Victorian Solar Rebates & Government Incentives in 2022
We’ve collated the solar incentives, rebates and FiTs available in 2022 to help homeowners the switch!
Are you a VIC homeowner looking for solar? Below we’ve detailed the Victoria solar incentives available in 2022.
Victoria offers a variety of electricity tariffs, to suit the needs of different users. According to a 2020 report from the Australian Energy Market Commission (AEMC), Victorian homeowners are charged on average 29.28 cents/kWh and during peak demand hours, prices reach up to 50 cents/kWh. Expensive electricity means high power bills for homes using energy from the grid, but a great opportunity to save with solar.
All solar incentives and rebates available in Victoria are:
- Solar panel rebate
- Solar battery rebate
- Solar feed-in tariffs
- Solar hot water rebate
- Federal government STCs
Going solar has never been more incentivised in Victoria.
With various rebates and incentives to choose from, you can get massive discounts on the upfront costs of your solar PV system.
If you live in Victoria and want to save on power bills, this post will show you how.
You’ll learn all the solar rebates and solar incentives for Victorian residents, how they work, and how to apply.
1. Victorian Solar Panel Rebate
Under the solar panel rebate, Victorian homeowners can get up to a 50% discount on the purchase and installation cost of solar panels. As of January 2022, there are 25,753 remaining solar panel rebates in the Solar Homes Program.
You can get a solar panel rebate of up to $1400. There is also an option of a 4-year interest-free loan to reduce the installation cost of your solar PV system.
How it works
First, verify your eligibility from an authorised solar provider. You can find CEC-approved solar providers like Instyle Solar from the Solar Victoria website.
The solar provider creates a quote and uploads it to the Solar Victoria Portal to activate the eligibility evaluation process.
To support the evaluation, you would need to provide a Rates Notice from the council as well as proof of property ownership, identity, and income.
Once confirmed eligible, the solar provider makes a rebate claim and deducts the value from the cost of the solar PV system. You then pay the balance to the solar provider after installation.
Am I eligible for solar panel rebates?
You are eligible for the rebate if:
- You reside in Victoria.
- Your solar PV system is approved. You can choose the right solar panel with these tips.
- The combined household taxable income is below $180,000 annually.
- Your property is worth less than $3 million.
- You and the property address have not received an owner-occupier rebate from the Solar Homes Program.
- You did not have any solar PV system previously.
- You provide non-profit community housing.
How to apply for the Victorian Solar Panel Rebate
- Learn about the process and research accredited solar providers in your area. Instyle Solar is an accredited solar panel installer in Victoria.
- Get a quote from your solar installer. The Solar Victoria Portal will email you once the solar provider has uploaded the quote.
Avoid signing the quote or making a deposit payment before confirming your eligibility.
- Check with the solar installer that you have been pre-approved by the Distribution Network Service Provider (DNSP). The retailer should inform you if there are limitations on solar export.
- Obtain the QR code and eligibility number from Solar Victoria. The solar provider will scan these details before proceeding with the installation.
- Book the installation with the solar provider. Once the installation is done, you can pay the outstanding balance.
It takes less than 25 minutes to apply for the solar panel rebate.
Victorian interest-free loans
Eligible homeowners can get interest-free loans of up to $4,289 on the balance of their solar panel system. The maximum repayment period is 4 years, although you can pay as a lump sum.
If you applied for an interest-free loan alongside the solar panel rebate, Solar Victoria would email you a confirmation date for receiving your repayments.
2. Victoria solar battery rebate
The Victorian government has 1,437 solar battery rebates that give you up to a $3,500 discount on solar battery purchases. You can get a higher fixed rebate of $4,174 if you join the Solar Victoria Virtual Power Plant (VPP) pilot program.
The solar battery rebate is available to every Victorian resident but does not come with an interest-free loan option. You’re also limited to one Solar Victoria rebate, either solar battery or solar panels.
How it works
An applicant begins by examining the eligibility criteria from the Solar Homes program and finding an accredited solar provider like Instyle Solar.
