In the sun-drenched landscapes of Australia, harnessing solar energy isn’t just an eco-friendly choice—it’s a savvy financial move. A pivotal component of this green investment is the solar feed-in tariff (FiT), which credits you for the surplus electricity your solar panels contribute to the grid. However, FiTs vary significantly across states and territories, and staying informed about these differences is crucial for maximizing your solar returns.
Understanding Solar Feed-in Tariffs
A feed-in tariff is a rate paid by energy retailers for the excess electricity generated by your solar system and exported back to the grid. These rates are typically measured in cents per kilowatt-hour (c/kWh) and can fluctuate based on regional policies and market dynamics. It’s important to note that while a higher FiT can enhance your savings, it’s just one piece of the puzzle. Evaluating the overall electricity plan, including usage rates and supply charges, is essential to ensure you’re getting the best deal.
State and Territory FiT Overview
Here’s a snapshot of the current FiT landscape across Australia:
Victoria:
The Essential Services Commission (ESC) has proposed a significant reduction in the minimum flat feed-in tariff to 0.04 c/kWh starting 1 July 2025, down from the current 3.3 c/kWh. This change reflects the decreasing daytime wholesale prices due to abundant solar supply.
In Victoria, solar feed-in tariffs (FITs) vary significantly across different retailers, with both minimum and maximum rates, as well as notable conditions that customers need to consider.
ENGIE offers a minimum FIT of 3.3 cents and a maximum of 12.0 cents, while AGL and EnergyAustralia provide the same minimum FIT of 3.3 cents but cap the maximum at 10.0 cents, with AGL limiting eligibility to systems up to 10kW in size. Origin Energy mirrors AGL’s rates but restricts the maximum FIT to customers who purchase their solar system through Origin, also capped at 10kW. Momentum Energy provides a minimum FIT of 3.3 cents without specifying a maximum.
Diamond Energy, Energy Locals, and Powershop offer varying maximum FITs, with Diamond Energy providing between 0.0 cents and 5.2 cents, Energy Locals ranging from 3.3 cents to 5.0 cents, and Powershop matching the latter range. CovaU offers a consistent FIT of 4.9 cents, while Lumo Energy and Red Energy both provide rates between 3.3 cents and 4.5 cents. Arcline by RACV sets a flat rate of 4.1 cents.
Several retailers, including Amber, OVO Energy, Sumo, Blue NRG, Alinta Energy, Dodo, Pacific Blue, 1st Energy, Nectr, and Tango Energy, maintain a flat FIT of 3.3 cents. Among them, Amber restricts eligibility to systems of up to 10kW, and Kogan Energy, working with Tango, imposes a daily cap of 3.5kWh. Flow Power caps system sizes at 5kW while offering a flat rate of 3.3 cents.
GloBird Energy provides FITs ranging from 0.0 cents to 2.1 cents, while Real Utilities and Electricity in a Box do not offer any FITs.
These variations highlight the importance of carefully reviewing terms and conditions when selecting a retailer for solar feed-in tariffs in Victoria.
New South Wales:
There is no mandatory minimum FiT. Retailers offer varying rates, so it’s advisable to shop around. As of December 2024, some retailers offer rates ranging from approximately 5 to 15 c/kWh.
In New South Wales (NSW), solar feed-in tariffs (FIT) vary significantly among retailers, with notable conditions often applying. ENGIE offers a minimum FIT of 5.5 cents and a maximum of 12.0 cents per kWh. GloBird Energy provides a 12.0 cents FIT for the first 8 kWh per day, dropping to 3.0 cents thereafter. ActewAGL also offers a range between 6.8 and 12.0 cents per kWh. Red Energy and Origin Energy both provide a 5.0 to 10.0 cents FIT, with Red Energy capping this at the first 5 kWh per day and Origin requiring customers to purchase their solar system through them. EnergyAustralia and AGL match this range but limit the system size to a maximum of 10 kW.
