Victoria enjoys magnificent springs, dry autumns, mild winters and the warmest summers. Australia has the highest average solar radiation per square meter of any continent in the world. More than 2 million Australian households now have solar hot water systems or solar photovoltaic (PV) systems on their rooftop. Home solar power systems are quite affordable in Australia. And most of us are aware that that is mainly due to the subsidies provided by the Australian government. The subsidies are provided in the form of small scale technology certificates (STCs). Additionally, the Victorian government offers Solar panel rebates of up to $1,400 plus the option of an interest-free loan.
What are the new changes in the feed in tariff rates?
Feed in tariffs is the amount you receive from your electricity retailer in trade for excess energy your solar panels generate and feed into the grid. The energy retailers must offer at least minimum feed in tariff rates to the eligible customers that install solar power systems. You are eligible to receive minimum feed in tariff from your electricity supplier if you install a solar PV system with less than the capacity of 100kW. Increasing your solar energy self-consumption sounds like deal breaking now as the lower feed in tariffs to be applied from 1st July 2022.
On February 24 the state’s essential services commission released its final decision which was on hold since 2nd December 2021, stating the minimum feed in tariff rates an electricity supplier must pay from 1st July 2022. The wholesale prices of electricity have dropped by more than 50% since 2015, all thanks to renewable energy consumption in Australia. The minimum feed in tariff rates haven’t dropped so much. The minimum feed in tariff rates dropped by 20% since 2015. The question arises is solar still worth it? The answer is always going to be yes, solar is always worth it in Australia. The reason being solar is the smartest investment you can make as the system starts paying back for itself within the lifespan of solar.
Is solar still worth it?
Australia is fortunately blessed with an abundance of renewable energy sources. If you’re a homeowner in Melbourne or surrounding areas of Victoria considering having solar panels installed, you need to feel confident that they will generate a reliable supply of electricity for your home all year round. If you reside in Melbourne or in Ballarat, Geelong, Bendigo, Mildura, Warrnambool and Wangaratta Solar Miner can help you get a solar power system for your property and install high quality products that produce a generous amount of energy to meet your energy needs.
Generating clean and green energy while saving money is always a better option than burning fossil fuels and paying high electricity bills. These are the reasons why the prices of solar prices have seen a new hike:
- High manufacturing prices due to energy crisis
- Hike in shipping prices.
- Reducing STCs every year
The solar glass and polysilicon prices have seen a rise and are expected to increase. However, even if the prices hike, solar will still prove to be a worthwhile investment. But if you are considering installing solar, now might be a good time. The prices are going to rise further and if you lock in the deal right now, and if you are lucky you can take advantage of the stock available at 2021 prices. And if you install solar now you can take advantage of current minimum feed in tariff rates which are going to reduce from 1st July.