Feed-in tariffs in Australia: How they’ve changed
Solar feed-in tariffs are arrangements where a solar system owner is paid for the solar energy that they send into the grid. At one point in time, feed-in tariffs were mandatory in every state in Australia, and the rates they offered were quite generous.
Much has changed, however, since we first published this article in 2009. State-manded feed-in tariff incentives are no longer available to new solar customers in almost all of Australia’s states and territories. Instead, rates are largely voluntary for electricity retailers in most states; they usually fall in the range of 6-15¢/kWh – generally lower than price of retail electricity purchased from the grid. (Those who signed up for these before the deadlines for the various feed-in tariffs may continue to receive the set rates for the duration of the term of their incentives.)
Because feed-in tariffs are voluntary in many states, solar system owners must shop around to find a retailer that offers them a favourable rate.
Why feed-in tariffs aren’t the only factor you should consider
Everyone wants to get the greatest possible value out of their solar installation; feed-in tariff rates are only one piece of the puzzle.
Until a couple of years ago, feed-in tariff incentives were virtually the main determinant in the economic viability of going solar in Australia. Since then, however, solar PV system prices have fallen considerably, meaning that an investment in a solar PV system is still worthwhile, but how to best use a system has changed.
When feed-in tariffs were higher than the cost of grid electricity, it made sense for homes & businesses to try to export as much power as possible, as this would maximise savings.
The shift to solar self-consumption
These days, the opposite is true: in order to maximise investment in a solar system, the system’s owner would see the most benefit from endeavouring to consume as much of the electricity that they generate as possible (‘solar self-consumption‘). This is because direct consumption of any solar power generated means less electricity that needs to be purchased from the grid (at rates between 20-30¢/kWh, depending on the retailer and region), whereas exporting the power will earn system owners credits on their power bill to the tune of only 6-10¢/kWh.
What is clear is that the bias for ‘self-consumption’ virtually defines the business case for going solar in Australia today. The aim of this article is to help solar shoppers to keep themselves informed about what their excess solar power is worth, so that they can ensure that they are getting the most out of their system.
Caveat Emptor: Beware of high solar feed-in tariff ‘bait’
A higher solar feed-in tariff rate from your electricity retailer does not necessarily mean a better overall deal – make sure that you consider each retail electricity plan as a whole. You can either try our Solar-friendly Retail Plan Comparison Tool (you’ll need to enter your own data) or try out WATTever.com.au, who provide free, detailed comparisons of retail electricity plans from across all Australian markets.
Already got solar? Compare retail electricity plans with WATTever
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Read about solar feed-in tariffs in your state:
NSW – VIC – QLD – SA – WA – ACT – NT – TAS
Frequently asked questions about solar feed-in tariffs
Types of solar feed-in tariffs: Net and Gross ▼
Form of payment for solar feed-in tariff revenues ▼
Is Feed in Tariff income taxable? ▼
Will I need to pay GST on Feed in Tariff income? ▼
Solar feed-in tariff rates by state
New South Wales
At the moment, there is no mandatory minimum feed-in tariff rate in NSW. Instead, individual electricity retailers assign a value to exported solar power as they see fit. Some retailers offer more than others, and some retailers offer nothing.
Data in the table below is powered by WATTever.com.au, which allows electricity customers to easily compare retail electricity plans in detail. The company collects and collates data on all retail electricity offers available across Australia.
Retailer | State / Territory | Min Solar FIT | Max Solar FIT |
---|---|---|---|
Origin Energy | NSW. | 8.0c | 25.0c |
AGL | NSW. | 11.1c | 20.0c |
Mojo Power | NSW. | 10.0c | 20.0c |
Click Energy | NSW. | 0.0c | 20.0c |
Energy Locals | NSW. | 9.0c | 16.0c |
Enova Energy | NSW. | 9.0c | 16.0c |
DC Power Co | NSW. | 15.0c | 15.0c |
amaysim | NSW. | 0.0c | 15.0c |
Energy Australia | NSW. | 12.5c | 12.5c |
Diamond Energy | NSW. | 12.0c | 12.0c |
Commander | NSW. | 11.6c | 11.6c |
Dodo | NSW. | 11.6c | 11.6c |
Powerdirect | NSW. | 11.1c | 11.1c |
Sumo | NSW. | 11.1c | 11.1c |
Lumo Energy | NSW. | 11.1c | 11.1c |
Red Energy | NSW. | 11.1c | 11.1c |
Pooled Energy | NSW. | 10.5c | 10.5c |
Powershop | NSW. | 10.2c | 10.2c |
CovaU | NSW. | 0.0c | 8.5c |
ReAmped Energy | NSW. | 8.0c | 8.0c |
Simply Energy | NSW. | 8.0c | 8.0c |
Amber Electric | NSW. | 8.0c | 8.0c |
QEnergy | NSW. | 0.0c | 8.0c |
Alinta Energy | NSW. | 7.5c | 7.5c |
Momentum Energy | NSW. | 0.0c | 7.0c |
1st Energy | NSW. | 5.1c | 5.1c |
Sanctuary Energy | NSW. | 0.0c | 0.0c |
People Energy | NSW. | 0.0c | 0.0c |
Blue NRG | NSW. | 0.0c | 0.0c |
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Victoria
The Victorian government introduced a new minimum feed-in tariff from 1 July 2017. The rate will initially be a (relatively) generous 11.3c/kWh, but will be subject to regular reviews and will fluctuate annually. The rates in the table below reflect the current feed-in tariffs on offer in the state.
