Saving with solar
The are plenty of benefits of going solar. For one, it reduces your reliance on pulling energy from the grid. At the same time, this can have a significant impact on your monthly energy bills. Why? While you produce and use your own energy, you’re not paying for energy from an external supplier. And even when you do, it may help you avoid more expensive peak times, lowering your energy expenses over time. What’s more, if you end up producing more energy than you can use throughout the day, you may be able to feed it back into the grid and make a few extra bucks along the way. According to the Australian Energy Council, a typical solar pay-back period of a 5kW system in a major city is three to five years.1 Utilising low-rate green financing can help you enjoy the benefits of lower energy bills without having to pay for the system upfront.
Solar energy is also one of the few truly renewable global resources – and turning it into electricity doesn’t produce any harmful emissions as it doesn’t require the burning of gas or fuel. Plus, doesn’t require the installation of expansive (and expensive) electrical infrastructure. Instead, energy is produced right where it’s needed, making it an accessible solution for even the most remote places.
Solar and battery: The dynamic duo
If you want to avoid falling back onto the grid when the sun is gone, you could consider adding a battery pack to your solar power system and storing any unused energy for later use. With a suitable battery, there may also be an opportunity to join a virtual power plant (VPP) to feed your excess energy into the grid for a little extra cash. That’s a decentralised network of power sources, such as multiple homes with solar, that function as a unified power generating entity.
Even with a battery, you can still choose to connect to the grid whenever you feel the need, e.g. to recharge your battery on days when the sun isn’t sufficient. This has the advantage of allowing you to choose times when the rates are low, minimising your expenses. Amber Electric is an energy retailer that gives customers access to the wholesale energy price for a simple monthly subscription fee. Amber’s wholesale model and SmartShiftTM technology allows customers to automatically use energy from the grid when prices are cheap and feed their battery-stored energy back into the grid to earn credit when wholesale prices are high.
According to the Clean Energy Council 2023 Clean Energy report, over 50,000 battery systems were installed in 2022 alone - well over 15,000 more units than in 2021.
What to consider when installing solar and battery
If you want to install a solar power system and storage on your property, there are several things you need to consider:
- Approvals: Depending on your living situation, you may need to acquire permissions from your local Owners Corporation or, if you rent, your landlord. If you’re planning to install a battery, your local electricity network may also need to give approval.
- Infrastructure: Does the surface of your roof offer sufficient space to accommodate solar panels? Does it get enough sunlight? Are your roof materials equipped to withstand the mount and weight long term? Are there any obstacles, like skylights or roof decks, complicating the installation? There are also certain safety guidelines for installing storage batteries in your home, as outlined by the Clean Energy Council.
- Compatibility: When adding a battery to your solar power system, you need to ensure the two are compatible. Here, your solar retailer may be able to advise of suitable options – the same counts if you’re considering joining a VPP, as not all batteries have this capability.
- Breaking even: While solar can lower your energy bills and boost your savings long term, it may take a few years to get there. That’s mainly due to the relatively high upfront cost of installing a solar power system. Before you settle on a system, take into consideration payback period and consider whether green finance options make sense for your situation.
- Finding the right retailer: The best way to go about finding a good retailer is to start by looking for ones that are members of a consumer protection program, like those supported by the Clean Energy Council or the New Energy Tech Consumer Code . From there, it’s all about research, reading reviews and requesting quotes. A good retailer will be transparent, communicative and happy to explain their calculations.
Tip: There are programs, like state government rebates, that help offset some of the upfront installation cost of a solar power and battery system.