Solar feed-in tariff comparison: How they work

Solar feed-in tariffs explained

A solar feed-in tariff is a credit you receive for excess solar power that your system generates and exports back to the grid. Feed-in tariffs are typically between 9 – 15c per kilowatt-hour (kWh) but the rates vary in each state and are ultimately determined by your electricity retailer.

Your feed-in tariff is a vital component in calculating your solar savings and payback. It’s advantageous to compare rates and find the best solar feed-in tariff.

graphic showing electricity going back to the grid in exchange for a financial credit

Best solar feed-in tariff rates

The table below shows feed-in tariffs for each Australian state and territory. Select your state to view the best solar feed-in rates:

State: Retailer: Standard FIT:
Victoria AGL 12.0c
Victoria Click Energy 12.0c
Victoria Dodo Power & Gas 12.0c
Victoria Energy Australia 12.0c
Victoria Origin Energy 12.0c
Victoria Power Direct 12.0c
Victoria Red Energy 12.0c
Victoria Simply Energy 12.0c
Victoria Not listed 12.0c
NSW AGL 10.2c
NSW Click Energy 10.0c
NSW Covau 8.5c
NSW Dodo Power & Gas 11.6c
NSW Energy Australia 12.5c
NSW Lumo Energy 11.1c
NSW Momentum Energy 7.0c
NSW Origin Energy 8.0c
NSW Power Direct 10.2c
NSW Powershop 10.2c
NSW Qenergy 8.0c
NSW Red Energy 10.2c
QLD AGL 8.6c
QLD Click Energy 8.0c
QLD Dodo Power & Gas 8.5c
QLD Energy Australia 16.1c
QLD Ergon Energy 7.8c
QLD Origin Energy 7.0c
QLD Power Direct 8.6c
QLD QEnergy 8.0c
SA AGL 14.2c
SA Commander Energy 11.6c
SA Energy Australia 15.0c
SA Lumo Energy 15.0c
SA Momentum Energy 6.8c
SA Origin Energy 10.0c
SA Pacific Hydro 12.8c
SA Power Direct 14.2c
SA QEnergy 8.0c
SA Red Energy 14.2c
SA Simply Energy 15.0c
TAS Aurora Energy 9.3c
TAS ERM Business Energy 8.9c
ACT Actew AGL 8.0c
ACT Energy Australia 8.0c
ACT Origin Energy 8.0c
ACT Power Direct 6.0c
ACT Red Energy 8.0c
NT Jacana Energy 23.8c

Buy with confidence

Self consumption vs feed-in tariff

It is much better to self-consume your solar power rather than export it back to the grid in return for a feed-in tariff. You pay a much higher rate when you buy electricity from the grid than you receive for exporting your clean energy. Therefore, feed-in tariffs play a major role in the economics of determining the suitability of solar power for your home.

Self consumption savings

Typically, your solar power system will generate more power during the day than you use in your home. For this example, we will assume that you receive an average feed-in tariff of 11.0c while you pay your retailer 31c for every kWh you buy from the grid. The difference between the two rates is 20c; this is how much you will save if you self-consume your solar power during daylight hours.

Example using a 5kW system

If you have a 5kW system that generates on average 18kWh per day and you send all of that solar power back to the grid, you will receive $1.98 in feed-in credits. If you self-consume 8kWh of the 18kWh, you will save $1.60 (20c x 8kWh) and receive feed-in credits worth $1.11 for a total of $2.71 per day in savings.

System payback solely using feed-in tariffs

If you were only to receive credits from the feed-in tariff, it would take you right on nine years to pay back a 5kW system if we assume that it costs you $6,500.


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