Since the introduction of solar feed-in tariffs, feed-in tariffs (FiT) programs have become more popular than ever, with residents looking to take advantage of every solar panel they can. Many people are now trying to find the best solar feed in tariff QLD to receive valuable customer credits. So here’s some information on how you can save from a solar feed-in tariff program.
What are Solar Feed-In Tariffs?
Solar feed-in tariffs are essentially fixed prices paid for renewable energy producers for each unit sent back to the grid. In Australia, organisations like Red Energy offer the best one in QLD.
They vary for every state, as each has its own rules and regulations. However, Queensland is an excellent place to start as it is one of the first states to introduce a FiT program which other states have since adopted.
This article explains how solar feed-in tariffs work for Queensland residents and then moves on to the benefits of using a program like this to save money.
How Do Solar Feed-In Tariffs Work in Queensland – An Example Using This Program
The best way to explain solar feed-in tariffs is with an example.
Suppose a Queensland resident has solar panels and a battery storage system installed in their house, the resident uses an app to monitor his usage and check how much electricity the system sends to the grid.
Additionally, this customer also watches the energy price for this period, which happens to be $0.25 per kWh for electricity used.
Benefits of Solar Feed-In Tariffs
A Queensland resident can use their system to send excess electricity to the grid or store it in the battery storage system.
That way, when the person is home and using energy, the solar panels charge up the battery storage system – powering the home and reducing what the resident buys from the grid.
So for this month, the person in the example has generated 1450 kWh of electricity, of which they sent 1300 to the grid and used 150 kWh of electricity from the grid. How much money did this person save?
Every kWh sent to the grid at peak times receives $0.60 per kWh. So for the 1350 kWh sent to the grid, the person receives $895. For the 340 kWh electricity used from the grid, it should cost $119 at peak time.
However, since the person had already sent 1350 kWh to the grid, they only had to pay for the remaining amount, which was 100 kWh. So for 100 kWh of electricity used at peak time is $25.
In total, the bill to energy retailers was $1020, not including the cost of purchasing solar panels and battery storage systems, which would have been significantly more.
If we take away the two months of electricity without solar panels on the house, the total bill would have been $1420.
If you’re wondering how solar feed-in tariffs work and how much money people save, this is an example that shows you the potential savings. It’s not a guaranteed amount as every house has different electricity usage and prices, but it does give a good idea of what can be expected.