Data in the table below is powered by WATTever.com.au, which allows electricity customers to easily compare retail electricity plans in detail. The company collects and collates data on all retail electricity offers available across Australia.
(N.b. The Victorian government has recently introduced a ‘time varying feed-in tariff‘ whose rates are not reflected below.)
Retailer | State / Territory | Min Solar FIT | Max Solar FIT |
---|---|---|---|
Origin Energy | VIC. | 9.9c | 25.0c |
amaysim | VIC. | 0.0c | 20.0c |
AGL | VIC. | 11.3c | 20.0c |
Click Energy | VIC. | 0.0c | 18.0c |
DC Power Co | VIC. | 15.0c | 15.0c |
Momentum Energy | VIC. | 9.9c | 13.5c |
Diamond Energy | VIC. | 11.3c | 12.0c |
Powershop | VIC. | 11.8c | 11.8c |
Dodo | VIC. | 11.6c | 11.6c |
Commander | VIC. | 11.6c | 11.6c |
CovaU | VIC. | 0.0c | 11.3c |
Lumo Energy | VIC. | 11.3c | 11.3c |
Alinta Energy | VIC. | 11.3c | 11.3c |
Simply Energy | VIC. | 11.3c | 11.3c |
Tango Energy | VIC. | 9.9c | 11.3c |
Red Energy | VIC. | 11.3c | 11.3c |
Powerdirect | VIC. | 11.3c | 11.3c |
People Energy | VIC. | 11.3c | 11.3c |
GloBird Energy | VIC. | 10.0c | 10.0c |
Blue NRG | VIC. | 9.9c | 9.9c |
Energy Australia | VIC. | 9.9c | 9.9c |
Elysian Energy | VIC. | 9.9c | 9.9c |
Sumo | VIC. | 9.9c | 9.9c |
QEnergy | VIC. | 9.9c | 9.9c |
1st Energy | VIC. | 9.9c | 9.9c |
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Queensland
At the moment, there is no mandatory minimum feed-in tariff rate for southeastern Queensland (Energex network). Instead, individual electricity retailers assign a value to exported solar power as they see fit. Some retailers offer more than others, and some retailers offer nothing.
If you are a resident of regional Queensland (Ergon network), however, there is a mandatory minimum that you will receive for exported solar power (check the QCA’s website for current rates).
Data in the table below is powered by WATTever.com.au, which allows electricity customers to easily compare retail electricity plans in detail. The company collects and collates data on all retail electricity offers available across Australia.
Retailer | State / Territory | Min Solar FIT | Max Solar FIT |
---|---|---|---|
Mojo Power | QLD. | 0.0c | 20.0c |
Origin Energy | QLD. | 0.0c | 20.0c |
AGL | QLD. | 10.6c | 20.0c |
Red Energy | QLD. | 17.0c | 17.0c |
Energy Australia | QLD. | 16.1c | 16.1c |
Click Energy | QLD. | 0.0c | 16.0c |
Energy Locals | QLD. | 9.0c | 16.0c |
DC Power Co | QLD. | 15.0c | 15.0c |
amaysim | QLD. | 0.0c | 14.0c |
Diamond Energy | QLD. | 12.0c | 12.0c |
Alinta Energy | QLD. | 0.0c | 11.0c |
Powerdirect | QLD. | 10.6c | 10.6c |
Locality Planning Energy | QLD. | 10.0c | 10.0c |
Simply Energy | QLD. | 10.0c | 10.0c |
Powershop | QLD. | 9.5c | 9.5c |
Ergon Energy | QLD. | 9.4c | 9.4c |
Dodo | QLD. | 8.5c | 8.5c |
ReAmped Energy | QLD. | 8.0c | 8.0c |
QEnergy | QLD. | 0.0c | 8.0c |
1st Energy | QLD. | 6.0c | 6.0c |
Lumo Energy | QLD. | 6.0c | 6.0c |
People Energy | QLD. | 0.0c | 0.0c |
Sanctuary Energy | QLD. | 0.0c | 0.0c |
Compare retail electricity plans with WATTever
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South Australia
At the moment there is no minimum solar feed-in rate in South Australia. Instead, electricity retailers set their own feed-in rates voluntarily – so solar homes need to shop around to find the best possible deal.
Data in the table below is powered by WATTever.com.au, which allows electricity customers to easily compare retail electricity plans in detail. The company collects and collates data on all retail electricity offers available across Australia.
