{"id":50283,"date":"2021-05-13T08:46:10","date_gmt":"2021-05-12T22:16:10","guid":{"rendered":"https:\/\/www.solarquotes.com.au\/blog\/?p=50283"},"modified":"2021-05-13T08:46:10","modified_gmt":"2021-05-12T22:16:10","slug":"sun-tax-australia-mb1995","status":"publish","type":"post","link":"https:\/\/www.solarquotes.com.au\/blog\/sun-tax-australia-mb1995\/","title":{"rendered":"&#8220;Sun Tax&#8221; Threatens Electricity Network Death Spiral &#8211; Or Does It?"},"content":{"rendered":"<p><img decoding=\"async\" class=\"alignnone size-full wp-image-50284\" src=\"https:\/\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/sun-tax-australia.jpg\" alt=\"Solar tax - Australia\" width=\"1200\" height=\"630\" srcset=\"https:\/\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/sun-tax-australia.jpg 1200w, https:\/\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/sun-tax-australia-300x158.jpg 300w, https:\/\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/sun-tax-australia-1024x538.jpg 1024w, https:\/\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/sun-tax-australia-768x403.jpg 768w\" sizes=\"(max-width: 1200px) 100vw, 1200px\" \/><\/p>\n<p>The results of a recent survey run by Solar Citizens regarding a controversial draft determination from the AEMC will have solar battery manufacturers salivating. <!--more--><\/p>\n<p>In March, the Australian Energy Market Commission (AEMC) released its draft determination on <a href=\"https:\/\/www.solarquotes.com.au\/blog\/solar-batteries-aemc-mb1930\/\">how to integrate more small-scale solar power systems<\/a> into Australia&#8217;s grid.<\/p>\n<p>Among the proposals &#8211; the one that has created the most controversy &#8211; is allowing networks to levy a charge on solar owners pumping their surplus self-generated electricity into the grid at times when it is saturated with solar energy exports.<\/p>\n<p>The charges could potentially be a couple of cents per kilowatt hour. So, for example, if a system owner is receiving a feed-in tariff of 10c per kilowatt hour, it would be reduced to 8c during such times. What hasn&#8217;t been given as much attention is that solar owners would be paid more when their systems export at times when the grid needs the energy.<\/p>\n<p>Various modelling by the AEMC indicates the overall impact of the charges should be minimal.<\/p>\n<p>Community group Solar Citizens surveyed more than 1,300 rooftop solar owners across the country to get their views on the prospect of the charge, which has been portrayed as a <a href=\"https:\/\/www.solarquotes.com.au\/blog\/solar-exports-aemc-mb1938\/\">&#8220;sun tax&#8221; or &#8220;solar tax&#8221; &#8211; and it&#8217;s not<\/a>.<\/p>\n<p>According to Solar Citizens, the survey results indicated:<\/p>\n<ul>\n<li>63% said they\u2019d consider going off grid if this rule change is implemented.<\/li>\n<li>95% were not in favour of the &#8220;sun tax&#8221;.<\/li>\n<li>65% said the way their state governments responded to this would influence their vote.<\/li>\n<\/ul>\n<p>That 95% were not in favour isn&#8217;t a surprise &#8211; no-one likes the prospect of perhaps getting less of something they like.<\/p>\n<p>As for the 63% stating they&#8217;d consider going off grid &#8211; they key word here is &#8220;consider&#8221;. We often consider things we&#8217;ll never action &#8211; and <a href=\"https:\/\/www.solarquotes.com.au\/systems\/off-grid\/\">going off grid is a very expensive move<\/a> at this point in time.<\/p>\n<p>But let&#8217;s say this was implemented and a bunch of solar owners suddenly dropped off the grid. Solar Citizens <a href=\"https:\/\/www.solarcitizens.org.au\/sun_tax_could_trigger_network_death_spiral\">says<\/a> this could result in a network \u2018death spiral\u2019, where ditching the grid results in higher network charges for customers remaining connected to it, which then encourages more to leave the network.<\/p>\n<p>Governments and regulators are unlikely to stand by and let this happen as electricity is an essential service. It&#8217;s quite possible that as is the case with mains water supply in South Australia (and perhaps elsewhere); if supply runs past your property you pay charges whether you are using it &#8211; or even connected to it &#8211; or not.<\/p>\n<h2>Perfect Vs. The Good<\/h2>\n<p>One of the biggest enemies of solar power in Australia has been delays to implementing what needs to be done to support uptake. While much of that can be blamed on opposition from the fossil fuel sector and electricity companies, we seem to have reached a point where a major threat could be existing solar owners being unable to accept the sorts of changes that need to occur soon.<\/p>\n<p>Delays to necessary changes being made will prevent more Australians from having equitable access to the emissions and bill-busting benefits of\u00a0 solar panels through situations such as <a href=\"https:\/\/www.solarquotes.com.au\/blog\/zero-kw-export-solar\/\">zero export limits<\/a> becoming more common for new solar owners &#8211; and more draconian measures for existing solar owners. That&#8217;s not good for anyone.<\/p>\n<p>As SolarQuotes founder Finn mentioned when he and Ronald were <a href=\"https:\/\/www.solarquotes.com.au\/blog\/abc-solar-report-mb1990\/\">discussing a recent ABC report on home solar<\/a> that seemed to rail against this solution to a problem the ABC was highlighting:<\/p>\n<blockquote><p>&#8220;If all these renewable energy activists carry on jumping up and down and having petitions and pressuring the government &#8211; nothing is going to happen for a lot longer than 4 years and we&#8217;re all going to be in a terrible situation.&#8221;<\/p><\/blockquote>\n<p>Both acknowledge the AEMC&#8217;s proposal is not a perfect solution, but as Ronald mentioned:<\/p>\n<blockquote><p>&#8220;Perfect should not be the enemy of the good.