Panda Power

How it works · 3 min read

Why Is My Solar Feed-In Tariff So Low, and What Can I Do?

Quick answer

Feed-in tariffs are low because in the middle of the day the grid is full of rooftop solar, so exported power is worth little to retailers. The best answer is usually to export less: use more of your solar during the day, store it in a battery, and compare plans on your total bill, not the feed-in rate alone.

Panda Power install in Glenmore Park NSW: 7.91 kW solar + 30 kWh AlphaESS battery
Our install in Glenmore Park NSW

Why do retailers pay so little for my solar?

Around midday, millions of rooftop systems export at the same time. There is plenty of power on the grid, so each extra kilowatt-hour is worth very little to the retailer that buys it. In the evening, when everyone is home and the sun has set, power is scarce and expensive. You sell cheap at noon and buy dear at night. That gap is the whole story.

Why did my feed-in rate drop?

Common reasons:

  • Your plan changed or rolled over. Introductory rates often end after a set period.
  • You moved to a different plan type. Some plans pay more for exports but charge more for usage.
  • Market rates fell. Retailers adjust their offers over time.

Check the "solar feed-in" line on your bill and your plan details on the retailer's website.

What can I actually do about it?

1. Use more of your own solar. Every kWh you use yourself saves the full purchase price instead of earning a small credit. Run the dishwasher, washing machine, dryer, pool pump and hot water in the middle of the day. Our guide on the best time to run appliances has the details.

2. Store it. A battery keeps your midday surplus for the evening, when grid power costs most.

3. Compare plans properly. Look at usage rates, supply charges and the feed-in rate together, using your own figures from a recent bill. Some plans pay more for exports at certain times of day; whether that suits you depends on when your system exports.

4. Check your system is producing. If your exports suddenly drop, it may be your system, not your plan.

Does a battery make sense just because the feed-in tariff is low?

It is one of the main reasons people add one. A low feed-in rate means exported solar earns little, so storing it for the evening is worth more. Whether a battery stacks up for you depends on how much you export, how much you use at night, your plan and the battery cost. We look at all of that before recommending one, and we will tell you if it does not suit your home.

A real example

We installed a 30 kWh AlphaESS battery with a 7.91 kW solar system in Glenmore Park. Instead of exporting most of the midday solar at the feed-in rate, the home stores it and uses it in the evening.

The short version

A low feed-in tariff is a sign to keep more of your solar at home. Shift use into the day, consider storage, and compare plans on the whole bill. Send us a recent bill and we will show you how much you are exporting and what it is worth.

Related project

A real Panda Power install that shows this topic in practice.

FAQs

Who sets my feed-in tariff?
Your electricity retailer sets the rate on your plan. Some states publish benchmark ranges, but retailers decide what they offer, and rates can change when your plan does.
Is a higher feed-in tariff always the better plan?
No. Plans with high feed-in rates can have higher usage or supply charges. Compare plans using your own usage and export figures.
Will feed-in tariffs go back up?
We can't predict that. With so much rooftop solar exporting at the same time of day, it is safer to plan around using and storing your solar rather than relying on export credits.

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Written by the Panda Power team from our own installs and the questions customers ask us.

56 days left

Install before 1 January 2027