Solar Incentives under the Labor Government

PTG Benny on 28/06/2022 - 10:10

Hi OZB community.

I recently obtained a number of quotes for solar panels for my home (regional NSW), and for a 6.225kw system with Q Cell Duo panels and a Fronius string inverter came in at $9K (same specs but for an Enphase micro inverter is $10,700). Considering my annual electricity bill is $1400 I am hesitant on putting them on now. The quotes I received was via SolarQuotes recommendations and I only have 2 suppliers in my area that they recommend.

I am curious as to whether the Labor Government will introduce any further financial incentives to encourage households to put solar on their homes so they can reach their 2030 renewables goals or whether this is the best we will get and the rebate will continue to reduce each year.

Just trying to decide if I should spend $9K on the system now or just play the waiting game for a better deal/more rebates.

Thanks in advance

Benny

Financial Solar Energy System

Comments

  • rektrading on 28/06/2022 - 10:20
    +4

    The solar energy market is flooded with excess energy.

    There is no reason for the feds to keep paying with taxpayers' money for wasted energy.

    • singlemalt72 on 28/06/2022 - 10:25
      +7

      Yep - funding should now be going into capturing that excess generation capacity and improving the transmission.

      • rektrading on 28/06/2022 - 10:27
        -3

        Battery stations are a waste of resources.

        • singlemalt72 on 28/06/2022 - 10:35
          +9

          They are, but there are better alternatives to conventional or lithium batteries;

          Pumped Hydro
          Gravity blocks
          Thermal energy storage
          Compressed air
          Flywheel storage
          Hydrogen generation
          Synthetic fuel storage
          Redox Flow batteries

          These and other technologies will be the future of electrical grids.

          • rektrading on 28/06/2022 - 10:45
            -5

            @singlemalt72: Using fossil fuel to buidl energy storage defeats the purpose of using less fossil fuel.

            It would be more productive to convert the excess solar energy to potential energy at the source than to transmit and store it elsewhere.

            • cameldownunder on 28/06/2022 - 11:37

              @rektrading: You only build Energey Storage during power overproduction. ( your ) Problem solved.

              • rektrading on 28/06/2022 - 11:41
                -1

                @cameldownunder: How does that work?

                Trucks and forklifts use fossil fuel. There is no energy overproduction.

                • avoidfullprice on 29/06/2022 - 10:20

                  @rektrading: Better to generate excess energy during the day than waste fossil fuel on crypto mining purely for gambling.

            • freefall101 on 28/06/2022 - 12:34
              +1

              @rektrading:

              convert the excess solar energy to potential energy at the source than to transmit and store it elsewhere.

              The source would be the sun, wouldn't it? 😉

              The loss due to power lines is incredibly minimal. As you said, it would be more wasteful to build lithium ion batteries where the solar is being generated.

              And right now it's entirely wasted, which is far, far more wasteful. Might as well capture it at a small cost.

    • star-ggg on 28/06/2022 - 15:46

      The medium term (2-3 years) outlook is they are going to start charging for feeding back into the grid. As far as ongoing benefits go, it makes more sense to go with a system that you can consume close to 100% of the generated power rather than feed to grid.

  • Quantumcat on 28/06/2022 - 10:25

    I don't think it's likely or they would have campaigned with it. You'd be more likely to find a state based incentive scheme. So have a look for one of those but if you don't find one I think you should get it installed as soon as you can

  • Drakesy on 28/06/2022 - 10:36
    +2

    With the state of the NSW energy market with solar load currently causing a negative return i can't see federal Labor offering more rebates, Solar rebates are usually the state's policy, which, under liberals, currently running at a net deficit i can't see why they'd stump up more money to entice people to pressure the grid during the day.

    In WA the solar rebates were too popular and resulted in the feed in tariff dropping to 2.75c due to the popularity, the rebate is steadily dropping as well. The best time to buy solar was during covid and i'd say the next best time is now.

