The year is zipping by and the end of several older Australia solar feed in tariff programs looms large – in one state, a program ends in just a few weeks.
When solar feed in tariffs were first established in Australia, they tended to be very generous in order to promote uptake. As time went on and the cost of solar panels plummeted; the incentives were reduced.
Those already on specific payment levels were “grandfathered” in – but not forever. Three legacy programs are ending soon and participants need to be thinking how to get the most from their solar power systems going forward.
Below is a summary of the programs affected, along with links to action guides.
South Australia
The first to end is South Australia’s Group 4 solar feed in tariff incentive, which covers households who signed up between 1 October 2011 and 30 September 2013 and had their import/export meters installed before January 30, 2014. Group 4 participants are currently receiving 16 cents per kilowatt-hour for electricity exported to the grid, but only until the end of this month. From October, the feed in tariff will drop to as little as 6.8c per kilowatt hour. Learn more.
Victoria
Victoria’s Transitional Feed-in Tariff (TFIT), which closed to new participants on 31 December 2012, pays a minimum credit of 25 cents per kilowatt hour for surplus electricity fed back into the grid. From January 1, the rate will be reduced to as little as 5c per kilowatt hour. Learn more.
New South Wales
The effects will be great in New South Wales, with the impacts potentially running into thousands of dollars each year.
Participants in the NSW Solar Bonus Scheme (who joined prior to May 2011) are currently receiving either 60 cents or 20 cents per kilowatt hour (depending on when they signed up) for all the electricity generated by their solar panel systems. From the beginning of 2017, these participants will only be getting 4.7-8c per kWh on average. Learn more.
While the loss of the more generous rates will no doubt be missed by participants in the three states, the timing is such that battery systems are now more affordable in Australia; enabling solar owners boost their energy independence and make the most of their valuable solar electricity.
Top Right Image Credit: BigStock
