Victorian Transitional Feed-in Tariff Inquiry

Following the commencement of the Victorian Transitional Feed-in Tariff in early January, Victorian Treasurer Kim Wells has directed the Victorian Competition and Efficiency Commission to conduct an inquiry into the Feed-in Tariff, as well as Arrangements and Barriers to Distributed Generation.

The commission is to consult with key interest groups and affected parties, including representatives of end-use electricity consumers.

Treasurer Kim Wells said: “This inquiry will assist the Coalition Government in developing fair and cost-effective arrangements for the future, which is particularly important ahead of the implementation of a national carbon price.”

The terms of reference for the inquiry require the Victorian Competition and Efficiency Commission to:

  • Consider how efficient and effective feed-in tariffs are as a greenhouse gas reduction program
  • Provide a recommendation as to whether feed-in tariffs should be continued, changed or phased out
  • Identify barriers to a network of distributed renewable and low emission generation in Victoria, including co-generation and tri-generation.

From 1 January 2012, eligible Victorian customers with small-scale solar PV systems have received credits for their excess energy fed back into the grid through the Victorian Transitional Feed-in Tariff.

The Victorian Transitional Feed-in Tariff, which  replaced the closed Premium Feed-in Tariff, offers eligible properties with a solar PV system of 5 kW or less a credit of at least 25 cents per kilowatt hour for excess electricity fed back into the grid.

The Author

I took an interest in the Australian energy sector close to ten years ago and since then have monitored the trends, technologies and direction of the Australian Energy Market. I was drawn to the Australian solar market in 2008 and since then have worked heavily in the field. I am partnered with national and international solar energy companies, from manufacturers of solar panel and inverter technology, online software developers that introduce tools to quote, monitor and manage solar power systems and media organisations who like myself, closely monitor the solar and renewable energy sector.

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