What is a feed-in tariff?
A feed-in tariff (FiT) is the rate your electricity retailer pays you for solar energy you export to the grid. When your solar panels generate more electricity than your household is using at that moment, the surplus flows back into the grid and your retailer credits you at the feed-in rate.
Feed-in tariffs in Australia are no longer government-subsidised (the generous state government schemes of 44 to 60 cents per kWh ended years ago). Current rates are set by individual retailers based on the wholesale value of solar electricity, which has been declining as rooftop solar penetration increases. More solar on rooftops means more midday supply, which pushes down the wholesale price during solar hours.
Current feed-in tariff ranges by state (July 2026)
| State | Typical FiT range | Notes |
|---|---|---|
| NSW | 3 to 10 c/kWh | Competitive market. Rates vary widely by retailer. |
| VIC | 3 to 12 c/kWh | Most competition. ESC sets a minimum FiT (currently around 4.6c). |
| QLD (SEQ) | 3 to 10 c/kWh | Competitive market. High solar penetration driving rates down. |
| QLD (Regional) | 8.66 c/kWh | Regulated rate set by QCA. Single rate for all Ergon customers. |
| SA | 3 to 10 c/kWh | Competitive market. Highest solar irradiance = most export volume. |
| WA | 2.5 to 10 c/kWh | Synergy DEBS scheme. Tiered: higher for 3pm-9pm exports. |
| TAS | 5 to 9 c/kWh | Limited competition. Aurora and 1st Energy. |
| ACT | 4 to 10 c/kWh | Some retailers offer premium FiT for new customers. |
| NT | 8.3 c/kWh | Regulated by Utilities Commission. |
Rates are indicative ranges across major retailers as at July 2026. Actual rates vary by retailer and plan type. Always check the Energy Price Fact Sheet for the specific feed-in rate on any plan you are considering.
Our take on feed-in tariffs
Chasing the highest feed-in tariff is often a mistake. Here is why: a retailer offering 12 cents per kWh feed-in but charging 35 cents per kWh usage can be more expensive overall than a retailer offering 5 cents feed-in but charging 25 cents usage. The feed-in tariff only applies to electricity you export, while the usage rate applies to everything you consume from the grid.
For a typical 6.6kW system exporting 8 to 12 kWh per day, the difference between a 5 cent and a 10 cent feed-in tariff is roughly $150 to $220 per year. But the difference between a 25 cent and a 35 cent usage rate, applied to 10 to 15 kWh of daily grid consumption, is $365 to $550 per year. The usage rate almost always matters more than the feed-in rate.
The exception is very large solar systems (10kW+) on low-consumption households that export most of their generation. For these households, the feed-in rate is the dominant factor.
Bottom line: compare the estimated annual cost including both usage charges and feed-in credits. Do not compare feed-in rates in isolation.
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See which retailers offer the best combination of usage rate and feed-in tariff.
Compare solar plansHow to maximise your solar value
Self-consumption is worth more than export. Every kWh you use directly from your panels avoids buying that kWh from the grid at 25 to 40 cents. Exporting that same kWh earns you only 3 to 12 cents. Shift discretionary loads (dishwasher, washing machine, pool pump, EV charging) to midday solar hours to maximise self-consumption.
Batteries change the equation. A home battery stores your surplus solar and discharges it during the evening peak when grid electricity is most expensive (45 to 70 cents on TOU tariffs). The value of a battery is not the feed-in rate you keep; it is the peak rate you avoid paying. In states with large peak-to-off-peak price gaps (SA, NSW, VIC), batteries can save $500 to $1,000 per year.
The Solar Sharer Offer (from July 2026). Available in NSW, QLD (SEQ), and SA for households with smart meters, regardless of whether they have solar. Three hours of free electricity during midday solar hours. If you have solar, this may change the optimal tariff calculation. If you do not have solar, this offer effectively gives you the benefit of solar generation without panels.
Time-of-use tariffs for solar households. TOU can benefit solar households because the low midday rates reduce the cost of any grid power you use during solar hours, while the high peak rates increase the value of battery-stored solar used in the evening. But TOU can also hurt if your household uses significant grid power during peak hours that your solar/battery cannot cover.