Victorian Premium Feed-in Tariff Ends November 1st: What You Need to Know

With the end of the Premium Feed-in Tariff (PFIT), the rate will drop from 66c per kWh to around 3.3c per kWh, significantly reducing your financial returns from exporting solar energy.

For example, if you have a 1.5kW system that exports 50% of its generated energy, daily payments would fall from around $9 to just 40 cents. This tariff once helped offset your energy consumption costs, but after 1st November, you could face higher electricity bills unless you increase self-consumption or adopt energy-saving solutions.

Time-shift energy loads for better self-consumption: Adjust when you use energy-intensive appliances, such as washing machines and dishwashers, to daytime hours when your solar panels are generating power. This maximises the use of your solar energy rather than sending it back to the grid at lower rates.

‍Expand solar system size: Upgrading your solar system to a larger capacity can help meet your household’s growing energy demands, reducing reliance on the grid and enhancing self-sufficiency.

‍Invest in battery storage: By installing a battery storage system, you can store excess solar energy generated during the day for use at night, reducing your dependence on grid electricity and shielding yourself from rising electricity costs.

‍Upgrade to energy-efficient heat pumps: Switching to heat pump systems for hot water, heating, and cooling can significantly reduce your energy consumption. These systems are much more efficient than traditional methods and can work seamlessly with solar panels, further cutting down on electricity usage and costs.

For many households, upgrading to a modern solar PV system offers greater long-term value and energy independence. New systems come with larger capacities, enabling you to meet increased energy demands, and offer longer warranties for added peace of mind. They are also battery-ready, allowing easy integration with storage solutions. Additionally, new systems are more efficient, translating to higher savings over time.

Older systems, however, may encounter compatibility issues with newer technology, such as inverters and batteries, making upgrades or expansions costly and less efficient. In many cases, a complete system replacement is more cost-effective and can prevent ongoing maintenance issues with your solar system. Furthermore, older systems may no longer be eligible for certain rebates or government incentives that apply to new installations, offering further justification for switching to a modern, energy-efficient system.