    Having said that i picked up my 6.6kw system for $2250 a year ago and it's been going great. Don't get caught up in the Fronius hype, growatt make great inverters as well.

    • LSGH on 28/06/2022 - 13:49

      My 3kw Growatt inverter is 8 years old and still working

    • netjock on 28/06/2022 - 14:42
      +1

      growatt make great inverters as well.

      Long as you don't mount it in full sun facing north or west you'll be fine. Only good thing about Fronius is there is active cooling.

      • Drakesy on 28/06/2022 - 17:02

        With the new remote cutoff that WA's enforcing on installations i feel the likelihood of these operating on hot days may be numbered

  • urahara on 28/06/2022 - 10:48

    Innovation happening in storage & solar will kill coal and others sooner or later.
    Green Hydrogen is another gimmick IMO

  • cameldownunder on 28/06/2022 - 11:36
    +2

    I put up a 6.4KW system with LG Pannels and SMA SunnyBoy on our home - Sydney Northern Suburbs ( 6 panel EAST, 12 NORTH - 18x360W)
    Price $6500 and $2000 to upgrade Electrical Switch Panel.

    For almost 1 year ( 2021 ): Total Generation: 8000kWH, Feed In: 4739 ( @0.05 got paid $236 ), Self Used: 3261 ( @0.21 = $724 saved by not getting grid supplied ). That is $960 savings per year.

    • netjock on 28/06/2022 - 14:42

      OP has the regional premium.

  • 1 Sec on 28/06/2022 - 11:53
    +1

    I too got a quote from solarquotes and I just got the Victorian solar rebate application approved.

    Like Drakesy said, it would have been a lot cheaper a few years ago but if you are planning to do solar, the next best time is now. Feed in tariff and rebates keeps going down. I too got similar quotes and after weeks of researching and reading reviews, my best advice is to get a 6.6KWh QCell panels with Fronius or even GoodWe inverter. It’s not the most expensive options and does a great job.

    I wanted a battery pack as well but the cost doesn’t justify nor the prices doesn’t seem to go down as some say. So if you want a battery pack, make sure your solar system is upgradable to add a battery pack down the lane.

  • resisting the urge on 28/06/2022 - 12:18

    Until now, the cost of panels (in NSW, at least) are more or less covered by the NSW rebate.

    You pay for the inverter/s, racking, installation, meter box changes (must be compliant, so must have a suitable smart meter, or be eligible and suitable for (usually free) replacement, have service fuses accessible, enough space for additional breaker/s, consumption meter/s, etc.)

    Things that add more include difficult access, tilting above and beyond the roof's pitch, splitting strings into non-adjacent arrays (panel groups away from each other requiring special wiring), placing inverters away from the meter box (to escape direct sun, or creation of hazards, etc), not to mention optimisers, monitoring kits, hybrid inverters, extra MPPTs, micro inverters, thicker wiring to reduce losses, etc.)

    Installation starts around $2k if they are reasonable and the job is easy, so whoever you pay commercially will charge that as well as the cost of an inverter (5kW) $800-$1200), wiring and conduits, AC and DC isolators (no longer need DC isos on the roof), racking, consumables, plus admin, costs&complications, risk, insurance and GST, etc.

    Which is why the gross SPN cost for 6.6kW can be sub-$3k after STCs are rebated, if you are lucky ;-)

    Pretty awesome given that this can knock down your power bill massively (www.energylocals.com.au are a non-profit that is very well run, and not owned by a 'Fossilised Fuel Company')

    • netjock on 28/06/2022 - 14:44

      Solar quotes would be saying for a budget system 6kw system should be around $6k-$7k unfortunately OP has Fronius + regional premium.

      • resisting the urge on 29/06/2022 - 00:17

        Fronius îs a premium inverter, and many installers use premium panels rather than the mass market 370W modules used by SPN and the like, so more can be justified for the kit alone.

