Solar feed-in tariffs, known as FiTs and sometimes PFiTs, come in premium and standard form. They can mean returns of between 8c/kWh and around 75c/kWh or higher for your solar electricity.
How to check what feed-in tariff you’re on
The easiest way to tell what feed-in tariff you’re on is to simply look at your feed-in tariff rate, which can be found on your electricity bill under the heading ‘solar feed-in’ or ‘credits’.
Premium feed-in tariffs
If you’re on a feed-in tariff that is 60c or higher in Victoria (or 44c or higher in Queensland), you have a premium FiT (PFiT).
Almost 90,000 Victorian homes and businesses get this higher rate until 2024, which is subsidised by the Victorian Government. It was designed to encourage people to install solar panels in 2009 to 2011 when they were quite expensive.
Standard feed-in tariffs
You’re most likely one of the over three-quarters of solar households that have a standard feed-in tariff. In Victoria, electricity companies are regulated to provide a minimum FiT of 9.9c until 1 July 2019, then 12c after that.
Four things to look for when choosing an electricity company
In Victoria, standard FiTs can range from the minimum 9.9c to more than 20c. But really high FiTs often look too good to be true because they probably are. When choosing a power company, check the following:
- Are there any conditions to secure that FiT, like buying solar panels through that electricity company?
- Are the usage rate and daily supply charge reasonable? Make sure they haven’t been bumped up to compensate for offering you a high FiT.
- Is it a limited time offer? Some high FiT offers only last for 6-12 months and then you’re put back on a lower FiT.
- Does the electricity company provide any services to get the most from your solar? Most solar households need support to get the most from their system to maximise their savings.