With some solar bonus schemes and installation rebates drawing to a close in recent years, many Aussies have begun to consider whether solar is still a good investment. The short answer is yes – solar is still a great way for Australian households to save on electricity – but only if you know how to find a good deal.
Most electricity retailers these days offer competitive feed-in tariffs as part of their standard product range. Some even have products specifically designed for customers with solar panels . Solar plans are slightly different to standard electricity deals. While you are still charged for electricity usage and supply, you will also receive something called a feed-in tariff. Canstar Blue compares feed-in tariffs from leading providers in Australia below, taking note of where households might find the best value. Hybrid Solar System 10 Kw
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A feed in tariff (FiT) is a small credit rebate that households receive for any excess electricity produced by a solar system or other small-scale generator. Simply put, unless you have a solar battery , any solar power produced by solar panels must be immediately used or it will feed into the shared electricity grid for other properties to use.
For each kilowatt hour (kWh) of electricity that a household’s solar system exports to the electricity grid, that property will receive a feed-in tariff of a few cents, usually between seven and 16 cents per kWh. Feed-in tariffs are not paid out cash in hand, rather they apply as a deduction on your regular bill. A high feed-in tariff can help drastically reduce what you pay for electricity, that’s why it’s so important to shop around for solar deals.
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Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on the Ausgrid network in Sydney but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 3911kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on the Citipower network in Melbourne but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on the Energex network in Brisbane but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 4613kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on SA Power network in Adelaide but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 4011kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
Feed-in tariffs vary markedly across states and retailers. Below is a state-by-state breakdown of the largest feed-in tariffs offered by retailers in NSW, QLD, VIC, SA, ACT, TAS and WA at the time of publication.
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Feed-in tariffs are for residential customers on a single rate tariff in Sydney on the Ausgrid network. Accurate as of October 2023.
The NSW regulator recommends a feed-in tariff of at least 7.7c to 9.4c/kWh, however as you can see, only some retailers exceed this suggestion. Most of the better-known retailers in the state also offer specialised solar products.
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Feed-in tariffs are for residential customers on a single rate tariff in Brisbane on the Energex network. Accurate as of October 2023.
Aside from Ergon Energy, all Queensland retailers have free reign to set their own feed-in tariffs. Those with solar-specific deals tend to offer higher FiT rates.
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Feed-in tariffs are for residential customers on a single rate tariff in Melbourne on the Citipower Network. Accurate as of October 2023.
Victoria is the only state to impose a legal minimum feed-in tariff on a competitive energy market. As of July 2023, the minimum FiT is 4.9c. As you can see, some retailers simply offer the bare minimum, but there are some solar specific products with higher rates. The introduction of the minimum flat-rate FiT was accompanied by the introduction of time-varying FiTs. Under new laws, all retailers must offer either a single rate FiT, time-varying FiT, or both.
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Feed-in tariffs are for residential customers on a single rate tariff in Adelaide on the SA Power Network. Accurate as of October 2023.
South Australia has had quite a surge in feed-in tariff rates recently. Some retailers now offer FiTs upward of 8c/kWh, although it seems some didn’t get the memo.
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Source: Canstar Blue electricity database/respective retailer websites, October 2023.
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Source: Canstar Blue electricity database/respective retailer websites, October 2023.
The newly-competitive Tasmanian energy market now gives households a few retailers to consider, some of which have come to the table with a compelling offer for solar customers.
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Source: Respective retailer and WA government websites, October 2023.
If you live in the west, you unfortunately have no choice of electricity retailer in WA , with Synergy and Horizon Power covering metro and regional areas respectively.
You may have heard about feed-in tariffs as high as 60c/kWh. Sounds nice right? Unfortunately, these premium solar feed-in tariffs are only available to homeowners who installed and registered their solar systems many years ago – generally before 2011, depending on the state. This means you are not eligible for a premium tariff if you’ve only installed solar in the past few years, or plan to do so shortly. Unfortunately, there’s no sign of any new solar bonus schemes in the near future.
Queenslanders and South Australians who signed up to a solar bonus scheme before they closed will continue to receive a premium tariff until 2028. Victorian bonus scheme customers will also receive their premium FiT until 2024. Unfortunately for New South Wales solar bonus customers, the scheme came to its scheduled conclusion at the end of 2016 and all customers were reverted to a standard rate.
So which should you choose, the better FiT or larger discount? Unfortunately, the answer isn’t clear and it will depend on your personal circumstance. Consider the following points.
Consider choosing the higher FiT if…
Consider choosing the higher discount if…
Solar monitoring technology can give you insights into your electricity usage habits and help you make a better informed decision about which plan is best suited for your home.
