Here’s the truth about the Solar Rebates being phased out next year.
You can expect to see a lot of this kind of wake-up call advertising over the coming months about the Solar Rebates to be phased out from Jan 1st 2017. The Solar Market is already fiercely competitive, so this news will be used by some Solar groups as they jostle for your business and try to put a Rocket up your backside to push you into a sale.
The truth of the matter is not quite as dramatic a step as will no doubt be painted. The government is about to start reducing the amount of solar rebates it will cough up for you putting up a solar system of your own to save you money and our environment. We at QSA support this move as there have been no reductions in this rebate previously and overall the cost of a solar system has dropped dramatically in the last few years so the proportion of your install currently being funded by the government is upwards of 40% of the total cost ,(this figure varies as the rebate only applies to the cost of the panels so cheaper panels and cheaper inverters help keep the cost down and attract the same rebate so a higher % value of the rebate can easily be achieved).
In fact, the government pulled the plug on the solar rebates it would destroy the industry. Can anyone recall the home insulation market or tried to find an installer of late? So good on em, the government have got it right for once as by slowly reducing the available rebate they will actually help stimulate the market around the end of the calendar year which is traditionally a slow period in solar sales and with an average of a $350 per year loss in rebate, but a continued price fall the impact of slowly drawing the solar rebate down will have little to no impact on the solar industry helping to secure the jobs of those involved.
Here at QSA, we would like to see some of that solar rebate switched over to help with more battery storage being encouraged as this will have a massive effect on reducing peak usage demand which will in turn have a knock-on effect of lowering power production costs to the suppliers and should they pass this reduction on, (… I did say IF) lower costs to non-solar customers.
Battery prices are still too high to be considered by anyone but those requiring off grid systems due to the cost of connecting to the grid being so high where they are located. Hybrid systems have payback periods in excess of their useful lives so are not yet a viable option. The Tesla gave everyone a big kick up the butt and got everyone buzzing about hybrid and solar battery storage. If you need only the one size fits all option they can offer you and you don’t mind having high voltage D.C on your reinforced wall to accept the weight of it plus you can get by on the low output rate it offers then it’s still an expensive option. In fact, the only things we like about the Tesla is that all their well put together marketing got the battery system ball rolling. Well that and the fact that they can be fitted outdoors too, otherwise we advise staying away from them.
In our opinion, the best bang for your buck system at present is the Enphase system which can go on any existing inverter and is modular so you can invest in it gradually as your finances suit and as your needs change (yes you can add a pool next year and step up to a bigger solar system and more batteries if required). More on the Enphase system in our next post as their new S Series Micro Inverters are looking like a very worthy contender to take over from string inverter systems.
Got questions? Leave a comment below or contact us here and we’ll do our best to give you the right information for your situation.