Solar Citizens welcomes more focus on big energy companies to offer customers better value, but says more support is needed for home energy producers.
Solar Citizens CEO Heidi Lee Douglas said:
“We are looking forward to seeing more Aussie made home renewable energy production - like Aussie made home solar and batteries - through the Future Made in Australia Innovation Fund and through the recapitalising of the Clean Energy Finance Corporation.
“We also welcome the focus on using the powers and penalties of the energy regulators and the ACCC to help ensure energy companies offer customers cheaper deals, and Australians get value from energy companies.
“Energy bills are biting and we know people need support now like the $1.8 billion immediate energy bill relief, but we hope to see more from the government and opposition in the lead up to the election to create long term energy bill savings.”
“Treasurer Jim Chalmers claimed on ABC’s coverage that Labor had an “intergenerational approach to our economic plan and budget”, but to see an intergenerational change in energy bills we need this government to do more to support household clean energy producers.
“There are substantial ways the government can slash power bills for millions of people longer term - and that’s through support for home renewable energy, like home solar and batteries.
“While 40 percent of households now have reduced energy costs through rooftop solar, 60 percent of us still miss out and many are locked out if they rent or live in apartments. We have repeatedly presented the government with our policy asks to address this issue long term.
Solar for renters:
“Solar Citizens proposes that to help 30 percent of Australians who rent to reduce their power bills, the Federal government could work with the state governments to enforce Mandatory Minimum Energy Efficiency standards. The federal government could meanwhile also use tax concessions to incentivise landlords to install solar on rental properties such as instant asset depreciation.
Solar for apartments:
“For the growing number of Australians living in apartments a national program to provide subsidised energy assessments for strata associations for all sizes of apartments, access to rebates for energy upgrades and access to electric vehicle charging for apartments would reduce energy bills.
Home battery support:
“A clear gap in household energy support is the lack of a Federal rebate for home batteries.
“A significant federal rebate for home batteries would reduce the power load in the evenings that is driving up energy prices from using expensive, unstable coal power and expensive gas power. If a million solar households could soak up the power their panels generate during the day, to use at night, AEMO calculates this would be enough to firm the grid and keep prices lower for everyone.
“We know people around Australia who have solar power overwhelmingly want batteries to provide back up storage and reduce their bills further, and share that cheap power with their neighbours. But more than 70% say they can’t afford the upfront cost of a battery without a rebate or other financial support.”
“This would be a smart way to slash energy bills now and long term, gaining much needed cost of living relief for the next twenty years for all Australians.
“Modelling* by the Australian Energy Market Operator, AEMO, shows that the equivalent to one million household batteries are needed nationally by 2030 to harness our world-leading rooftop solar uptake and stabilise the energy grid at the lowest cost to consumers. But household batteries remain the only technology in AEMO’s roadmap without a federal government policy to drive delivery.
“Solar batteries typically cost upwards of $10,000 with payback periods ranging between 5 and 10 years depending on the tariff and other variables. With the current cost of living crisis, batteries are often not an affordable option and that’s why government financial support for batteries is needed.”
“Australians are ready and willing to install home batteries - over 250,000 household batteries have been installed across the country so far, with 57,000 installed last year. But without this new incentive we will fall far short of a million batteries by 2030.
“Some state governments have led the way with the NSW government releasing new financial incentives for home batteries under their Peak Demand Reduction Scheme from 1 November. The Queensland government offered a generous subsidy for home batteries but this closed after only 3,500 submissions.”
*The Australian Energy Market Operator’s modelling in the Integrated Systems Plan to achieve the lowest cost energy transition requires 8GW of household batteries by 2030. This is equivalent to one million behind-the-meter batteries.