KEY POINTS
- The average electricity bill for households with solar panels was $238.
- Homes with solar panels saved an average of $24 on a solar feed-in tariff, exporting solar back to the grid in exchange for a solar credit.
- How much you save on your electricity bill with a solar system depends on several factors.
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Note: The information below is based on Canstar Blue’s December 2024 Pulse Survey unless stated otherwise.
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Average electricity bill with solar panels in Australia
According to our research, the average electricity bill for homes with solar panels was $238.
Households with solar panels receive a solar credit for exporting solar back to the grid — this is known as a solar feed-in tariff (FiT).
How much money do you save with solar panels in Australia?
Households with solar panels saved an average of $24 through solar credits on their last power bill.
The largest solar rebates on bills were in the Northern Territory, with $39 on average, while South Australians reported a smaller $35 credit on their most recent bill.
Factors impacting how much money you save with solar panels
Your actual savings will depend on a variety of factors, some of which aren’t within our control, such as:
- Weather/Climate: States and regions are organised into different zones based on the amount of solar radiation they receive, with zone 1 receiving the most and zone 4 receiving the least. Other weather-related factors to consider include frequent cloud cover and storms, which can negatively impact how much sunlight your panels are exposed to during the day. Consider the zone you live in and decide if it’s worth committing to a solar system.
- Upfront cost of installation: The minimum cost of a professional solar installation and the price of solar peripherals differ from state to state. The more you spend upfront, the longer it’ll take to recoup those costs. However, you can control the type of solar panels, solar battery, inverter and the size of your system. Be sure to consult a professional solar installer before making a decision.
How can I lower my solar bill?
Here are some handy tips you can consider if you’re looking to save money with solar panels:
- Install your solar panels at the right angle and direction: If your roof permits it, install your panels at an angle between 19 degrees and 39 degrees facing the North to maximise the amount of sunlight captured during the day. If you live in a home with a flat roof with less than 10 degrees of tilt, you may install tilt racks to compensate for its lack of incline. Visit Canstar Blue’s Solar 101 guide to learn more about the ins and outs of solar panels.
- Consider a plan with low rates: While there are many market offers targeted towards solar households, a higher feed-in tariff could equate to higher base rates. Remember that you’ll still be paying for power when your panels lie dormant at night. Consider whether a low-rate plan would be more cost-effective for you.
- Take a look at your feed-in tariff: If you’re in a position where your solar panels are generating energy to be put back into the grid, it’s a great idea to make sure you’re getting a good feed-in tariff. Visit Canstar Blue’s feed-in tariff guide to see what’s considered generous where you live.
- Consider installing a solar battery: Solar batteries work by storing excess solar energy for use later, which could help to reduce your electricity bills. Typically, consuming solar-generated electricity first saves you more than exporting it to the grid for a solar credit. Be mindful that solar batteries can be a hefty upfront cost, so only install them if you’re sure you’ll recoup your losses before they reach the end of their lifespans.
- Research federal and state solar concessions and rebates: Depending on where you live, you may be eligible for national and state solar concessions to help defray the upfront costs of installing a solar system or add-on. Doing so speeds up how long it’ll take to pay off your system.
- Maintain your solar panels: This should be made clear by your solar installer, but solar panels require maintenance to remain efficient. Speak with your solar panel specialist about how regularly you should be conducting this work.
- Be energy smart: Use energy efficient appliances, keep cooling and heating to a minimum and turn off lights when you leave the room to maximise your solar energy as much as possible.
Compare energy plans with solar
Comparing energy plans with good solar feed-in tariffs is your best chance of capitalising on your solar panels, increasing your savings and reducing your power bill
Once you have a good idea of how long it will take for your solar panels to ‘pay for themselves’, you’ll be able to estimate how much solar will save you in the long run.
If you’re earning significantly less for your solar credits than the average, it could be worth re-evaluating your current plan.
While it’s not always your solar deal that’s doing most of the damage, it can’t hurt to leverage yourself into the best position possible for savings.
You can visit any one of Canstar Blue’s solar pages or have a look at deals in our comparison tool offering feed-in tariffs to get started.
Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on the Ausgrid network in Sydney but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 3900kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on the Citipower network in Melbourne but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on the Energex network in Brisbane but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 4600kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
Here are some of the cheapest solar-specific deals from the retailers on our database. These costs are based on SA Power network in Adelaide but prices will vary depending on your circumstances. We show one product per retailer, listed in order of lowest price first. Annual price estimates assume general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Price estimates exclude solar feed-in tariff credits. These are products from referral partners†. Our database may not cover all deals in your area, and please check retailer websites for up to date information.
FAQs about solar electricity costs
Canstar Blue’s most recent pulse survey found that the average solar installation cost in Australia for an all-inclusive solar package is around $6,600.
The price you’ll pay for solar panels will depend on the type, installer, size of the system, as well as factors like the positioning of your roof.
| Pros | Cons |
|---|---|
| Helps reduce your energy bill | High upfront costs |
| Less reliant on grid electricity | Maximum output reliant on weather |
| Low maintenance | Less efficient over time |
Like any financial investment, there are pros and cons of solar to weigh up before making a purchase decision.
Installing a PV system can be a solid investment, especially if it’s coupled with a competitive feed-in tariff, good energy habits or a solar battery.
You’ll just need to do your homework and ring around for a few quotes to ensure you’re getting the most bang for your back.
Most solar installers will be able to provide information according to your circumstances, like average payback periods and the appropriate size of system.
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