&#8221;<\/p><\/blockquote>\n<p>Before arriving at a solid position on the issue, solar owners may want to have a thorough read of what the AEMC is actually proposing, rather than just relying on second-hand information &#8211; whether it&#8217;s from here or anywhere else. What is being proposed has evolved since original and very flawed &#8220;sun tax&#8221; ideas were floated.<\/p>\n<ul>\n<li><a href=\"https:\/\/www.aemc.gov.au\/sites\/default\/files\/2021-03\/ERC0311%20-%20draft%20-%20FAQs.pdf\">FAQ<\/a><\/li>\n<li><a href=\"https:\/\/www.aemc.gov.au\/media\/97006\">Infosheet<\/a><\/li>\n<li><a href=\"https:\/\/www.aemc.gov.au\/media\/97007\">Draft determination<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The results of a recent survey run by Solar Citizens regarding a controversial draft determination from the AEMC will have solar battery manufacturers salivating.<\/p>\n","protected":false},"author":17,"featured_media":50284,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[678],"tags":[],"class_list":["post-50283","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-solar-battery-news","entry"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.2 (Yoast SEO v27.2) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>&quot;Sun Tax&quot; Threatens Electricity Network Death Spiral - Or Does It?<\/title>\n<meta name=\"description\" content=\"The results of a recent survey run by Solar Citizens regarding a proposal from the AEMC will have solar battery manufacturers salivating.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.solarquotes.com.au\/blog\/sun-tax-australia-mb1995\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"&quot;Sun Tax&quot; Threatens Electricity Network Death Spiral - Or Does It?\" \/>\n<meta property=\"og:description\" content=\"The results of a recent survey run by Solar Citizens regarding a proposal from the AEMC will have solar battery manufacturers salivating.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.solarquotes.com.au\/blog\/sun-tax-australia-mb1995\/\" \/>\n<meta property=\"og:site_name\" content=\"SolarQuotes Blog\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/SolarQuotes\/\" \/>\n<meta property=\"article:published_time\" content=\"2021-05-12T22:16:10+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/sun-tax-australia.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"630\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Michael Bloch\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@solar_quotes\" \/>\n<meta name=\"twitter:site\" content=\"@solar_quotes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.solarquotes.com.au\/blog\/sun-tax-australia-mb1995\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.solarquotes.com.au\/blog\/sun-tax-australia-mb1995\/\"},\"author\":{\"name\":\"Michael Bloch\",\"@id\":\"https:\/\/www.solarquotes.com.au\/blog\/#\/schema\/person\/66afd571aa00c2e442f0192ebac2f6f1\"},\"headline\":\"&#8220;Sun Tax&#8221; 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He's been reporting on Australian and international solar energy news ever since.","url":"https:\/\/www.solarquotes.com.au\/blog\/author\/michael\/"}]}},"jetpack_featured_media_url":"https:\/\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/sun-tax-australia.jpg","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p2FF2s-d51","jetpack-related-posts":[{"id":48736,"url":"https:\/\/www.solarquotes.com.au\/blog\/solar-batteries-aemc-mb1930\/","url_meta":{"origin":50283,"position":0},"title":"Adding More Home Solar Power To The Grid: AEMC Draft Determination","author":"Michael Bloch","date":"March 25, 2021","format":false,"excerpt":"The Australian Energy Market Commission has released its draft determination on how to integrate more small-scale solar power systems, support home battery uptake and address solar energy \"traffic jams\" in the grid. Australia's grid infrastructure was originally designed to cater to one-way electricity traffic flows - into premises. The rise\u2026","rel":"","context":"In &quot;General Solar &amp; Storage News&quot;","block_context":{"text":"General Solar &amp; Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"AEMC solar and battery reforms","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/03\/aemc-solar-batteries-australia.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/03\/aemc-solar-batteries-australia.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/03\/aemc-solar-batteries-australia.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/03\/aemc-solar-batteries-australia.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/03\/aemc-solar-batteries-australia.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":44838,"url":"https:\/\/www.solarquotes.com.au\/blog\/solar-export-charges-mb1761\/","url_meta":{"origin":50283,"position":1},"title":"Rooftop Solar Export &#8220;Tax&#8221; Draft Determination Deferred","author":"Michael Bloch","date":"November 16, 2020","format":false,"excerpt":"The Australian Energy Market Commission (AEMC) said on Thursday its draft determination on proposed National Electricity Rule (NER) changes impacting rooftop solar and other distributed energy resources will be delayed. First, some background. Back in July, the AEMC called for submissions on proposed rule change requests it had received following\u2026","rel":"","context":"In &quot;General Solar &amp; Storage News&quot;","block_context":{"text":"General Solar &amp; Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Solar export charges","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/solar-export-charges.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/solar-export-charges.