{"id":20198,"date":"2018-03-22T05:30:30","date_gmt":"2018-03-21T19:00:30","guid":{"rendered":"https:\/\/www.solarquotes.com.au\/blog\/?p=20198"},"modified":"2018-03-22T05:38:47","modified_gmt":"2018-03-21T19:08:47","slug":"nsw-solar-tariff-mb0514","status":"publish","type":"post","link":"https:\/\/www.solarquotes.com.au\/blog\/nsw-solar-tariff-mb0514\/","title":{"rendered":"IPART Signals Benchmark NSW Solar Feed In Tariff Reduction, But…"},"content":{"rendered":"
\"NSW

Image: QuinceMedia<\/a>\/Stocksnap<\/a><\/p><\/div>\n

The Independent Pricing and Regulatory Tribunal has indicated it’s considering reducing benchmark solar feed in tariff rates in New South Wales from July – but bear in mind, the rates it sets are just a guide.<\/p>\n

NSW feed in tariffs<\/a> operate under a voluntary retailer contribution model, meaning electricity retailers aren’t compelled to pay anything for solar electricity exports. However, they usually do and are somewhat guided by a benchmark recommendation from the Independent Pricing and Regulatory Tribunal (IPART), issued annually.<\/p>\n

It’s that time of the year again and unlike in 2017, this time around IPART will likely be unpopular with solar households in the state.<\/p>\n

\u201cAt this stage, the benchmark range is likely to be lower than it is currently,” said<\/a> IPART Chair Dr Peter Boxall.\u00a0 “This is because forecast wholesale prices have fallen from an average of around 11 cents to around 8-9 cents per kilowatt hour, which is good news for all electricity consumers.”<\/p><\/blockquote>\n

So,\u00a0 the benchmark FiT rate *may* fall in lockstep – but that doesn’t mean electricity retailers will necessarily follow suit as market competition also comes into play. The benchmark range for 2017\/18 was\/is 11.9 to 15.0 cents – but some NSW retailers offer more<\/a> (just watch out for the fine print as a higher feed in tariff isn’t necessarily the best deal overall).<\/p>\n

A lower benchmark feed in tariff is not set in stone (well, not quite) – it’s in the consultation stage.<\/p>\n

Owners of solar power systems and potential solar buyers have avenues for expressing their views on the issue. IPART is encouraging all interested parties to provide submissions relating to their discussion paper<\/a> (PDF) – and if even a small percentage of solar households do so, IPART will have a good deal of reading to do.<\/p>\n

Valuing Exported Solar Electricity<\/h2>\n

IPART says it intends the value of solar electricity based on:<\/p>\n