Retailer | State / Territory | Min Solar FIT | Max Solar FIT |
---|---|---|---|
Origin Energy | SA. | 10.0c | 23.0c |
Click Energy | SA. | 0.0c | 22.0c |
amaysim | SA. | 0.0c | 22.0c |
AGL | SA. | 16.3c | 20.0c |
Powerdirect | SA. | 16.3c | 16.3c |
Lumo Energy | SA. | 16.0c | 16.0c |
Energy Locals | SA. | 0.0c | 16.0c |
Red Energy | SA. | 16.0c | 16.0c |
Energy Australia | SA. | 15.0c | 15.0c |
Diamond Energy | SA. | 12.0c | 12.0c |
Dodo | SA. | 11.6c | 11.6c |
Commander | SA. | 11.6c | 11.6c |
Simply Energy | SA. | 10.0c | 10.0c |
Alinta Energy | SA. | 9.5c | 9.5c |
Powershop | SA. | 8.5c | 8.5c |
Amber Electric | SA. | 8.0c | 8.0c |
Sanctuary Energy | SA. | 6.8c | 6.8c |
Tango Energy | SA. | 0.0c | 0.0c |
Blue NRG | SA. | 0.0c | 0.0c |
QEnergy | SA. | 0.0c | 0.0c |
Momentum Energy | SA. | 0.0c | 0.0c |
Compare retail electricity plans with WATTever
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Western Australia
At the moment, the mandatory minimum feed-in tariff rate for the southwestern region of Western Australia is set by local network company Synergy, who currently offer 7.2c/kWh. There is no retail electricity competition in the state, so all rates are set by the relevant regional utilities in conjunction with their government regulators.
If you are a resident of the regional Horizon Power network, the mandatory minimum that you will receive for exported solar power will depend on where you are. Horizon offers between 10¢/kWh and 50¢/kWh for exported solar power depending on the town and whether local solar capacity quotas have been reached already. A full list of the rates can be found here. Also note that in some areas export control devices may be required for solar system owners.
Compare solar & battery quotes with Solar Choice
ACT
At the moment, there is no mandatory minimum feed-in tariff rate in the ACT. Instead, individual electricity retailers assign a value to exported solar power as they see fit.
Data in the table below is powered by WATTever.com.au, which allows electricity customers to easily compare retail electricity plans in detail. The company collects and collates data on all retail electricity offers available across Australia.
Retailer | State / Territory | Min Solar FIT | Max Solar FIT |
---|---|---|---|
Origin Energy | ACT. | 8.0c | 20.0c |
Energy Locals | ACT. | 9.0c | 16.0c |
Energy Australia | ACT. | 0.0c | 12.5c |
ActewAGL | ACT. | 8.0c | 11.0c |
Red Energy | ACT. | 0.0c | 0.0c |
Compare retail electricity plans with WATTever
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Northern Territory
Feed-in tariff rates in the Northern Territory will depend on your electricity retailer, but are not clearly listed in a comparator site. A list of retailers operating in the region can be found here.
Data in the table below is powered by WATTever.com.au, which allows electricity customers to easily compare retail electricity plans in detail. The company collects and collates data on all retail electricity offers available across Australia.
Retailer | State / Territory | Min Solar FIT | Max Solar FIT |
---|---|---|---|
Jacana Energy | NT. | 23.6c | 23.6c |
Compare retail electricity plans with WATTever
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Tasmania
Tasmania is technically an open market for retail electricity, but there is little competition in the state so far. Current regulated rates can be found on the Tasmanian Energy Regulator’s website.
Data in the table below is powered by WATTever.com.au, which allows electricity customers to easily compare retail electricity plans in detail. The company collects and collates data on all retail electricity offers available across Australia.
Retailer | State / Territory | Min Solar FIT | Max Solar FIT |
---|---|---|---|
1st Energy | TAS. | 8.5c | 13.5c |
Aurora Energy | TAS. | 8.5c | 8.5c |
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FYI to those up North. Keep a watchful eye on the eventual release of the Roadmap to Renewables report for possible future changes to the solar feed in tariff. The previous government wanted to remove the tariff and I’m sure the current one does as well. Previous gov response below.
“The Committee also found that the Territory’s Solar Buyback Scheme no longer complies with the National Principles for Feed-in Tariff Arrangements and is out of step with other jurisdictions.”
You are just above ACT in the lowest cost for electricity in Australia. Do not fall into step with the rest of Australia.
“The Expert Panel’s Roadmap to Renewables report will be presented to Government in mid-2017.” – https://roadmaptorenewables.nt.gov.au/
“Labor has also committed to guaranteeing the Territory’s 1:1 solar feed in tariff remaining unchanged while the Road map to Renewables plan is developed.” – http://territorylabor.com.au/Portals/territorylabor/RoadmapToRenewables.pdf
Click energy’s Feed in rebate has been not given. its 16 CENTS from july 2017.
Hi Vishal,
The details on this page are being updated manually as plans come through – my mid-July most of them will have been fully updated so stay tuned!
I live in Sydney and have Energy Australia ( one of the sharks ) as my retailer. Originally I was on the Gross FiT of 60cents, dropped to 6.1cents on 1st January 2017 and now I am told I will be getting 12.5cents from 1st July 2017. But of course the increased FiT comes with the reported average 20% increase in overall retail prices. ‘The Sharks’ are well and truly circling!
Hi Joachim,
We recently published this article, which has a list of concrete ways you can try to minimise the impending price hikes. Hope it helps a bit.
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