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/solar-export-charges.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/solar-export-charges.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2020\/11\/solar-export-charges.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":52890,"url":"https:\/\/www.solarquotes.com.au\/blog\/smart-solar-aemc-mb2114\/","url_meta":{"origin":50283,"position":2},"title":"Reforms To Support A Smart Solar Future Finalised","author":"Michael Bloch","date":"August 12, 2021","format":false,"excerpt":"The Australian Energy Market Commission has finalised reforms designed to support the continued growth of small-scale solar, along with batteries and electric vehicles. Australia's passion for solar power is evident on our rooftops - more than 2.8 million systems have been installed across the nation. With the volume forecast to\u2026","rel":"","context":"In &quot;General Solar &amp; Storage News&quot;","block_context":{"text":"General Solar &amp; Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Rooftop solar reforms in Australia","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/08\/rooftop-solar-reforms.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/08\/rooftop-solar-reforms.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/08\/rooftop-solar-reforms.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/08\/rooftop-solar-reforms.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/08\/rooftop-solar-reforms.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":97925,"url":"https:\/\/www.solarquotes.com.au\/blog\/fixed-charges-hike-could-wipe-out-battery-rebate-savings\/","url_meta":{"origin":50283,"position":3},"title":"Fixed Charges Hike Could Wipe Out Battery Rebate Savings","author":"Max Opray","date":"February 25, 2026","format":false,"excerpt":"In response to a draft proposal from the Australian Energy Market Commission (AEMC) for higher fixed network charges, new analysis projects that a flat fixed fee for energy bills could disproportionally raise bills for energy-efficient households, and largely wipe out the value of the federal battery rebate. What Does The\u2026","rel":"","context":"In &quot;Electricity Prices&quot;","block_context":{"text":"Electricity Prices","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/electricity-prices\/"},"img":{"alt_text":"australian money","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2024\/09\/cash-money.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2024\/09\/cash-money.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2024\/09\/cash-money.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2024\/09\/cash-money.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2024\/09\/cash-money.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":14351,"url":"https:\/\/www.solarquotes.com.au\/blog\/solar-electricity-charges-aemc-mb0177\/","url_meta":{"origin":50283,"position":4},"title":"AEMC Shies Away From Solar Electricity Export Charges","author":"Michael Bloch","date":"August 23, 2017","format":false,"excerpt":"The Australian Energy Market Commission (AEMC) has ditched a suggestion (for now) that was viewed as an enabler for a \"solar tax\", after protest from thousands of solar supporters. Earlier this year, the AEMC released a draft of its Distribution Market Model, which questioned a clause in rules prohibiting a\u2026","rel":"","context":"In &quot;General Solar &amp; Storage News&quot;","block_context":{"text":"General Solar &amp; Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Protest against solar electricity export charges","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/08\/solar-charges-protest.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/08\/solar-charges-protest.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/08\/solar-charges-protest.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/08\/solar-charges-protest.jpg?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":50520,"url":"https:\/\/www.solarquotes.com.au\/blog\/aemc-sun-tax-facts-mb2005\/","url_meta":{"origin":50283,"position":5},"title":"AEMC Responds To &#8220;Solar Tax&#8221; Confusion And Misinformation","author":"Michael Bloch","date":"May 21, 2021","format":false,"excerpt":"The Australian Energy Market Commission has copped some undeserved flak over its proposals to help ensure many Australians can benefit more from installing solar panels well into the future. Just to briefly recap to this point: Australia\u2019s grid was originally designed to cater to one-way electricity flows \u2013 into premises.\u2026","rel":"","context":"In &quot;General Solar &amp; Storage News&quot;","block_context":{"text":"General Solar &amp; Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"AEMC sun tax","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/aemc-sun-tax.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/aemc-sun-tax.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/aemc-sun-tax.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/aemc-sun-tax.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/05\/aemc-sun-tax.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/50283","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/comments?post=50283"}],"version-history":[{"count":7,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/50283\/revisions"}],"predecessor-version":[{"id":50291,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/50283\/revisions\/50291"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media\/50284"}],"wp:attachment":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media?parent=50283"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/categories?post=50283"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/tags?post=50283"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}