Costs7 min readUpdated April 2026

Solar Feed-in Tariffs Australia (2026): State-by-State Guide

Key Takeaways

  • Feed-in tariffs have dropped significantly from 40-60c/kWh a decade ago to 3-8c/kWh today in most states.
  • Self-consumption (using solar power yourself) is now worth 4-8x more than exporting to the grid.
  • WA has the lowest feed-in tariff (2.25c/kWh). NT has the highest (8.3c/kWh fixed).
  • Maximise savings by shifting heavy usage (dishwasher, washing machine, heat pump, EV charger) to daytime.
  • A home battery can capture excess solar for evening use, but payback periods are still 8-12 years for most households.

What Is a Feed-in Tariff?

A feed-in tariff (FiT) is the rate your electricity retailer pays you for solar power you export back to the grid. When your solar panels generate more electricity than your home is using, the excess flows to the grid and you earn a credit on your bill.

In the early days of solar (2010-2015), Australian states offered generous feed-in tariffs of 40-60c/kWh to encourage adoption. Those schemes have closed. Today, feed-in rates are set by the market and vary by retailer, typically 3-8c/kWh.

The key insight: With electricity costing 28-38c/kWh to buy from the grid but only earning 3-8c/kWh when exported, every kWh you use yourself is worth 4-8x more than one you export. This completely changes how you should think about solar.

Feed-in Tariffs by State (2026)

Current feed-in tariff ranges by state. Rates vary by retailer - always compare.

StateFiT RangeElectricity CostSelf-consumption Value
VIC4.6-5.2c/kWh~28c/kWh5.4-6.1x more
NSW5-8c/kWh~32c/kWh4-6.4x more
QLD5-7c/kWh~30c/kWh4.3-6x more
SA5-7.5c/kWh~38c/kWh5-7.6x more
WA2.25-3c/kWh~31c/kWh10-14x more
ACT6-8c/kWh~26c/kWh3.25-4.3x more
TAS5-8.9c/kWh~27c/kWh3-5.4x more
NT8.3c/kWh (fixed)~29c/kWh3.5x more

Key takeaway: WA residents should focus heavily on self-consumption. SA residents benefit most from solar overall due to the highest electricity prices. ACT and TAS have the best feed-in rates.

How to Maximise Your Solar Savings

Since self-consumption is worth 4-8x more than exporting, the goal is to use as much solar power as possible during the day. Here is how:

  1. Shift heavy appliances to daytime. Run your dishwasher, washing machine, and dryer between 10am-3pm when solar is generating. Most machines have delay-start timers.
  2. Heat your water during the day. If you have a heat pump hot water system, set the timer to run during peak solar hours (11am-2pm). This uses 1-2kW of your solar directly instead of buying it from the grid.
  3. Charge your EV during the day. If you work from home or can charge at home during the day, this absorbs a huge amount of solar. A typical EV charger draws 7kW.
  4. Consider a battery. A home battery stores excess daytime solar for evening use. Current cost: $8,000-$15,000 for a 10kWh system. Payback: 8-12 years. Worth it if you use most electricity in the evening.
  5. Shop for a better feed-in tariff. Rates vary significantly between retailers. Use comparison sites to find the best FiT in your area. Even 1-2c/kWh difference adds up over 25 years.

Are Batteries Worth It Yet?

For most households in 2026, batteries are approaching but have not yet reached mainstream payback. Here is the honest math:

A 10kWh battery (Tesla Powerwall, BYD, Sungrow) costs $8,000-$15,000 installed. It can store ~10kWh of excess solar per day. At an electricity price of 30c/kWh, that is $3/day or ~$1,100/year saved. Payback: 7-14 years.

Batteries make sense if:

  • You use most electricity between 5pm-10pm (after solar stops generating)
  • Your feed-in tariff is very low (WA at 2.25c/kWh makes batteries more attractive)
  • You want backup power during outages
  • You are on a time-of-use tariff with expensive peak rates

Batteries don't make sense yet if:

  • You are home during the day and already self-consume 40%+ of your solar
  • Your feed-in tariff is above 8c/kWh
  • Budget is tight (put the $10K into a larger solar system instead - better return)

Battery prices are falling 10-15% per year. By 2028-2029, the economics will be compelling for most households.

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