If you’re looking to go solar, one of the main things you’ll need to consider is what type of Feed-in Tariff (FiT) your energy retailer offers.
Feed-in Tariffs are credits on your energy bills that reward you for generating solar power and feeding it back into the grid.
There are two main types of Feed-in Tariffs: time-of-use tariffs and flat-rate tariffs.
You must take time to compare offers from energy retailers to ensure you’re getting the best deal possible – and that’s where Trione comes in!
We can help you find the best solar tariffs in your area and save you money on your power bills.
What are Feed-In Tariffs (FiTs)?
Feed-in Tariffs are payments made to solar system owners for the electricity they generate and export to the grid. In other words, FiTs provide an incentive for people to invest in solar power.
In Victoria, there are two types of Feed-in Tariffs:
- Time of Use Tariffs: With a ToU Feed-in Tariff, you’ll be paid different rates depending on when you generate your electricity. For example, you may receive a higher rate for generating during peak times (like weekday evenings) and a lower rate for off-peak times (like overnight).
- Flat Rate Tariffs: A flat rate Feed-in Tariff pays the same amount per kilowatt regardless of when generated.
- Note that power companies in Victoria are not legally required to provide time-varying (ToU) rates right now. Some may only offer the fixed-rate option.
Which is better, the Time of Use or Flat Rate Tariff?
The answer to this question is, unfortunately, it depends. It varies depending on your electricity usage profile – and the Feed-in Tariff rates offered in your area.
How do you know which is best for you? You need to compare the Feed-in Tariff rate in cents per kilowatt-hour (c/kwh) offered by your power company vs. the price you pay for electricity (c/kwh).
If the Feed-in Tariff rate is higher than what you’re paying for electricity, then a flat rate Feed-in Tariff will probably be better for you.
If the Feed-in Tariff rate is lower than what you’re paying for electricity, then a time-varying or ToU Feed-in Tariff might be best
The Best Feed-in Solar Tariffs In Melbourne
Which energy retailer offers the best solar feed-in tariff in Victoria?
Today, Dodo has the best solar feed-in tariff in Victoria, with a maximum payout of 12 cents per kilowatt-hour (c/kWh).
The next-best option is from 1st Energy with an offer of 11.7 c/kWh.
These tariffs are available to customers with a solar PV system installed on or after 01 July 2017.
If you want to find the best Feed-In Tariff for your home, it’s vital to examine each offer from energy retailers in detail. Doing so will ensure you optimise the savings on your electricity bills!
To find out more about solar tariffs and how your area may impact how much money you could save with solar, speak to the experts at Trione Energy.
Things to consider before signing up for a FiT plan
Before signing any FiT agreement, you must consider the following:
- Your electricity usage habits – Will you be using more or less electricity during peak hours?
- The size of your solar system – Not all Feed-in Tariffs are created equal. Some tariffs offer credits for excess electricity generated. But others pay a set rate regardless of how much power is produced.
- Length of contract – Be sure to read the fine print and understand what you’re signing up for! Most FiT agreements are locked in for some time, usually around 20 years.
- Any other restrictions/limitations; for example, maximum system size.
How can Trione Energy help you choose the best FiT for your solar system?
We understand that Feed-in Tariffs can be confusing, which is why our team of experts are here to help. We’ll work with you to find the best tariff for your solar system and ensure you’re getting the most savings on your power bill!
Feel free to contact us today for more information.