Solar panel technology is extremely popular in Perth and the rest of Western Australia (WA). And we are not surprised! Perth is one of the best places to live if you are going to install solar panels, thanks to the sunny and warm climate. So, how does solar stack up in Perth as an investment? Is it a good idea to invest now, or is it too late?
So far, more than 400,000 WA households and businesses have invested in solar panel systems. Thanks to generous rebates, installation costs have gotten more affordable for most people. But as you might know, the federal rebate is smaller today than it used to be.
Solar rebates for residents in Perth
A good investment should give you a high ROI (return on investment). So basically, the less the investment will cost you, and the more profit it gives you, the better it is.
Luckily, you can reduce the costs significantly thanks to rebates. So, what solar rebates are accessible in Perth and does solar stack up in Perth?
Federal government rebate in Perth
In the last few years, the federal government of Australia has given a solar rebate to Australians who invest in solar panel technology. The rebate scheme is scheduled to last until 2030 and is reducing a bit every year.
Small-scale Technology Certificates are generated when a solar energy system is installed. These certificates are often referred to as STCs, and they have a certain value. The value is subtracted from your costs.
If your solar energy system is highly efficient (high kW), this will give more STCs. And if you live in a lower STC zone, you will also receive more STCs than Australians living in higher STC zones. There are a total of four zones.
Perth is in STC zone 3. This means that the STC rebate is not as generous as it could have been, but it will still lower your solar costs by around 30%. If you install a 6.6 kW system, this will give you 82 STCs in 2022. Next year, the number of STCs will be somewhat lower.
Are there state rebates in Perth?
In some Australian states, it is possible to get extra financial incentives on top of the federal rebate. However, you will not find state rebates in Perth (or WA for that matter).
But you will soon see that you don’t need any extra rebates in Perth.
The high level of peak sunshine means going solar will stack up in Perth
In Perth, you may expect every square meter to receive 5.8 hours of peak sunshine every day. This makes Perth one of the best places in Australia when it comes to how effective the solar energy system is expected to work.
If you install a 7 kW solar energy system on your rooftop, this will generate around 28 to 30.5 kWh of power every day. This is more than an average household will use in the Perth area, so solar panels will most likely cover all your energy needs.
The fact that a solar installation is considered to be very effective, is one of the main reasons that solar does stack up in Perth.
You will reduce your energy costs
When your solar panels are producing the majority – or even all of – the power you need, this will lead to lower electricity costs. If your home is connected to the grid, you will probably notice that your electricity bills are not as high as they used to be.
Solar self-consumption is the main reason you will save money by installing a solar panel system.
If your home has a grid-tie solar panel system, you can also transfer any surplus energy into the grid. That way, you can also get paid for the electricity. Your power company (Synergy) will give you a payment in the form of a feed-in tariff.
The combination of solar feed-in tariffs and self-consumption will let you save a lot of money. That way, your initial installation costs will get covered gradually. The payback time for a solar system in Perth is as short as 3.5 years on average (if you have a 6.6 kW system).
So, does going solar stack up in Perth?
Yes, absolutely. Perth is, in fact, one of the best places in Australia to go solar. Although there is no state rebate and the STC rebate might not be the biggest, the effectiveness of the system will make the installation worth the investment. That settles it … solar does stack up in Perth.
The sunny and warm weather will make your solar panel system very effective. After a few years, the system will pay for itself. And you will have your own little power station on the roof, providing you with all the electricity you need (in many cases).
Get your solar panel system installed, and enjoy the benefits of renewable, clean energy!