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:
vicnswqldsawatasactnt
State:Retailer:Standard FIT:
VictoriaAGL12.0c
VictoriaClick Energy12.0c
VictoriaDodo Power & Gas12.0c
VictoriaEnergy Australia12.0c
VictoriaOrigin Energy12.0c
VictoriaPower Direct12.0c
VictoriaRed Energy12.0c
VictoriaSimply Energy12.0c
VictoriaNot listed12.0c
NSWAGL10.2c
NSWClick Energy10.0c
NSWCovau8.5c
NSWDodo Power & Gas11.6c
NSWEnergy Australia12.5c
NSWLumo Energy11.1c
NSWMomentum Energy7.0c
NSWOrigin Energy8.0c
NSWPower Direct10.2c
NSWPowershop10.2c
NSWQenergy8.0c
NSWRed Energy10.2c
QLDAGL8.6c
QLDClick Energy8.0c
QLDDodo Power & Gas8.5c
QLDEnergy Australia16.1c
QLDErgon Energy7.8c
QLDOrigin Energy7.0c
QLDPower Direct8.6c
QLDQEnergy8.0c
SAAGL14.2c
SACommander Energy11.6c
SAEnergy Australia15.0c
SALumo Energy15.0c
SAMomentum Energy6.8c
SAOrigin Energy10.0c
SAPacific Hydro12.8c
SAPower Direct14.2c
SAQEnergy8.0c
SARed Energy14.2c
SASimply Energy15.0c
TASAurora Energy9.3c
TASERM Business Energy8.9c
ACTActew AGL8.0c
ACTEnergy Australia8.0c
ACTOrigin Energy8.0c
ACTPower Direct6.0c
ACTRed Energy8.0c
NTJacana Energy23.8c

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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