60 cent PREMIUM FEED IN TARIFF
The 60cent premium Feed-in Tariff ends on 1 November 2024. This means your electricity bill is likely to increase significantly. What are your options?
Service Areas.
The 60 cent Victorian Premium Feed-in Tariff (FiT) explained.
Between 2009 and 2011 in order to give the emerging solar industry a boost, the Victorian State Government offered a 60c Premium Feed in Tariff (PFiT). This special incentive which was additional to the STC rebate was available only to Victorian solar customers, from Gippsland to Melbourne all the way to the NSW border.
Unlike the gross feed-in tariff in New South Wales, where participants were paid for all generated solar power, the Victorian scheme was net-metered. This meant households only received the Premium Feed In Tariff rate for the electricity they exported to the grid after meeting their own consumption needs. The program is applied to systems up to 5kW in size.
Older solar systems did cost significantly more.
For many owners of older solar systems, it is easily forgotten that a 3 to 5 kW PV system could easily cost $20,000 to $40,000. The benefit of such a significant investment was that such systems with the help of the special Premium FiT resulted in significantly reduced or even zero power bills for a decade or more. Quite often, if someone went on holiday, for example, it even led to ever-growing credits on their power bills.
On 31 December 2011, the scheme closed to new participants and the overall benefits now stop unfortunately on 1 November 2024. Therefore owners of an older solar system that had the privilege of participating in the PFiT, will face a new reality.
Who is affected and how by the ending of the PFiT? .
The end of the PFIT impacts households that were privy to participating in that scheme, which are many older solar systems across Victoria. If your solar panel is a Sharp, Suntech, BP Solar or Conergy brand and the wattage per panel is between 167W and 190W you are likely to be affected. When it comes to inverters, many of these systems had SMA Sunboys. Those affected will need to reassess their home/business energy strategies and budgets in light of the changing tariff structure.
How do I prepare for the transition from the 60c PFiT? .
Here at Uncommon Solar, we can help you prepare for the transition from the premium feed in tariff rates, which are significantly lower. For instance, the minimum single-rate feed-in tariff for 2023-24 is 4.9 cents per kWh, and it is set to decrease further in the future.
Luckily solar and batteries have reduced in price significantly since 2011, so today one can get a much larger solar system, for a lower cost than 15 years ago. As electricity prices have also increased significantly since that time, the benefits of a solar & battery combo in dollars can even be higher than the older smaller 1.5 kW systems, even if they had the FiT.
The Benefits of Solar Systems & Solar Battery Storage from Uncommon Solar
Store surplus solar energy and use it during peak electricity rate periods to avoid higher costs, leading to significant savings over time.
Reduce reliance on the grid and make the most out of your solar investment.
Provide backup power during outages, keeping essential appliances running and ensuring peace of mind.
Optimise energy consumption and enhance the overall performance of your solar system.
Exceptional After-Sales
Service from Uncommon Solar.
At Uncommon Solar, our commitment to customers in Melbourne extends beyond the installation of your solar & battery system or EV charger. We offer comprehensive maintenance plans to keep your systems in top condition. Regular checks help identify and resolve potential issues early, ensuring the longevity and efficiency of your equipment.
By integrating solar battery storage and a hot water heat pump with your solar panel system and embracing the benefits of electric vehicles, you can enhance your energy independence, save on costs, and contribute to a greener future. Uncommon Solar is here to support you every step of the way, from solar investments to EV charger installations, ensuring you make the most of your sustainable energy solutions.
Contact Uncommon Solar at (03) 5610 5112 for more information.
