Reduce your electricity bills with a solar system

Have you ever thought about installing solar to reduce your electricity bills?

Shopping around to find the best electricity offers is a common way to reduce bills, but it is not the only way. Another way to reduce electricity bills is to invest in a solar system. However, investing in solar may not suit all consumers. Here are some facts to help you understand what’s best for you.

Solar basics

By installing solar panels on your roof, you can create your own electricity. This electricity can be used in your property. Any electricity you create and don’t use will be fed back into the grid.

Solar components

There are many components that make up a solar system. The major components are:

  • Solar panels, which create Direct Current (DC) electricity
  • Inverters, which turn DC electricity into Alternating Current (AC) electricity for household consumption or export to the grid
  • Mounting systems, which secure the panels

Is my property suitable?

You will need to understand how big your roof space is and how many panels you can fit to know if your property is suitable. In most cases, north is the best way to face solar panels but in some circumstances, you can also benefit from having your solar panels facing to the east or the west.

Return on investment

Your return on investment will vary depending on how much electricity your household uses and also when your household uses electricity. Properties that use more electricity will generally get a faster return on their investment

Other technologies

There are a range of other technologies that may suit your circumstances and speed up the return on your investment. For example, installing a battery or a home energy management system with your solar system will allow you to use any excess electricity you generate at other times.

Installers

The Clean Energy Council (CEC) provides accreditation for solar panel installers. To receive government discounts for solar, your installer must be CEC accredited. More information can be found at cleanenergycouncil.org.au

Incentives

Small Scale Technology certificates (STC) are created when a solar system is installed. In most cases your installer will give you an upfront discount on the system cost and claim the STCs.

The Feed in Tariff (FiT) is the amount you get paid for any electricity you feed back into the grid. This amount can vary between electricity retailers.

Warranties

There are four warranties you need to be aware of regarding solar panels.

  1. Panel performance warranty – this covers the performance of the panels
  2. Panel product warranty – this covers the product and any defects or workmanship issues
  3. Inverter warranty – this covers the product and defects or workmanship issues
  4. Installation warranty – this covers the installation of the solar system

 

Retailers and energy offers

You may wish to contact your energy retailer before you install solar panels to understand how your contract might change after the installation. Once your solar system has been installed and connected, you can use Victorian Energy Compare to view all the solar offers in your area and ensure you are on the best retail energy offer for your circumstances.

Visit compare.energy.vic.gov.au

 

What the solar
journey looks like
Step 01 
Research if solar
is suitable for your
circumstances
Step 02 
Arrange quotes from
qualified installers
Step 03 
Sign a contract
Step 04 
Solar system
is installed
Step 05 
Solar is connected
to the electricity grid
Step 06 
Contact retailer to
discuss electricity offer
Step 07 
Maintain solar system
for optimum use
Reduce your electricity bills with a solar system
Reduce your electricity bills with a solar system

 


1

Solar Panels
Solar panels generate Direct Current (DC) electricity that flows to the inverter

2

Inverter
An inverter changes the solar DC power into alternating current (AC), suitable for your household appliances and feeding into the grid

3

Switchboard (electricity to house)
Your home uses electricity from solar PV modules first, and additional demand is supplied from the grid

4

Meter
A meter measures your electricity consumption and solar export

5

Electricity network (grid)
Any excess electricity is exported back into the electricity network