To date, regulations for feed-in tariffs for contributions of renewable energy exist in approximately forty countries around the globe.

How do feed-in tariffs work here in Australia?

There is currently no nationalised program. Instead, schemes that are particular to each state are in operation.

Programs in the different states of the country began (and have even been completed in some parts of Australia) at different times and used different models for payment of energy fed-in to the electricity grid. These schemes were of two different models; some schemes pay on a gross amount (total amount of green energy produced being measured), while others pay on a net amount (only the excess green energy being measured after the electricity needs of the premises have been satisfied). This has resulted in a huge amount of confusion and economic uncertainty for renewable energy companies and their customers.

International Evidence supporting a nationwide feed- in tariff

While there is considerable variation across Australia, a good example of a standerdised, nationwide feed-in tariff scheme is evident in Germany. For the last twenty years the German government has had a commitment to renewable energy through the Electricity Feed Act. This Act legally regulates the way that electricity from solar panels and other renewable sources are fed in to the electricity grid. Companies can then buy electricity converted from renewable sources at fees that are set.

This scheme has enjoyed incredible growth over the last two decades, to the point that it has been expanded and improved. Its success can be demonstrated by the amount of electricity that has been contributed to the grid from renewable sources.

In comparison to Germany, Australia does not have such a successful feed-in system. We have far more sunlight at our disposal than Germany has, so it seems the difference is that the feed-in tariff program here is less generous, stable and regulated.

A few good reasons for having standerdised feed in tariff in place

Investing in a solar system here in Australia is a wonderful thing to do for the environment and, potentially, offers your significant financial savings in energy expenditure.

Solar energy, like other renewable energy sources, results in less pollution of the atmosphere through greenhouse gas emissions and can be significant in the development of the solar power industry and the creation of jobs.

Contributing surplus energy back to the grid is important and effective. It is known that whenever electricity is transmitted over sizable distances, some is lost through ‘line loss’. When solar panels are fitted to the roofs of people’s homes, the electricity that is generated will often be sufficient to supply the house to which the panels are fitted and other houses near to it.

Having a feed-in tariff system is particularly important in the summer months. In summer, it is incredibly common for blackouts and power failures to occur because the electricity grid becomes overloaded. At these times, the availability of solar power can make a significant difference and should therefore be adequately compensated.

While there is no nationwide feed-in tariff scheme in Australia, the example in Germany shows just how important such a system is. With a strong system is in place, awareness and respect for solar power and other forms of renewable energy will correspondingly increase.

If a nationwide standerdised feed in tariff was in place renewable energy system owners would be able to reliably calculate their return on investment over a long period. There would be a surge in the investment of large scale renewable energy systems because of the guaranteed long term return. Lastly renewable energy businesses would have a much more stable environment in which to prosper and create jobs.

Contact Gold Coast Energy today to find out more about how feed in tariffs work and discuss how your home or business and the environment can start reaping the rewards of producing clean energy with Solar!

To date, regulations for feed-in tariffs for contributions of renewable energy exist in approximately forty countries around the globe.

How do feed-in tariffs work here in Australia?

There is currently no nationalised program. Instead, schemes that are particular to each state are in operation.

Programs in the different states of the country began (and have even been completed in some parts of Australia) at different times and used different models for payment of energy fed-in to the electricity grid. These schemes were of two different models; some schemes pay on a gross amount (total amount of green energy produced being measured), while others pay on a net amount (only the excess green energy being measured after the electricity needs of the premises have been satisfied). This has resulted in a huge amount of confusion and economic uncertainty for renewable energy companies and their customers.

International Evidence supporting a nationwide feed- in tariff

While there is considerable variation across Australia, a good example of a standerdised, nationwide feed-in tariff scheme is evident in Germany. For the last twenty years the German government has had a commitment to renewable energy through the Electricity Feed Act. This Act legally regulates the way that electricity from solar panels and other renewable sources are fed in to the electricity grid. Companies can then buy electricity converted from renewable sources at fees that are set.

