Customers with solar installations receive a feed-in tariff (FiT) for any on-site generation they export to the electricity grid after off-setting against their own electricity consumption.
When you feed the renewable energy that you generate back into the grid, it appears as a negative amount on the back of your bill. In other words, it is taken off the amount that you have imported from Aurora Energy.
Have a look at your solar bill explained and remember you can always call our team to answer any questions you may have on 1300 13 2003.
Feed-in-Tariff (FiT) Rates
Feed-in-Tariff rates for regulated customers are set by the independent Tasmanian Economic Regulator on an annual basis.
The rate you are eligible to receive when we buy back the excess energy you produce depends on the size of your solar system and whether you are a business customer, or a residential customer.
It also depends on whether you were previously eligible for the Transitional FiT rate (often referred to as the Legacy Feed-in-Tariff), or the Standard Feed-in-Tariff.
1 January 2019 to 30 June 2019
1 July 2019 to 31 December 2019
Standard FiT customers Standard tariff (X4I) – 140 or Standard tariff (X51) – 150
This rate applies to all regulated small customers that have a solar system with a single phase connection up to 10kW or a solar system with a 3 phase connection up to 30Kw;
Customers that move into a premises that has solar connected; or Customers who lose their eligibility for the additional one year supplement.
The Standard FiT as determined by the Tasmanian Economic Regulator
Transitional FiT residential customers
This rate applies to all regulated residential customers that previously held the Legacy feed-in (X1I) – 110) for a solar systems installed or approved before 31 August 2013
8.541 cents/kWh Plus a transitional supplement of 5 cents/kWh
The Standard FIT as determined by the Tasmanian Economic Regulator Plus a transitional supplement of 5 cents/kWh
Transitional FiT small business customers
This rate applies to all regulated business customers that previously held the Legacy feed-in (X2I) – 120) for a solar systems installed or approved before 31 August 2013
8.541 cents/kWh Plus a transitional supplement of 5 cents/kWh
The Standard FIT rate as determined by the Tasmanian Economic Regulator Plus a transitional supplement of 5 cents/kWh
Non-Qualifying feed-in (X6I) – 160: If you have this tariff, please contact us on 1300 13 2003 to discuss your FiT rate.
Additional one year supplement
The Transitional FiT rate [Legacy feed-in (X1I) – 110) and Legacy feed-in (X2I) – 120] ended on 31 December 2018. To ease the adjustment for households and businesses moving to the Standard FiT rate the Tasmanian Government determined that an additional 5 cents/kWh will be payable until 31 December 2019.
This means you will receive a total of 13.541 cents per kWh for the power you export from 1 January 2019 to 30 June 2019, when the standard FiT rate will be reset by the Tasmanian Economic Regulator (the Regulator) as part of its annual price setting process.
From 1 July 2019 to 31 December 2019 you will receive the new Fair & Reasonable Solar Feed-in Tariff, plus the additional 5 cents per kWh.
Any other change of account holder, or any changes to the system itself, will result in the loss of the transitional FIT.
All pricing information current at 17 January 2019.
Frequently Asked Questions
How is the feed-in rate is set?
Each year, the Regulator sets the minimum feed-in tariff (FiT) rate that we as retailers must pay regulated residential and small business customers for any on-site generation they export to the electricity grid, after off-setting against their own electricity consumption.
The Regulator is independent from Aurora Energy and the Tasmanian Government, and undertakes an in-depth pricing investigation to determine the regulated FiT rate. The most significant factor in setting the FiT rate is the wholesale price energy retailers, like us at Aurora Energy, pay to purchase energy from electricity generators.
Generally, if the wholesale energy price goes up, the FiT rate set by the regulator will also go up, and in turn, if the wholesale energy price goes down so too does the FiT rate.
If you’d like to learn more about how the Regulator sets the feed-in tariff visit their website.
Why is the energy I buy from Aurora Energy of higher value then the energy I export?
As an electricity retailer, we are responsible for billing our Tasmanian customers to collect the costs associated with each part of the electricity supply chain.
When your solar system is not generating enough power to cover your household consumption, your energy will be imported from the grid. The amount Aurora Energy charges you for electricity you important, covers all the costs associated with each part of the electricity supply chain, including the cost of generating electricity and maintaining the electricity network.
Energy generated through local hydro and gas plants and from the mainland. This does not include any cost for carbon.
7.7% Renewable Energy Certificate charges
Australian Government charges to support renewable energy generation.
0.4% Market charges
Fees payable by all customers to participate in the National Energy Market.
Costs to manage and maintain the poles and wires that deliver power from generators to customers premises.
The provision, installation, maintenance and reading of meters.
Covers costs for billing, customer service and provision of information services.
*This cost breakdown applies only to Regulated Standing Offer electricity prices.
The cost of purchasing electricity – regardless of whether we buy it from a generator like Hydro Tasmania, or from household solar generation – only makes up a small portion of the costs you are billed for.
Because households and businesses generating solar power do not incur any of the costs of the electricity supply chain, setting the FiT rate at the same rate as retail price would drastically overstate the value of the solar generation and provide compensation for services that a solar generator does not provide.
If the solar FiT rate were to be set higher than the value of other generation, this would create a cross-subsidy, which would ultimately be funded by customers who do not have access to solar.
Where can I find more information?
In 2018, the State Government conducted a FiT Review. The outcome of the review along with answers to Frequently Asked Questions about solar pricing can be found on the Department of State Growth website.
The website for independent Regulator responsible for setting the Feed-in Tariff rates in Tasmania also has plenty of information about how the solar FiT rate is set.