The New South Wales feed in tariff for solar power, called the Solar Bonus Scheme, has reached its first milestone of 50 megawatts installed capacity and will now come under review.
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Update September 27, 2010 – A recent change to the NSW Solar Bonus Scheme review period means more New South Wales residents can lock in a high solar feed in tariff rate while the future of the incentive program is being decided. Read more here.
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According to a press release published on the State Government’s Industry & Investment NSW web site, a review of the Scheme must be undertaken to determine how the program has performed against its original objectives.
Minister for Energy Paul Lynch said in the statement the Solar Bonus Scheme had been very popular and 30,000 households were now being paid to feed solar power generated electricity into the mains power grid.
“This is the right time to evaluate the Scheme against its objectives and identify how it can continue meeting the community’s needs,” said Mr Lynch.
While a review could see changes to program conditions such as the amount paid to households, current participants in the Solar Bonus Scheme who signed on to the scheme prior to yesterday would not be affected and any changes to legislation would not be applied retrospectively.
According to a statement from the Clean Energy Council, households in NSW with new connections can continue to apply for and receive the current Solar Bonus Scheme feed-in tariff rate of 60c per kilowatt hour until (and if) any legislative changes are made as a result of the review.
Public submissions will be received before 30 September, with the review to be tabled in Parliament towards the end of the next session of Parliament.
The New South Wales Solar Bonus Scheme is Australia’s most generous feed in tariff program in terms of payment rate. In addition to the 60c per kilowatt hour paid, the system works on a gross model, meaning all electricity produced by a solar power system is eligible for the premium rate. In all other Australian states and territories, with the exception of the A.C.T, a net model is used whereby the premium rate is only paid on electricity exported to the mains grid that is surplus to the consumption of the building upon which the system is installed.
