Energy prices in Australia are out of control and in an effort to address that problem, Victorian Labor have announced a new policy that would see 650,000 homes in the state get access to solar panels for $0 up front.
The new policy will only come into effect if you vote Labor back into Government in Victoria at the next election.
The initiative works by you buying the panels and getting half the price for free (subsidised by the Government) and the other half being paid off over 4 years on an interest free loan. This is a massive opportunity for anyone who doesn’t currently have solar and is perhaps the most practical, immediate solution to energy pricing we’ve seen to date.
It is estimated that this could save you up to $900 on your annual power bill.
Adding solar to your home is a great idea, however the economics of current feed-in tariffs vs the rate you pay to use power from the grid, typically means pairing solar with battery storage is the most practical way forward. Of course this model changes those economics considerably, as long as you were successful at being on of those 650,000 households that are expected to take advantage of the policy. The criteria is not yet clear, nor are the types of solar panels eligible, something we hope the Government clarifies soon.
We know the cost of living is going up and it’s getting harder to make ends meet. That’s why Labor is helping families with their energy bills. Only Labor will help put solar panels on your roof to cut your electricity bills by around $900 a year.Premier Daniel Andrews
Ever since Jeff Kennett and the Liberals privatised our energy market, companies have been ripping off customers and getting away with it. Only Labor will give power back to Victorians with solar panels on 650,000 homes.Minister for Energy Lily D’Ambrosio
Before you watch the announcement from Daniel Andrews, it is worth remembering that a contributing factor to the current power prices Victorians pay, was his decision to end gas extraction in the state, so in some ways he’s solving a problem of his own making.
That issue aside, I’d love to add solar to my home and if Labor was successful, I’d definitely be trying to be at the front of the cue. I’d also still recommend people put the money saved towards battery storage, like the Tesla Powerwall 2, to use even less power from the grid. That will cost you close to $10k after installation costs, but would mean your charge for energy use from the grid could be almost zero (service charges still apply).