Starting July 2017, solar households in Victoria will receive about 20 percent more for the electricity transferred to the main grid.Lily D’Ambrosio, the Minister for Energy, Environment and Climate Change recently announced several feed-in tariff rates lined up for introduction next year. The rates will depend on peak, off-peak as well as shoulder exports. In addition, solar system owners will also be paid for the environmental value of their exported surplus energy.
“Victorians should be fairly compensated for the power they generate – plain and simple,” said Minister D’Ambrosio.
“This is the first time the tariff has been increased in the last 6 years, rising by approximately 20 per cent. Households will now be compensated through the most cost effective and fairest system available, which is through a time-of-use feed-in tariff.”
However, not all the FIT suggestions that were earlier made by the Essential Services Commission (ESC) will get to prime-time as they would only serve to add some unnecessary complexity, Ms. D’Ambrosio stated.
The Minister added that this was the first time in the history of Victoria that solar feed-in incentive tariff had increased in just six years.
Assuming no other details will be made available, this announcement will certainly be welcomed by solar households in Victoria; many of whom have been considering investing in a home energy storage system to ensure maximum output of their treasured rooftop generated power.
Even with the Feed-in Tariff increase, solar batteries will still be the trend and a viable investment.
According to Australian Solar Quotes, a solar system that comprises of 5.2kW of solar panels accompanied by a battery system in Melbourne can offer a financial benefit (at the existing FIT rates) of over $1,800 a year; based on the installation setting and consumption profile.
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It’s really exciting to see the Victorian Government doing its best to implement an important election promise. The latest Clean Energy Regulator (CER) data shows over 295,000 solar panels are installed throughout the state; and this simply represents an even higher number of voters.
The Clean Energy Council applauded the move.
“This new system is simply better recognition of the true value of solar power when it flows back into the power grid,” said CEC Policy Manager Darren Gladman.
“This will also help to provide an incentive to install home battery systems, which are coming down rapidly in price but still outside the reach of many working families.”
The announcement also left Solar Citizens thrilled.
“This is a first for Australia and indeed the Victorian Government is leading the world with this announcement to better value the benefits of rooftop solar or distributed renewable energy,” said Reece Turner, Consumer Campaigner for Solar Citizens.