As the second largest city in Victoria, Geelong is the home of many Australians who are considering going solar. Actually, many households have already invested in solar technology. Solar panels can be seen on the rooftop of around 20 % of all Geelong homes. Does an investment in solar stack up in Geelong?
The government solar rebate is rather small in Geelong and the rest of Victoria, compared to other parts of Australia. And the rebate is getting smaller every year. Because of this, you might wonder if it is still worth going solar in Geelong.
Actually, it can be a very beneficial investment. In this article, we will explain why!
Solar rebates in Geelong
A solar panel system can still be costly, even though the price has dropped quite a bit over the last few years. Because of that, access to financial rebates will often be of significant importance for households that consider going solar.
Let’s take a closer look at the rebates you might receive for solar installations in Geelong.
Federal solar rebate
The government solar rebate is an important financial incentive that has made it possible for many Australian households to go solar. The Small-scale Technology Certificate (STC) based incentive will reduce your installation costs.
The system you install will give a specific number of certificates, and these have a market value. If the solar system is big and will produce a lot of energy, this will give you more STCs. The total STC value is deducted from the gross product and installation costs.
Australia contains four STC zones. Besides the system size, your STC zone will affect the number of certificates your solar installation will generate. In zone 1, you will get the best possible rebate. In zone 4, you will get fewer STCs and a lower rebate.
Geelong is located in STC zone 4. The rebate is, because of that, relatively small compared to the rebate you would get in Rockhampton or Townsville (both located in STC zone 1).
If you install a solar panel system of 6.6 kW, this will typically generate an STC rebate of around $2,052. So, even though the rebate is smaller, it is still significant.
Local rebates in Victoria
The great news for residents living in Geelong and the rest of Victoria is the fact that you have access to the best state rebates in all of Australia. For many households, this will make up for the “low” federal rebate.
You will be able to receive state rebates for inverters, solar panels and batteries. Depending on your system size, you might get a rebate that will cover as much as 50% of your costs. For a 5 kW system, you will typically get a rebate of more than $2,000.
Remember: The rebates will get smaller as time goes by
Neither the government rebate nor the state rebates in Victoria will last forever. Actually, the government rebate will come to an end in 2030. Every year, the rebate (or the number of STCs generated) will reduce.
The state rebates will end in 2032 and are also decreasing every year.
How effective will a solar panel system be in Geelong?
The Geelong weather is often sunny, and throughout a year you may expect more than 2,500 hours of sunshine. At the same time, Geelong is known to be rather cold in the winter.
But like in the rest of Australia, the climate in Geelong is perfect for everyone considering solar installations. You can expect solar panels to produce a significant amount of power. A 1 kW system will typically generate around 4.3 kW a day.
A mid-sized 6 kW system is likely to generate around 25.2 kWh a day. Considering the fact that an average Geelong household consumes 18 to 20 kW a day, a 6 kW system should be able to produce all the power you need.
For a large home with a larger power consumption of 25 to 30 kW a day, it might be necessary with a bigger solar panel system.
If your system were to produce more electrical power than your household consumes, you can sell the excess to your power provider. Over time, the system will cut your power costs and give you a great return on investment.
Is solar technology a good investment for residents in Geelong?
Overall, yes. Geelong residents will not only get access to some of the best rebate schemes in Australia – but the system will also produce most of the electricity your household needs. That way, you will be able to spend less on power from the grid.
Solar technology is a great investment for anyone living in Geelong. However, you should be aware that the rebates will get smaller and smaller every year. Because of this, it might be beneficial to invest in a solar system as soon as possible.