The Solar Rebate is Reducing in Victoria!


Changes are scheduled to happen to the Victoria Solar Homes Program with the start of the new financial year. We break down what’s changing and what we recommend you do. What’s Changing The rebate is set to reduce by a whopping $38, bringing the maximum down to $1,850 from $1,888. From July 1 until December there will be 32,700 new rebates available for solar power systems, these will be released two times per month in lots of 2,700. Victorians will still get to use the national solar rebate as well as the state-based rebates. Solar Modules At the start of the new financial year all solar PV modules being installed must be on the Clean Energy Council’s approved product list AND from a brand participating in the Solar Panel Validation Initiative. The Solar Panel Validation Initiative is an initiative put in place to protect consumers from purchasing dodgy, poor quality solar modules. All the big brand names participate in this initiative, so there are still plenty of brands and options to choose from.

The Solar Rebate is Reducing in Victoria

Solar Batteries There is one more change to be aware of, on July 1 the Victorian battery rebate will reduce from a maximum of $4,838 down to $4,174. The program will be expanded to encourage an increase in virtual power plants. Between July 1 and December there will be 500 rebates available, and these will be released in blocks of 40 twice per month. Feed In Tariffs The feed in tariff is changing for customers who are currently on the minimum feed in tariff (FiT). It will be reduced to a single-rate minimum FiT of 10.2 cents per kilowatt-hour (c/kWh). This is a decrease of 1.8 c/kWh. Retailers can also offer solar customers a time-varying minimum FiT. From 1 July 2020, under the time-varying tariff customers will receive an off-peak rate of 9.1 c/kWh, a shoulder rate of 9.8 c/kWh and a peak rate of 12.5 c/kWh. Changes to the FiT are due to forecasts of wholesale electricity prices being reduced. The Solar Victoria portal will be shut down 6pm Tuesday the 30th of June until 6am on Wednesday the 1st of July to update the platform with these changes. What does this mean for you? These changes are a friendly reminder to invest in solar sooner rather then later. Rebates on systems will only reduce and using it whilst its higher is better for your pocket. Start the process by reading up on solar, taking our quiz to see what system you need and comparing 3 free quotes to compare actual prices and installers.

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Understanding Batteries

Off-Grid Systems

For some households a battery system can be of great benefit and minimise a home’s reliance on the grid. However, it’s important to understand for a battery to be useful your solar system needs to be generating excess energy for the battery to store, which you can then use at night or when the sun is not out.

When selecting a battery, you’ll want to invest in a system that is most suited to your home and can drive the best return on investment (ROI). Despite a larger upfront cost, a higher quality battery may significantly increase your ROI.

    Battery systems start from $6,000 and costs can vary greatly based on the following factors:

  1. Cycle Life-Time

    The number of times a battery can fully charge and discharge.

  2. Battery Power (kW)

    How fast it can be charged or discharged.

  3. Storage Capacity (kWh)

    The maximum amount of energy a battery system can store.

  4. Battery Management System (BMS)

    An electronic ‘smart’ system that gathers data and manages the battery ensuring it does not overload or operate outside of its safe functioning zone..

  5. Inverter

    Battery systems require their own inverter if your solar system does not have a hybrid inverter.

  6. 'All-In-One Unit’

    A system which includes the battery, BMS and an inverter all in one unit.

  7. Warranty

    Length of time or cycles the battery system is under guarantee.

  8. Blackout Protection/Backup

    It’s important to note this is not a common feature of a battery system and could cost thousands of dollars to include. Blackout protection not only requires additional components but also a specialised installation and rewiring. For grid-connected homes, the cost for blackout protection can outweigh the benefit.

Additionally, if your purpose for adding battery is to go Off-Grid and become completely independent from the grid you will need to ensure your solar system can generate enough energy to power your home and your battery system is large enough to store this energy. For homes in metro areas going Off-grid is not cost effective and is only recommended for those in remote areas with limited access to the grid. Off-grid solar systems with battery start at approximately $30,000.

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