August 15, 2013

Solar feed-in tariff drops

September 30th 2013 brings another drop in the solar feed in tariff for South Australia. This will be pretty significant for the solar industry as the rebate will be dropping from 16 cents down to 9 cents per kWh. This will increase return on investment figures and may deter some people from investing into solar, so what will happen with the solar industry post Sept 30th?

Well I think you will see a lot of solar companies close up business as the solar industry has been in decline for some while. This will leave a few larger solar companies and also smaller companies with little overheads.

Companies likely to survive are ones that evolve with the solar industry and keep moving with newer technologies. I think that there is likely hood of more on grid battery systems to be installed and people will not bother with the feed in tariff but store their own power on site. This solution is more costly at system cost price but will develop a better return and protect people from government tariffs and power companies.

My recommendation is that people that can get in before the Sept 30th cut off do so but get a system that is battery ready for when the time comes that they need to store power on site. For the people that can’t get in before Sept 30 don’t worry there will still be a way to save power but just be prepared to have a longer return on your investment.


Newman Mundy started NME Solar Solutions in 2010, with a desire to bring quality and good customer service to the solar industry. Newman regularly consults to solar industry groups and companies, plus is a member of accredited master electricians and the Australian Solar Council.

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