system. If you have a gas heating service that reaches the end of his life; Look at a switch to Electric and then use a timer or PV card to charge it with your solar power system. Or you can decide to replace it with a heat pump -hot water system.
In Victoria there are subsidies for electrical hot water systems (including heat pumps) as part of the programs of Solar Homes and Victorian Energy Upgrades (VEU).
EV on a load
Electric vehicles are great solar systems, provided they are at home at a time of the day when their surplus strikes up. Take a look when you are calculated at home and for your travel requirements and try to optimize your approach to better fit into the solar window.
lighting
While the lighting is a small part of the energy consumption of an average Australian house, the switch to energy -efficient lighting is an inexpensive way to shave some of your electricity bill. It is particularly important for solar owners because the lighting is usually used when the sun does not shine. And in the evening the electricity is most expensive for electricity grids when you have a time of use.
Heating and cooling
Gas heating is still quite popular in Victoria, although its use will decrease new residential gas connections due to the increasing costs and the state government. It is time to think about whether you take your foot off the gas and consider a reverse cycle climate system. You can adjust it to a house in front of warming or cool a house during the hours of sun generation, which reduces the running costs outside of these times. (In Victoria there are also generous VEU subsidies for the switch).
General energy efficiency
Under all of this, do not forget the energy efficiency in general. This applies to solar owners in particular in the evening and overnight – and energy efficiency often earned well with PV ownership.
Solar is still worth it
If you are still installing a solar power system and moved by low or pretty null feed-in tariffs, do not give up the view. Try the solar quota solar computer to receive an idea of the financial returns and estimated the simple repayment with various feed-in tariffs and other aspects relevant to their circumstances.
While a low (or no) tariff increases the simple amortization time, the installation of solar collectors is still very worthwhile for many Australian households.
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