Annexure 6 Tariffs, Fees And Charges Book 202 2

Does Australia have a solar tax?

The Sun Tax applies to households in states participating in the National Electricity Market (NEM), which includes New South Wales, South Australia, and Tasmania. However, Victoria and Queensland have opted out of this program for now, meaning solar customers in those states will not see export charges. Additionally:

What is a solar tax?

The term “Sun Tax” refers to a new solar export tariff introduced by the Australian Energy Market Commission (AEMC) aimed at households that generate excess solar energy and export it to the grid. Instead of being rewarded for their exports alone, households may now face additional charges, particularly when exporting during times of low demand.

What is a solar energy tariff?

This tariff is part of the Distributed Energy Integration Program, which seeks to stabilize the grid amid the growing popularity of home solar systems. As more households and businesses switch to solar energy, the energy grid faces issues balancing excess daytime energy production and demand during peak hours, like in the evening.

When will photovoltaics international's feed-in tariffs be published?

Photovoltaics International is now included. The draft decision also proposes two time-varying feed-in tariffs ranging from AU$0.0 to AU$7.5/kWh. ESC has confirmed that the draft decision is open for consultation until 31 January. A final decision on minimum feed-in tariffs will be published by 28 February 2025.

How can Austrade help Australian solar manufacturers?

Austrade can connect Australian solar installers with manufacturers through trade missions and business exchanges or facilitate the entry of manufacturers into the Australian market. Export Finance Australia's $2 billion Southeast Asia Export Finance Facility could catalyse investment in solar manufacturing projects.

Will Australia invest in solar manufacturing?

In March 2024, the Australian Government announced a $1 billion Solar Sunshot program to invest in domestic solar manufacturing as part of its $22.7 billion Future Made in Australia (FMIA) plan. 1 Government intervention in solar manufacturing has been on the rise globally as countries try to counter China's dominance in the industry.