        Larger 2m 500W panels can get better generation efficiency if the smaller panels leave unused space around the edges, so assuming they fit your roof you can pay quite a lot more for them, especially if you want something like LG or Q-Cells

        • netjock on 29/06/2022 - 09:22

          Fronius îs a premium inverter

          Only for those who flog it and pay for it.

          It has the same 10 year warranty as some of the cheaper inverters.

          Larger 2m 500W panels can get better generation efficiency if the smaller panels leave unused space around the edges

          Wow that is science. You only have a problem if you are space constrained.

          $2k saving you'd be better of investing in the index and let that turn to $4k in 10 years time and by that time you could probably get another 6kw for that money.

          Gold plating your solar doesn't pay (just like making short cuts)

          • resisting the urge on 02/07/2022 - 13:11

            @netjock: i). Fronius is well known to be far better than most of the mass-market asian brands. Warranty OTOH is a market and profit driven feature offered to buyers, not a measure of quality.
            ii). Not all consumers know there is generally a choice of two sizes of panel used in the residential market, just saying that roof size is the determinant here, and a quote for high efficiency panels are always higher.
            iii). Yes investing the money in other stuff like fossil fuels or a multitude of other human endeavours (99% of which have a carbon impact) will likely earn better return, but that isn't the only equation. A lot of people want to invest in solar as it is one of the only things they can do about their personal impact. Plus there can be other returns, like the time of day you want to use electricity, charging batteries and even benefiting from the panels shading your roof, causing reductions in summer temperature and the amount of AC you might otherwise use.

            Putting a reliable system from a reputable installer on your house is not gold plating, especially when dodgy equipment and installation are one of the hazards. But my point was to consider a basement <$3k system, not just accept the first quote as unavoidable 'regional premium', and not out of line with what you said.

  • JIMB0 on 28/06/2022 - 12:23
    +1

    Hopefully a battery rebate is on the cards.

    • w0mbat on 28/06/2022 - 16:09
      +1

      I don't think there will be rebates for home batteries.
      The Gentailers have lobbied hard that they get the grants for 'community' batteries that help stabalise the local grid frequency rather than you.
      This way they get the benefit of the taxpayers $ and they get to keep charging end users.
      Better for them rather than you storing then using the excess you generate.
      The only way to have your own energy sovereignty will to buy your own ☹ or DIY your own.

  • [Deactivated] on 28/06/2022 - 16:26

    No way I would put solar on if my bill was only $1400 a year, we pay that with a solar 5.4kw on a 40 square home Northern NSW, solar is stuffed unless you use it all during the day.
    will be more now with FIT halved and rates going up.

  • furyou on 01/07/2022 - 10:50

    Don't do it. We put on solar with a 6-7yr return. That was with 22c FIT.
    FIT is gone, rates going up, solar owners are punished for putting out energy when they don't want it.
    Peak hour, when they charge 60c+ for energy, but they don't want yours so they pay you 5c.
    Savings are down, I'd be better off not installing.

    • PTG Benny on 01/07/2022 - 10:59

      Thanks for your honest opinion.

      When I tell people the cost to install solar in regional NSW they can't believe it.

      The break even would be about 8 years which just makes it hard to justify.

      • furyou on 01/07/2022 - 11:01

        Remember it degrades over time. So the older the longer it takes to recoup.
        Then FIT keeps dropping, prices up, it's like a moving goalpost.

        I was supposed to have 2-3yrs left, before the hike/drops. Now I duno.

        • PTG Benny on 01/07/2022 - 11:03

          I think if I knew it would add $10K value to my home I would get it straight away but I don't know if buyers pay a premium for it?

          • furyou on 01/07/2022 - 11:31

            @PTG Benny: By the time you sell, it won't generate at 100% cap and would be like a used car.

            But the main issue, the power companies/media/jealous public need to stop treating solar owners as criminals overloading their grid and upping power costs.

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