Boosting Home Solar Uptake: Use A Rooftop — Or Lend It

University of Technology Sydney researchers say a “use it or lend it” approach to Australian home rooftops would make solar accessible to more Australian households. But suggested ways to implement such a scheme will no doubt cause some pushback.

How Would “Use It Or Lend It” Work?

Under the “use it or lend it” concept, owners of suitable detached and semi-detached homes *could* be obligated to either install solar power systems or make their rooftops available to the government for publicly-owned systems. Home owners hosting these government-maintained and insured systems would receive compensation, such as annual lease payments.

I can hear some screams already, but read on and bear in mind this is just an idea, not something already in the Federal or a state government pipeline.

What would be cheap-as-chips electricity generated by the government-owned systems could be allocated to two solar-disadvantaged groups: low-income households and renters. The allocation would be possible through a Virtual Energy Network (VEN) platform.

The “use it or lend it” approach could also be useful in addressing rental property owners reluctant or unable to invest in a solar power system state the study authors¹.

Participating property owners would be able to buy a government-owned system at any time, with system pricing based on a “cost neutrality” principle, i.e.; the government does not profit².

Carrot, And Maybe A (Big) Stick

Rights and obligations under a lend it or use it approach would be set out under legislation, as would the mandatory installation of solar panels on new and substantially renovated homes and new apartment buildings also suggested by the researchers.

“The former has the theoretical advantage of allowing a qualified entity to initiate the change (‘lend it’) at any time,” say the researchers. “The latter would force landowners to ‘use it’ (consistent with other legislated obligations on landowners), but the trigger (seeking development consent for substantial renovation or new dwellings) may be years, if not decades, away. Another trigger could be legislated deadlines.”

Further (bolding mine):

“Given the urgency of transitioning to renewable energy and the lost opportunity represented by suitable homes where owners have not adopted solar voluntarily, consideration should also be given to the institutional arrangements necessary for implementing a legislated scheme that grants the government default solar rights on suitable properties.”

Is Use It Or Lend It A Good Way To Go?

More than 4.2 million small-scale (<100 kW capacity) solar power systems have been installed across Australia to date. Looking at recent satellite imagery of Australian suburbs and towns shows plenty of houses with solar panels, but also a bunch with still ‘naked’ rooftops.

While we’re already seeing issues in some areas where the amount of surplus solar energy exported into the grid is creating challenges in terms of electricity system management, technology advances such as flexible solar exports is helping there. It’s also where the federal government home battery rebate can do some good, freeing up network capacity to install more solar.

The use it or lend it concept is part of a University of Technology Sydney study looking at the factors influencing residential solar panel uptake in the Sydney metropolitan area from 2013 to 2024.

The researchers found market factors including solar system costs and electricity prices had a significant effect on solar adoption and capacity, while feed-in tariffs have a negligible impact — a good thing given feed-in tariffs are generally becoming increasingly stingy. The study also found housing affordability as a key barrier to solar adoption for property owners.

So, what are your thoughts on “use it or lend it” for boosting residential rooftop solar uptake in Australia; particularly the prospect of granting the government default solar rights on suitable properties? And landlords, while you’re here learn why installing solar panels on investment properties can make as much sense as putting a system on your own home.