Recently the Australian Energy Market Commission (AEMC) released a draft reform designed to address growing concerns around power blackouts and grid “traffic jams”. The new plan, dubbed a ‘Sun Tax’ by Solar Citizens community interest group, has been proposed by AEMC to “make room on the grid for more home solar and batteries”.
Understandably there’s been a lot of interest in this new reform. But what does it mean for Australian solar users?
☀️ The proposed change will reduce the current solar feed-in tariffs. You will still be paid for exporting excess power back to the grid (known as feed-in tariffs) but the change will reduce monthly solar power feed-in tariff benefits for a typical Australian household by about $5-$6 per month according to modelling undertaken by the AEMC
☀️ The proposed plan doesn’t mandate default charges for exporting excess power back to the grid; this is something you will negotiate with your energy provider
☀️ The Australian power system wasn’t designed for power flowing both to and from households; it was designed as a one-way electricity flow to the premises. Currently, not all solar users can export their excess power back to the grid because of increasing “traffic jams”, the result of increased popularity in rooftop solar – hence the draft plan
It’s NOT all as doom and gloom as it appears. You can still sell your excess power back to the grid; you may make a little less than you once did!
Nonetheless, there’s a number of things you can do to make the most of your solar investment:
☀️ Shop around for the best deals for energy provider feed-in tariffs
☀️ Talk to us about installing battery storage. More than 21% of Australian households have rooftop solar, many households are now choosing to add battery storage to store excess power for use at night time or on cloudy days
☀️ Make sure your solar system powers all your electrical appliances including dishwashers, pool pumps, washing machines, hot water systems, heating and cooling to minimise the power you buy from the grid
If you would like to learn more about what solar can do for you, we’d love to talk. Call 1300 796 040 or visit www.arkanaenergy.com.au
The official release of the proposed AEMC plan can be found here.
Related links:
Explanatory infographic
FAQ
Information sheet