{"id":35644,"date":"2017-02-28T22:01:33","date_gmt":"2017-02-28T11:01:33","guid":{"rendered":"http:\/\/nofibs.com.au\/?p=35644"},"modified":"2019-04-16T13:31:08","modified_gmt":"2019-04-16T03:31:08","slug":"solar-feed-in-minimum-tariff-to-double-for-victorian-solar-citizens-reports-takvera","status":"publish","type":"post","link":"https:\/\/archive.nofibs.com.au\/solar-feed-in-minimum-tariff-to-double-for-victorian-solar-citizens-reports-takvera\/","title":{"rendered":"#Solar Feed-in minimum tariff to double for Victorian Solar citizens reports @takvera"},"content":{"rendered":"

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The minimum Feed-in tariff for solar PV owners in Victoria will more than double due to changes the Dan Andrews Labor Government has made to the regulation of pricing for solar PV owners.<\/p>\n

Current minimum feed-in rate is 5 cents per kilowatt hour. Victoria\u2019s independent regulator, the Essential Services Commission (ESC), has determined the new feed-in rate will be 11.3 cents per kilowatt hour and will apply from 1st July.<\/p>\n

About 130,000 solar citizens will reap the benefit of this increased Feed-in tarriff.<\/p>\n

\u201cWith this new feed-in tariff, the Andrews Labor Government is ensuring that households with solar panels are more fairly compensated for the power they send back into the grid.\u201d said Minister for Energy, Environment and Climate Change Lily D\u2019Ambrosio.<\/p>\n

The state Labor Government made changes to the feed-in tariff legislation, to better reflect the true energy value of the electricity supplied to the grid. The changes reflect recommendations of the Essential Services Commission\u2019s Final Report into the Energy Value of Distribution Generation, which was tabled in Parliament in September last year.<\/p>\n

Included in the new tariff is a payment for the environmental and social value of energy provided to the grid.<\/p>\n

\u201cThe former Coalition Government reduced the amount Victorian solar households received to 5 cents per kilowatt hour and voted against the bill to make this change.\u201d said Ms D\u2019Ambrosio.<\/p><\/blockquote>\n

\u201cThis is a great win for the 130,000 solar households all over Victoria, we promised a fairer system and that\u2019s exactly what we have delivered. \u201d<\/p>\n

Determination of the residential feed-in tariff was based upon three conditions: wholesale electricity market prices; distribution and transmission losses avoided by the supply of small renewable energy generation and; avoided social costs of carbon and avoided human health costs attributable to a reduction in air pollution. <\/p>\n

The increase of 6.3 cents on the existing feed-in tariff was derived from 3.8 cents from wholesale market price increases and 2.5 cents attributable to the avoided social cost of carbon. <\/p>\n

The Essential Services Commission also warned that multi-rate tariffs may be set after the first year. This is to allow for consultation with energy retailers on the implementation of multi-rate feed-in-tariffs in future.<\/p>\n

\u201cIt is encouraging to see a fairer price will be offered to the domestic producers of electricity from the middle of the year in Victoria,\u201d said Shani Tager, Senior Campaigner, Solar Citizens. <\/p>\n

\u201cWe hope to see other regulatory bodies in Australia correcting the market failure that is seeing, in some states, solar producers being paid next to nothing for the power they produce,\u201d said Tager.<\/p><\/blockquote>\n

All the other states and territories have a relatively low base tariff price of around 5-8 cents per unit offered for rooftop solar electricity sold back to the grid. This is less than a quarter of the cost of electricity the retailer charges for electricity accessed from the grid. (Check out the EnergyMatters information page<\/a> on Feed-in tariffs for different states and territories)<\/p>\n

\u201cWe are determined to see them follow the lead of Victoria and get a fair price for their solar \u2013 right across the country,\u201d said Tager.<\/p>\n

The change in the solar feed-in<\/a> was announced first in October 2016, although the rate was still to be determined.<\/p>\n

The vacuum in climate policy action at the Federal level has created space for states to step up with innovative energy and climate adaptation plans. <\/p>\n

Later this year the Victorian Government will launch it’s Victorian Renewable Energy Target (VRET) scheme based upon the reverse auctions which have worked so well for the ACT in implementing a 100 per cent renewables target by 2020.<\/p>\n

Lily D’Ambrosio has been busy in her portfolio with recent major energy projects announced in Victoria including:<\/p>\n