After the deregulation of south-east QLD electricity prices last July more than 200,000 households on the grandfathered $0.44c solar feed-in tariff will keep the incentive until 2028 – despite the Productivity Commission advising against it whilst also calling for the deregulated prices . The Commission’s report advised that this will cost Queensland taxpayers $3 billion over the next ten years, and $1.4 billion more already incurred. But the legalities around the contract are water tight and those smart enough to take up solar energy during those times deserve what was offered to them by the government.
Solar Feed-In Tariff History
Anna Bligh’s government passed the 44c/kWh feed-in tariff in 2009 and it was eventually restricted in 2012. According to the Queensland Competition Authority, regional electricity price raises (7-8%) are a direct result of the ‘substantial increase’ in wholesale energy costs. These costs have undoubtedly been affected by the FIT, which will result in $770m over the next three years.
Matthew Warren, CE of the Australian Energy Council said the removal of the Solar Bonus scheme from electricity network charges would represent a fairer situation for residents and businesses in Queensland.
“Previously all energy consumers have subsidised those who have put solar panel on their rooftops through higher electricity prices – we would urge the Queensland government to make the change permanent to avoid any future bill shock.”
Curtis Pitt (QLD Treasurer) was quoted as saying the Palaszczuk government will not abandon the solar bonus legislation, introduced by the former Bligh Labor government to facilitate rapid uptake of rooftop solar panels, which it certainly succeeded in doing. “We want to give people the certainty that that is going to remain in place,” he said. “I believe your word is your bond. We’d like to think we’re a government that is going to keep its election commitments and our election commitments were that was going to be maintained.”
Let’s hope they stick to their word.
Read more about Queensland Solar.
