Once your solar system is generating more than your home is using, the extra power flows back to the grid, and your retailer pays you a feed-in tariff for it. Understanding how this rate works is the difference between a system that just covers your daytime bills and one that actively earns you money.
What a feed-in tariff actually is
It’s a per-kWh rate your electricity retailer pays for solar power you export to the grid, set separately from what you pay to import power. In Victoria, a minimum feed-in tariff is set annually, but retailers are free to offer more, which means the rate can vary significantly between providers for the exact same solar system.
Why your feed-in rate matters as much as your system size
Two identical solar systems can produce very different savings depending purely on the retailer and plan behind them. It’s worth checking your current feed-in rate against the Essential Services Commission’s minimum feed-in tariff periodically, since providers do change their offers.
Quick Tip
Because import rates are almost always higher than export rates, using your own solar power directly is worth more than exporting it and buying it back later. Run high-draw appliances during daylight hours where you can.
Self-consumption usually beats exporting
This is exactly why batteries are worth considering. They let you store midday solar and use it in the evening instead of selling it cheap and buying it back expensive a few hours later. Read more in our Victoria Solar Rebate guide to see how battery incentives can offset the cost.
Get a system sized around your actual usage
We size systems for the best self-consumption outcome across Melbourne’s East and beyond, including Clyde and Pakenham.
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