Solar power system owners in the Australian Capital Territory (ACT) are counting down the days to March 1 when the region will be the first in Australia to offer a solar gross feed in tariff program.
Other states in Australia offering feed in tariffs work on a net model – the major difference being that a net program only pays for surplus electricity produced by a grid connect solar power system, i.e. the electricity not used by the building where the system is installed that is exported to the mains grid. Under a gross model, every kilowatt hour produced by a solar array generates revenue for the building or home owner, usually above market rates. Programs in most other Australian states are also paying far less than the rates that system owners in the ACT will enjoy.
In the case of the ACT, it’s believed that the rate will be approximately 60 cents per kilowatt hour; allowing home owners to recoup their investment in as little as 5 years. Given that a system has a lifespan of decades and the ACT’s program is guaranteed for 20 years, many Canberra home owners are lining up to have systems installed as soon as possible as the program has the potential to generate income over a long term from their rooftops and adding value to their homes.
According to a recent article in the Canberra Times, the program will be limited to households and small commercial systems when the scheme starts. The ACT may permit commercial projects up to 1 megawatt to take advantage of the feed-in tariff and possibilities for larger commercial solar farms are currently being discussed.
While other capitals around Australia aspire to become “solar cities”, it appears that Canberra may be the first where solar panels will be commonly seen on rooftops throughout the suburbs within a few years.
Canberra’s major drive for solar uptake will certainly see the local industry boom and has left many supporters of solar energy in other states asking the question: “If this can be done in Canberra, why not throughout the rest of Australia?”.
Victoria based solar company Energy Matters has been lobbying on the issue of a nationalised, uniform gross feed in tariff for some time. Representatives from Energy Matters’ NSW branch met with the NSW Deputy Premier and Minister for Climate Change Carmel Tebbutt last week to outline the clear benefits of a gross feed in scheme against a net tariff. Markus Lambert, the company’s NSW state manager, is a member of a panel of experts from the World Future Council who are pursuing the implementation of feed in tariff programs around the world.
Energy Matters also recently launched a petition at FeedInTariff.com.au in an effort to raise awareness and gather support for the implementation of such a system across Australia. So far the petition has gathered over 8,700 signatures, the support of several major players in the renewable energy industry and the endorsement of groups including the Alternative Technology Association and the Australian Greens.
