What is a Feed In tariff?

Everything you need to know about solar feed in tariffs

A Solar Feed in Tariff is provided by an Energy retailer for excess power the premises exports to the grid. 

The average Australian home will consume 30% of energy created from the solar system. This means from a 6.6kW solar system generating 26 kWh’s per day, there is an excess of 18kWh’s which is being fed back into the grid.

An Energy Retailer will provide a credit for every kWh from excess solar, this ranges from 3c/kWh – 20 c/kW. 

Teho Tip

The larger the feed in tariff, normally means you’ll pay more for power that you consume from the grid. It’s good to understand your energy profile to get the most out of your solar system. 

The energy meter on the premises will calculate how much solar has been sent back into the grid and will apply the credit to your next energy bill. 

Once you have installed solar on your home, you will need to notify your energy retailer, so they are aware of your new solar system

To increase your solar energy savings, consider other retail energy plans who may pay a higher amount for excess power the premises exports to the grid. 

If you’re considering installing solar on your premises OR you have recently installed solar and you are interested in changing energy retailers – contact an Energy Expert at Teho by going to teho.com.au or call us on 1300 22 92 92. 


Most frequently asked questions and answers

Feed In Tariffs range depending on your retailer. In Australia as of September 2020, they range from 3c to 20c. 

Your current energy retailer will provide you with the feed in tariff. The value is credited on your bill as you get it. 

Feed in Tariffs change constantly. Every retailer will provide a value for the power you provide back into the grid however it can change dramatically. 

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