A large feed-in tariff is definitely nice, but you shouldn’t just assume a bigger feed-in tariff means it’s a better deal. You should always look at the energy price fact sheets when comparing electricity products. Keep an eye out for ‘solar metering charges’. These are daily supply charges that certain retailers apply to solar customers. It’s also not uncommon to find solar products with large feed-in tariffs charging higher electricity usage or supply rates , so you need to consider if the trade-off is worth it.
If you have a large solar system, say 5kW or over, then you will most likely be better off on a deal that provides a high feed-in tariff, even if it means slightly higher electricity usage rates. A bigger feed-in tariff may also be attractive for households that are hardly home during the working day to use their solar power and consequently have most of it exported to the energy grid. Conversely, customers with small solar systems or a storage battery probably won’t export much solar to the grid and should focus on cheap electricity rates over feed in tariffs. The same applies if you’re home during the day and tend to use up all your solar power.
Now, while rates are important, so is customer service. If you truly want to make the most from your investment in solar, you need an energy retailer that will help you at every step of the process. To see which solar energy companies are meeting customer expectations, check out Canstar Blue’s solar provider customer satisfaction ratings via the link below.
*NSW, QLD and SA: Price is GST inclusive and is: The estimated lowest possible price a representative customer would be charged in a year for this plan, assuming all conditions of discounts offered (if any) have been met, based on the AER’s model annual usage in the distribution region as stated at the top of each table.
~VIC: Price is GST inclusive and is: The estimated lowest possible price a customer would be charged in a year for this plan, using the Victorian Government’s annual reference consumption for domestic customers in your distribution region as stated at the top of each table and assuming all conditions of discounts offered (if any) have been met.
ACT: Price is GST inclusive and is: The estimated lowest possible price a representative customer would be charged in a year for this plan, using the Independent Competition and Regulatory Commission (ICRC) annual reference consumption for domestic customers in your distribution region as stated at the top of each table and assuming all conditions of discounts offered (if any) have been met.
TAS: Costs based on annual household usage of 9475kWh/year on the TasNetworks electricity network in Tasmania, September 2022. For more information on annual cost calculations please click here.
Some plans may require you to meet certain conditions before a discount may become available to you. Check the energy provider’s plan information for details of all possible discounts that may apply and any conditions that need to be met to be eligible for these discounts. Some plans may have a minimum term longer than one year. In that case the total cost over the term will be much higher than the price (which is only for one year). Consider the provider’s detailed product and pricing information before making a decision to take out a new plan or switch electricity providers.
^What is the Reference Price?
The reference price is set by the Australian Energy Regulator (AER) for a financial year in relation to electricity supply to residential customers in the distribution region and is based on an assumed annual usage amount. Any difference between the reference price and the unconditional price of a plan is expressed as a percentage more or less than the reference price. The terms of any conditional discounts are shown, along with any further difference between the reference price and the discount applied if a condition is met, expressed as a percentage more or less than the reference price.
>What is the VDO?
The Victorian Default Offer (VDO) includes a daily supply charge and usage charges (per kilowatt hour). Differences in tariffs across distribution regions reflect the unique costs of providing electricity services in each area. The difference between the VDO and the unconditional price of a plan, based on the Victorian Government’s annual reference consumption for domestic customers in the distribution region, is expressed as a percentage more or less than the VDO. The terms of any conditional discounts are shown, along with any further difference between the VDO and the discount applied if a condition is met, expressed as a percentage more or less than the VDO.
Annual cost estimates exclude solar payments. Feed-in tariffs shown are single rate only. Solar products may only be available to solar customers and some products may only be available to customers who purchase solar PV or other products through the retailer.
†By clicking on a brand, 'go to site', 'shop online', 'get quotes now', or 'see offer' button, you will leave Canstar Blue and be taken to our referral partner to compare. Canstar Blue may be paid for this referral. You agree that Canstar Blue’s terms and conditions apply to this referral. Please note that references to an 'offer' do not mean that you will automatically be accepted or eligible for a product, eligibility requirements may apply.
Canstar Blue may earn a fee for referrals from its website tables, and from sponsorship of certain products. Fees payable by product providers for referrals and sponsorship may vary between providers, website position, and revenue model. Sponsorship fees may be higher than referral fees. Sponsored products are clearly disclosed as such on website pages. They may appear in a number of areas of the website such as in comparison tables, on hub pages and in articles. Sponsored products may be displayed in a fixed position in a table, regardless of the product's rating, price or other attributes. The table position of a Sponsored product does not indicate any ranking or rating by Canstar. The table position of a Sponsored product does not change when a consumer changes the sort order of the table. For more information please see How Are We Funded.
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Hybrid Inverter Solar System 5kva To our knowledge, all information in articles on the Canstar Blue website was correct at the time of publication. This information may have changed over time. Refer to the product fact sheet (or relevant similar documentation) before making any purchase decision. Canstar Blue's website terms and conditions apply.