The solar provider claims the rebate on behalf of the homeowner and deducts it from the total cost of the solar PV system. The buyer then pays the balance after the installation.
The Solar Victoria VPP pilot program connects homeowners with solar batteries on an energy-sharing network. Eligible Victorians under this program get higher rebates on solar batteries and installation costs.
You can apply for the VPP pilot program on the Victorian government portal.
Am I eligible for the solar battery rebate?
You are eligible for the battery rebate if:
- You buy the battery system from a solar provider approved by the Clean Energy Council (CEC). One of the best CEC-approved battery solutions is Tesla Powerwall.
- The capacity of your CEC-approved solar panels is 5kW or more.
- The DNSP has pre-approved your connection.
- Solar Victoria pre-approved your energy storage system.
- You own the property where the installation will take place.
- The property has not participated in a Solar Homes Program.
- The property value is below $3 million.
- Your annual combined household taxable income is $180,000.
- You have not received any owner-occupier rebate from the Solar Homes Program.
- You agree to participate in battery trials from the DNSP.
How to apply for the victorian solar battery rebate
- Confirm your eligibility.
- Get a quote from a CEC-accredited solar provider. The solar provider supplies Solar Victoria with the quote to initiate the eligibility process.
Solar Victoria will send you a confirmation email once they receive the quote.
- The solar provider gets DNSP pre-approval before uploading the quote. Without a pre-approval, your solar battery and panels cannot be connected to the grid.
- Once your eligibility is confirmed, you can find a QR code and eligibility number from the Solar Victoriia portal.
- Contact the retailer and book an installation. The solar provider will scan the QR code to begin the installation.
- Pay the balance after the installation.
It takes less than 25 minutes to apply for the solar battery rebate from the Victorian government portal. If you’re unsure about buying an energy storage system, our pros and cons of installing a solar battery can help you.
3. Solar feed-in tariffs
Victoria’s Essential Services Commission (ESC) set a minimum feed-in tariff (FIT) rate of 6.7c per kWh of exported electricity. The maximum rate from electricity retailers is 11.7c per kWh.
The best solar FIT rate in Victoria is 12.0c per kWh by First Energy. This is for a solar PV system with a maximum inverter capacity of 10kW.
Here is a breakdown of the top solar FIT rates in Victoria:
|Electricity retailer||Minimum FIT rate(per kWh)||Maximum FIT rate (per kWh)||Additional information|
|First Energy||6.7c||11.7c||Maximum inverter size 10kW|
|Tango Energy||6.7c||10.1c||Victorian Solar Plus plan – max 3.5kWh daily|
|Elysian Energy||0.0c||10.0c||Power Maximiser plan for systems above 5kW|
|Momentum Energy||6.7c||10.0c||Solar Boost Plus plan capped at 10kW capacity|
Some retailers offer a time-varying minimum FIT. The ESC set a minimum FITs from July 1, 2021:
|Period||Weekday||Weekend||Rate per kWh|
|Off peak||10:00pm – 7:00am||10:00pm – 7:00am||6.7c|
|Shoulder||7:00am – 3:00pm9:00pm – 10:00pm||7:00am – 10:00pm||6.1c|
|Peak||3:00pm – 9:00pm||n/a||10.9c|
How it works
The ESC sets annual minimum FIT rates for every kWh of electricity that Victorian residents export to the grid from their home solar panels.
Your local energy retailer can advise you if you qualify to feed excess electricity to their grid.
Am I eligible for the solar FITs?
To qualify for Victorian FIT, you need to have:
- installed an approved 100kW solar PV system.
- bi-directional metering to measure and record two-way energy flows
- used an accredited solar installer
- a signed-off inspection by a licensed electrical inspector
How to apply for Victorian solar rebates
- Submit all paperwork to your electricity installer. These include:
- Upgrade your metering
- Complete the eligibility process.
You can find Victorian electricity retailers on the Victorian Energy Compare website.
