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NSW solar rebates and feed-in tariffs 2021

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Georgia Carter Updated: 01 July 2022
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Solar power and renewable energy is fast becoming a popular source of electricity for the world, especially in Australia. Not only can solar power protect the environment from pollution and the onset of climate change, but it can also help save you money in the long run. In New South Wales, citizens can receive attractive rebates for installing a solar panel system and producing solar power. 

This article explains the solar rebates for NSW, feed-in tariffs, and low-income exchanges one can expect when installing a solar panel at home. Review and compare the various prices when it comes to the size of the solar panel system within New South Wales.

Key facts

  • You can receive a generous rebate from the NSW government when you install a solar panel system.
  • Small-scale technology systems that have certificates receive discounts which result in reduced upfront costs.
  • If you produce more energy than your house uses via your solar system and you export your excess electricity back into the grid, you can receive credits, depending on which energy supplier you are with.
  • Low-income households can forgo rebates in exchange for their very own solar system.
  • Solar cost in NSW can be anything between $3k – $7k a year.

What solar rebates can NSW residents get?

Solar panel rebates in NSW are the discounts residents can receive when generating power from a solar panel system. The rebates have been formulated to encourage more people to shift their dependency from fossil fuels to renewable energy sources. The average solar panel rebate an NSW resident can expect for solar power is around $3,250. This depends on the size of the system, when it was installed, and how much power it generates.

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Feed-in tariffs

A feed-in tariff is a special type of electricity contract that you sign with your utility company. The terms are set out in this agreement to guarantee the use and export of solar panels. If it’s producing more than what you utilize at home, the excess power will be channelled back into the grid, and you will earn credits for every kilowatt exported.

The amount you receive depends on a few factors: your energy provider, where you purchased your solar panel, how much energy you create. In general, you can expect to receive anything between 7c and 18c per kilowatt exported.

Low-income solar scheme

The solar in NSW for low-income households trial is a scheme to provide eligible households with free systems of up to 3kWh. These households can expect to save up to $6,000.00 a year. If your household currently receives any rebates, they have the option to go without it in exchange for a solar system.

Small-scale technology certificates in NSW

To make renewable energy more affordable, the Clean Energy Council has created Small-scale technology certificates that can reduce upfront costs for small scale producers. The government solar rebate rates in NSW depend on when your panel was installed, the location of your home and the amount of sun received, and the size(s) of the system mounted.

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How much does a solar power system cost in NSW

Using solar power for your home is a great way to reduce costs and greenhouse gases. Solar panels can also help you save money on future energy bills by cutting down how often you need new batteries or other equipment in order to get dependable, clean electricity at an affordable price. A standard solar power system in New South Wales, Australia, costs between $3-$7k. The size of the system will depend on what you’re looking for and your personal preferences.

Average costs of solar power system in NSW

Solar Panel TypeTotal CostSolar Panel RebateFinal Cost
3kW$5,463.00$1,773.00$3,690.00
5kW$7,444.00$2,994.00$4,450.00
6.6kW$9,510.00$3,940.00$5,570.00
10kW$13,878.00$5,988.00$7,890.00

Source: Energy.gov.au (September 2021)

Is it worth getting solar panels in NSW?

The solar industry is thriving in Australia. Considering that New South Wales offers incentives and lower prices than other states for homeowners looking to go green with their electricity sources, it’s not surprising. NSW has the perfect weather for harvesting solar power too, which means there are many benefits when it comes not just your day-to-day living but also investing in this type of technology as well.

For instance, feed-in tariffs from government incentives can help cover installation costs or even make some extra cash back off what they’ve paid out already over time.

Frequently asked questions and answers.

  • What happens if I lease or sell my home?

    Solar systems bring in an extra layer of value for your home, but it all depends on the current market. Talk to a real estate agent first if you’re planning on selling before installing solar and buying another house with it. Solar power can be beneficial if used correctly. However, some considerations could affect its worth when considering which type would work best where you live now, namely how much energy costs go up over time due to changes within our society such as population growth or climate change.
  • Do I need council approval to get solar panels in NSW?

    A residence in NSW is not required to seek council approval when installing solar panels that aren’t facing the street. However, suppose you want your newly installed system to be able and functional for as long as possible before reaching full maturity or capacity (which can take up to 20 years). In that case, it might benefit from seeking an official permit so these projects don’t get shut down by authorities mid-installation phase. However, if the building is listed as a heritage site, you will need approval.
  • Is my roof suitable for solar?

    Basically, any roof is suited for a solar panel, but there are still a few factors to consider. Solar panels need to be installed at an angle in order to work properly. If you have a flat roof, it may not be ideal for installing a solar panel. In addition, it is not recommended to install a solar panel where there is shaded coverage on your roof.
  • What size solar power system should I choose?

    You may be surprised to learn that a solar system will produce four times its listed size each day. For example, a 3kW system will generate 12 kWh of electricity! The average household uses between 16-20+ kW per day (depending on how much they use). Unless you have generous feed-in tariff or storage options available, large scale installations like these could cost more than what’s saved by your power bill.
  • What is the best solar feed-in tariff in NSW?

    Origin Energy’s solar feed-in tariffs in NSW are generally one of the highest available. Although other suppliers may offer a similar rate, Origin has reasonable prices for power from their panels. It offers exclusive deals specifically tailored to homeowners with an installed system. It is necessary to follow some basic rules to receive these rates, which will vary depending on how much energy you use each month and if your property features roof mounted or ground mounted equipment.

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