Sumo’s FIT ranges from 1.0 to 8.1 cents, while Ampol Energy provides a flat 7.0 cents per kWh. Amber offers a 0.0 to 6.9 cents range, and Alinta Energy provides a flat 6.7 cents. Indigo Power offers a consistent 6.0 cents FIT, while CovaU gives a flat 5.5 cents per kWh. Diamond Energy, Momentum Energy, and 1st Energy provide lower FITs, with maximum rates of 5.2 cents, 5.0 cents, and 5.0 cents, respectively. Dodo Energy offers a fixed 3.5 cents FIT, and Next Business Energy provides 3.3 cents.
OVO Energy, Future X Power, and Kogan Energy offer lower ranges, with OVO and Future X Power capped at 3.0 cents and Kogan at 1.4 cents. Powershop, Energy Locals, Pacific Blue, Nectar, and Tango Energy provide minimal or no FIT. Notably, Pacific Blue caps FIT at 3.5 kWh per day and requires installation through Tango, while Social Energy mandates solar and battery installation through their services. Market-linked FITs are available through Powerclub and Electricity in a Box, with variable rates based on market conditions.
Queensland:
In South East Queensland, FiTs are not regulated, leading to competitive rates from retailers. In regional areas, a mandatory minimum FiT is set annually. Current offers range from about 5 to 15 c/kWh.
In Queensland, solar feed-in tariffs (FITs) vary significantly across retailers, reflecting their specific terms and conditions. ENGIE offers a minimum FIT of 5.5 cents and a maximum of 12.0 cents per kWh, while Origin Energy provides 4.0 to 12.0 cents per kWh, with the condition that customers must purchase their solar systems through Origin and have systems capped at 10 kW. GloBird Energy has a FIT range of 1.0 to 11.0 cents per kWh. CovaU matches ENGIE’s minimum FIT at 5.5 cents but caps the maximum at 10.0 cents, the same as AGL and EnergyAustralia, which offer minimum FITs of 4.0 cents and 4.6 cents, respectively.
Alinta Energy has a flat rate of 8.0 cents per kWh but limits system size to 5 kW. Red Energy provides a range of 1.0 to 8.0 cents per kWh, with daily FITs capped at 5 kWh. Sumo offers 1.0 to 6.0 cents per kWh, and Diamond Energy ranges from 0.0 to 5.2 cents. Ampol Energy has a flat rate of 5.0 cents, while 1st Energy offers 1.5 to 5.0 cents, with a system size cap of 30 kW. Amber provides 0.0 to 4.0 cents per kWh, and Dodo maintains a flat FIT of 3.5 cents. Next Business Energy provides 3.3 cents per kWh, and Future X Power offers 3.0 cents per kWh.
Lower FIT rates are seen with OVO Energy (0.0 to 3.0 cents), Momentum Energy (0.0 to 2.9 cents), Energy Locals (0.0 to 2.0 cents), Kogan Energy (0.0 to 1.4 cents), and Powershop (0.0 to 1.4 cents), with Powershop’s FIT only applicable to systems up to 10 kW. At the bottom of the list, Pacific Blue and Nectr offer no FITs, and Tango Energy offers no FIT but caps daily usage at 3.5 kWh. These variations highlight the importance of assessing individual retailer conditions to maximize solar energy returns.
South Australia:
No mandatory minimum FiT exists. Retailers provide rates typically between 5 to 12 c/kWh.
In South Australia, various retailers offer different Feed-in Tariff (FIT) rates for solar energy, with conditions varying based on system sizes and specific requirements. ENGIE provides a FIT between 4.0c and 11.0c, with a system size cap of 30kW. AGL offers 4.0c to 10.0c for systems up to 10kW, while EnergyAustralia’s FIT ranges from 4.5c to 10.0c without specified conditions. Origin Energy provides a FIT of 4.0c to 10.0c but requires the solar system to be purchased through Origin and limited to 10kW. Alinta Energy offers a fixed rate of 8.0c, applicable to systems up to 5kW.