4. Solar Hot Water Rebate
Victoria’s Solar Homes Program is giving a 50% rebate valued at $1,000 or less for purchasing solar hot water systems. The rebate is ideal for homeowners that don’t have or have already installed solar panels.
How it works
Solar Victoria approves all solar hot water systems prior to installation. Non-approved hot water systems do not receive a rebate (except in an emergency installation)
Once you’ve been approved, you can apply for an eligibility number to initiate the rebate process.
The rebate value is calculated after applying all other discounts, such as STCs.
Am I eligible for a solar hot water rebate?
- The solar hot water system is pre-approved.
- You own the property, and it is not a new build.
- You have a combined household taxable income of $180,000 or less.
- The property value is below $3 million.
- The property has not received a Solar Homes Program rebate.
- You are replacing a 3-year old hot water system.
- You have not received any other solar PV or battery rebate from Solar Homes Program.
How to apply
- Get a quote from an accredited retailer.
- Fill in an eligibility pack from Solar Victoria and return via a secure link
- Solar Victoria evaluates and approves your application.
- Book your installer once you receive approval from Solar Victoria.
5. Federal government STCs
The federal government solar panel rebate accompanies Victorian incentives. Presently you can get 14 small-scale technology certificates (STCs) per kilowatt of generated solar.
STCs cover 33% of the installation costs, while the Victoria solar rebate can cover 50% of the installation costs. Combined, you can have significant savings in your new solar power system.
How it works
We discussed how STCs work in this guide. The number of STCs depends on the capacity of your solar PV system. Large systems would generate more electricity and get higher STCs.
Once you get an STC, you will pay the discounted value of the cost of the solar PV system.
Am I eligible for STCs?
Conditions for eligibility:
- installed a home solar system within 12 months of the application date
- CEC-approved solar PV system, solar panels, and inverters.
- Your system’s maximum capacity is 100kW
- installation by an accredited solar panel installer like Instyle Solar.
How to apply
- Your installer calculates the number of STCs from the REC registry.
- You can fill in an STC assignment Form. It allows the installer to create STCs to discount the upfront system costs. The installer forwards the completed form to the Clean Energy Regulator (CER).
Or you can sell the STCs in an open market or an STC Clearing House.
- When you assign STCs to the installer, you get an upfront discount on the solar PV system.
The solar incentives and rebates available in Victoria are:
- Victoria solar panel rebate
- Victorian battery rebate
- Solar feed-in tariffs
- Solar water rebate
- Federal STCs
The value of these incentives and rebates reduces each year. Go solar now and take advantage of the current offers with Instyle Solar.
Get in touch with the top national installer and accredited retailer of premium solar panels and batteries.
We will help you begin your eligibility process with a solar quote.
Our Guides to Solar Rebates, Incentives and More
We have a series of unique guides to solar, solar finance, batteries and more, if you are looking to do more in-depth research into solar rebates check the below:
1. What Are Solar STC’s?
In this regard, the Australian government has provided incentives under the Solar Credit Program to encourage the installation of solar power systems. STCs or Small-scale Technology Certificates are incentives provided to small-scale energy generators. The most common example is the residential facilities.
2. How To Claim STCs
You can claim small-scale technology certificates (STCs) by assigning them at the point of sale to a registered agent like a retailer or solar installer. Each STC claim is unique to an installation. However, you can make more than one STC claim if you use different addresses for each installation.
State-Based solar incentives in Australia offer low-interest loans, interest-free loans, free solar system installation, or free battery installation. The incentives are given depending on your state location. However, you receive solar incentives only if you are eligible.
There are many incentives that business owners in Australia with solar power can enjoy. Some of them include Small-scale Technology Certificates (STCs), Feed-in Tariffs, Retailer Energy Productivity Scheme (REPS), and more. These incentives promote the adoption of solar by lowering the installation costs.
Interested in solar? By clicking below you can use our smart solar calculator to find out just how much you could save with solar, what rebate you are eligible for, and the impact you will have on the environment.
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