- Customers must have a qualifying electricity generating system (solar, wind or water generators compliant with Australian Standard AS4777, with a maximum capacity of 10 kW for a single-phase system or 30 kW for a three phase system) connected to the distribution network through import/export meters which record electricity transferring from and to the network.
- Energy a customer uses onsite is offset from their power usage.
- When a customer does not use all electricity generated by their system, the excess is exported to the network and they are paid a FiT rate per kilowatt hour (kWh) of electricity exported.
- When the system does not generate enough energy to meet the customer's demand (for example at night, during day-time peak periods, or in winter when there is fewer daylight hours), electricity is imported from the grid.
The Regulated FiT rate is determined by the Regulator after conducting an investigation.
The following table sets out the feed-in tariff rates, as determined by the Regulator, after conducting investigations in 2016 and 2019.
Table 1: Regulated FiT rates under regulated feed-in tariff rate determinations
|2016 Regulated Feed-in Tariff Rate Determination||1 July 2016 - 30 June 2017||6.671|
The 2019-20 FiT rate of 9.347c/kWh is 9.4 per cent higher than the 2018-19 rate of 8.541 c/kWh.
This higher rate is due to the increase in the wholesale electricity price (WEP) in the Treasurer’s WEP Order for 2019-20.
Transitional feed-in tariff rates
Transitional feed-in tariff rates were introduced to assist customers who had installed a solar system to recoup the cost of that investment. There legislated, premium rates were available for a period of five years and expired on 31 December 2018.
Customers who, prior to 31 August 2013:
- installed a qualifying distribution system; or
- had an application approved by TasNetworks to
install or extend such a system (installation and connection was required by 31
August 2014), were eligible for these rates.
These arrangements were closed to new participants by 2014. Under these arrangements:
- residential customers received 28.283c/kWh; and
- small business customers received:
- 38.577 c/kWh for energy consumed up to 500 kWh in a quarterly billing period; plus
- 28.319 c/kWh for energy consumed above 500 kWh in a quarterly billing period.
From 1 January 2019 to 30 June 2019, both residential and small business customers receive the 2018-19 Regulated FiT rate plus an additional 5 c/kWh. Between 1 July 2019 and 31 December 2019 these customers will receive an additional 5 c/kWh on top of the 2019-20 Regulated FiT rate.