This scheme has enjoyed incredible growth over the last two decades, to the point that it has been expanded and improved. Its success can be demonstrated by the amount of electricity that has been contributed to the grid from renewable sources.

In comparison to Germany, Australia does not have such a successful feed-in system. We have far more sunlight at our disposal than Germany has, so it seems the difference is that the feed-in tariff program here is less generous, stable and regulated.

A few good reasons for having standerdised feed in tariff in place

Investing in a solar system here in Australia is a wonderful thing to do for the environment and, potentially, offers your significant financial savings in energy expenditure.

Solar energy, like other renewable energy sources, results in less pollution of the atmosphere through greenhouse gas emissions and can be significant in the development of the solar power industry and the creation of jobs.

Contributing surplus energy back to the grid is important and effective. It is known that whenever electricity is transmitted over sizable distances, some is lost through ‘line loss’. When solar panels are fitted to the roofs of people’s homes, the electricity that is generated will often be sufficient to supply the house to which the panels are fitted and other houses near to it.

Having a feed-in tariff system is particularly important in the summer months. In summer, it is incredibly common for blackouts and power failures to occur because the electricity grid becomes overloaded. At these times, the availability of solar power can make a significant difference and should therefore be adequately compensated.

While there is no nationwide feed-in tariff scheme in Australia, the example in Germany shows just how important such a system is. With a strong system is in place, awareness and respect for solar power and other forms of renewable energy will correspondingly increase.

If a nationwide standerdised feed in tariff was in place renewable energy system owners would be able to reliably calculate their return on investment over a long period. There would be a surge in the investment of large scale renewable energy systems because of the guaranteed long term return. Lastly renewable energy businesses would have a much more stable environment in which to prosper and create jobs.

Contact Gold Coast Energy today to find out more about how feed in tariffs work and discuss how your home or business and the environment can start reaping the rewards of producing clean energy with Solar!

www.goldcoastenergy.com.au

Ph. 07 55252111

The recent axing of Australia’s solar hot water rebate in February this year caught many off guard – and the situation with the Solar Credits rebate reduction and uncertainty about the future of QLD’s feed in tariff (FIT) may do too, but for different reasons.

SOLAR CREDITS SCHEME REDUCTION

The Solar Credits Scheme provides buyers of solar power systems with a significant point of sale discount off the cost of the ‘up front’ cost of their system. With a 33% reduction in the Solar Credits rebate rapidly approaching, some households putting off installing solar panels until the last minute may be disappointed as systems must be installed by June 30 2012. The rush to have a heavily subsidised system installed in time is well and truly on!

In the past, some solar rebate reduction schedules have allowed the securing of the higher rebate level simply by putting down a deposit on a system before the deadline; with installation occurring after that time. This has allowed people to hold off until the eleventh hour in taking the leap towards slashing or even wiping out their electricity bills.

This will not be the case for the upcoming Solar Credits rebate reduction as systems will need to be installed by June 30 according to the Office of the Renewable Energy Regulator (ORER).

As the bite of high power bills is increasingly felt and more people become aware of the rebate situation, bookings for installations throughout the country are expected to pick up pace. If history repeats itself, some installers may find themselves fully booked in certain areas before June.

QLD FEED IN TARIFF

The other benefit for Solar Power system owners in QLD is the highest FIT in the country. Currently all solar system owners can earn up to .52c per kWh for all excess power generated by their systems. Considering power currently costs consumer’s .21c per kWh on average, this is a fantastic return on your excess green energy. However QLD is the last state to have such a high FIT and as the state Government has already met its target for the uptake of domestic solar power, there is a high chance of the FIT being axed.

TAKE ACTION NOW

Given the installation of rooftop solar arrays can be more complex than installing some other home improvements, suitable lead up time is required – and this can vary according to the installation scenario. Coupled with the inevitable rush on systems due to subsidisation cuts in the industry, it is prudent for any household considering solar to start the ball rolling on having their systems installed now!

Thanks again Greg!

If they mention my name I’ll be making even more money!

Cheers

All the best