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Solar Feed In Tariffs
How The Individual State Governments Will Pay You For Your Solar Electricity
The individual state governments may pay you a premium for the clean, green electricity that you generate on your roof.
This kind of scheme is called a "Feed In Tariff".
To be honest with you the whole thing is a bit of a freaking mess. Why can’t the Federal Government step in and just have a blanket scheme for everyone in Australia? Who knows… I shudder to think how much of our taxes is being wasted on implementing 8 separate schemes all designed to achieve the same outcome! But in the meantime every state is doing its own thang.
What is a Feed In Tariff?
A Feed In Tariff is a premium paid for any solar energy that you generate. There are two types of feed in tariffs in the world: Net and Gross.
Net Feed In Tariffs
With a NET Feed In Tariff you only get paid for electricity that you generate the is exported to the grid. That means that if you use all the energy you generate in your home, you don't get paid a premium (but, of course you still get a financial benefit because you will have a lower electricity bill).Gross Feed In Tariffs
In the "good old days" (i.e. up to early 2011) the NSW government was more generous and had a GROSS Feed In Tariff. The lucky folk who were fast enough to sign up for that scheme are now getting paid a premium of up to 66 cents for every kilowatt hour of electricity generated by their panels whether it is exported out to the grid or not. You can usually spot these people, they are the ones who are walking down the street in NSW lighting their Cuban cigars with $100 bills :-)
But enough of the history lesson! Here is a rundown of what each state is currently offering:
Note: It is really difficult to put a dollar figure on how much each scheme may be worth to you for the Net Feed In Tariffs because they depend on your energy use habits and whether any electricity is exported. For example, solar panels produce most of their electricity from 11am to 3 pm. If your house is empty during this period, then it is likely that most of the electricity being generated is going back into the grid and you will be paid for it. If however your house is occupied most days and you usually have an air conditioner or heater running, then it is likely that you will use all your solar power and not be eligible to get paid for it.
NSW
Currently in limbo thanks to dithering pollies and a hate campaign against solar by the NSW government! So no-one knows what rate you will get (if any!).
Watch this space. But don't hold your breath...
ACT
The government Feed In Tariff has ended, but those nice people at Actew AGL say they will pay you for any solar energy exported on a 1:1 basis. This means they will credit you when you export electricity at the same rate that you pay when you import electricity. So you'll get about 20c per kWh if you are a residential customer.
VIC
Net Feed In Tariff of 25 cents per kWh for up to 5kW of panels. Guaranteed to be paid until the end of 2016. Your Energy Retailer may top this up by another 6 cents, check with them.
SA
Net Feed In Tariff of 23.1c per kWh up to 10kW of panels which is made up of 7.1c from your retailer and 16c from ETSA.
ETSA will pay the 16c until October 2016. Your retailer will pay its 7.1c until 30 June 2012, then it changes to 9.8c from 1 July 2012 to 30 June 2013, then 11.2c/kWh from 1 July 2013 to 30 June 2014. Trust our state pollies to overcomplicate things!
TAS
Net Feed In Tariff of 20c per kWh.
They like to keep life simple down there. Pollies keeping things simple? Must be something in the water...
NT
A 1:1 Net Feed In Tariff. This means your electricity retailer will credit you when you export electricity at the same rate that you pay when you import electricity. So you'll get about 20c per kWh if you are a residential customer.
QLD
Net Feed In Tariff of 44c per kWh up to 5kW of panels.
Commenced in 2008. They promise that once you are in, you will get paid this rate for 15 years (assuming the pollies can keep their promise!)
Some electricity suppliers will pay you your standard rate (approx 16c) on top of this. Check with yours!
WA
Feed In Tariff was ended on 1 August 2011. Your electricity retailer may pay you 7c per kWh NET, check with them before you buy.
There is a lot of pressure on the Federal Government to clean up this mess and create a National Feed In Tariff. Will anyone in Canberra listen? Watch this space…
