Victoria’s feed in tariff;
On September 3, 2012 the Victorian Government announced a new rate under both the Standard Feed-in Tariff (SFiT) and Transitional Feed-in Tariff (TFiT) of 8c per kilowatt hour.
The Victorian Government has announced a major reduction to the state’s solar feed in tariff.
For those lodging paperwork with their electricity suppliers after September 30, the new rate under both the Standard Feed-in Tariff (SFiT) and Transitional Feed-in Tariff (TFiT) will be just 8c per kilowatt hour. It was previously understood there would be an additional 8c; but that appears to be incorrect.
Households already participating or lodging paperwork in time will be considered for the 25c per kilowatt hour TFiT rate; applicable until the end of 2016 + up to 8c electricity retailer contribution – a total of up to 33c.
However, paperwork usually cannot be lodged until a system is physically installed, leaving little time for households to acquire a system and be eligible for the higher rate.
Melbourne-based Energy Matters advises consumers interested in installing a solar panel system to call the company on 1300 727 151 as soon as possible to discuss what the change will mean to them, as it may vary according to circumstances.
Energy Matters says a good quality entry-level 1.52kW solar panel system installed in Melbourne can generate electricity bill savings of up to $600 a year under the higher feed in tariff incentive arrangements. A 3.6kW solar array can provide in the region of $1,400 in financial benefits annually and a 5kW system, up to $1,920 in savings each year.
With Victorians subjected to two major electricity price hikes in recent times, the case for making the switch to solar power to rein in or wipe out electricity bills has been strengthening – and there will no doubt be a last minute rush to install systems in order to beat the September 30 deadline.
The Clean Energy Council has expressed its disappointment in the decision, stating the rate was too low.
For more information on grid-connect solar systems check out these sites;
Consumer Guide to Buying Household Solar Panels – Clean Energy Council website
Solar panels buying guide – CHOICE website
Small Scale Technology Certificates and Solar Credits – Clean Energy Regulator