CovaU and Diamond Energy offer FITs up to 5.5c and 5.2c, respectively, without specific system size restrictions. Lumo Energy and Red Energy provide rates from 3.0c to 4.5c. RAA Energy maintains a flat FIT of 4.0c. Dodo and Next Business Energy offer fixed rates of 3.5c and 3.3c, respectively. Future X Power, Momentum Energy, OVO Energy, iO Energy, and Energy Locals provide FITs ranging from 3.0c to 2.0c, with varying flat-rate policies.
Amber Energy offers a FIT of 1.7c, while GloBird Energy and 1st Energy provide rates of 1.5c or lower, with 1st Energy capping system sizes at 10kW. Kogan Energy and Powershop both offer a FIT of 1.4c. Sumo provides 1.0c, while ZEN Energy, Tango Energy, Nectr, Pacific Blue, and Powerclub offer market-linked FITs that vary with no specific flat rates. Notably, ZEN Energy and Tango Energy emphasize variable market-linked FITs, while Nectr caps system sizes at 10kW.
Western Australia:
As of July 1, 2024, the mandatory minimum feed-in tariff (FIT) for the southwestern region of Western Australia is set by Synergy, the government-owned network company. The updated rates reflect the growing integration of solar energy into the grid. Synergy customers earn 10 cents per kilowatt-hour (kWh) for solar power exported to the grid between 3 pm and 9 pm and 2 cents per kWh for exports between 9 pm and 3 pm. These time-of-export rates favor west-facing solar panel installations, which maximize evening generation, and battery storage systems, enabling homeowners to shift exports to later in the day.
For residents served by the regional Horizon Power network, the mandatory minimum FIT for exported solar power varies by location, ranging between 3¢/kWh and 10¢/kWh. The rates depend on the specific town and whether local solar capacity quotas have been met. Additionally, some areas may require export control devices for solar system owners. A comprehensive list of Horizon Power FIT rates is available for reference.
Australian Capital Territory:
No set minimum FiT. Retailers offer rates around 5 to 12 c/kWh.
In the Australian Capital Territory (ACT), various retailers offer differing solar feed-in tariffs (FIT) for solar systems. ActewAGL provides a minimum FIT of 8.0 cents and a maximum FIT of 12.0 cents, applicable to systems with a maximum size of 10 kW. Origin Energy offers a slightly higher minimum FIT of 9.0 cents, reaching up to 12.0 cents, but this rate is available only if the solar system is purchased through Origin, with a maximum system size of 10 kW. EnergyAustralia offers a FIT range between 5.0 cents and 10.0 cents for systems up to 10 kW. Energy Locals provides a FIT between 0.0 cents and 7.0 cents, while Amber offers between 0.0 cents and 6.8 cents. CovaU has a flat FIT rate of 5.5 cents, and Red Energy also provides a flat rate of 5.0 cents. Lastly, Nectr does not offer any FIT, with rates at 0.0 cents. These rates and conditions vary, so it is essential to review the detailed terms associated with each retailer.
Tasmania:
Similar to the ACT, there’s no mandatory minimum, with FiTs around 7 c/kWh. In Tasmania, various retailers offer differing solar Feed-in Tariff (FIT) rates. 1st Energy provides a minimum FIT of 8.9 cents and a maximum of 10.0 cents. Solstice Energy offers a flat FIT of 10.0 cents. Meanwhile, Energy Locals, CovaU, Aurora Energy, and Nectr all provide a uniform FIT rate of 8.9 cents. These rates reflect the diverse options available to solar energy customers in the region.
Northern Territory:
The Solar Buyback Scheme offers a rate of 8.3 c/kWh. In the Northern Territory, Rimfire Energy offers a minimum and maximum solar feed-in tariff (FIT) of 11.0 cents per kilowatt-hour. Similarly, Jacana Energy provides a solar FIT of 9.3 cents per kilowatt-hour for both the minimum and maximum rates.
Maximizing Your Solar Investment
While securing a favorable FiT is beneficial, the true value of your solar investment lies in optimizing self-consumption. By using more of the energy you generate, you reduce reliance on grid electricity, which is often more expensive than the credits received from FiTs. Implementing energy-efficient practices and considering battery storage solutions can further enhance your savings.
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