Net metering is a billing arrangement that allows solar system owners to receive credits for the surplus electricity their systems generate and send back to the grid.
When your solar panels produce more electricity than your home consumes, that excess energy is automatically fed back into the grid. Depending on your electricity plan, you may then receive financial credit from your electricity retailer for that exported energy, which marginally helps offset the cost of electricity you draw from the grid at night or on cloudy days.
Victorian Context (Feed-in Tariff)
In Victoria, the rate you are paid for exporting electricity to the electricity grid is called the feed-in tariff (FiT). This tarif can support you via the following:
- Self-Consumption: The greatest savings come from using your own solar power instead of buying expensive grid power
- Export Credits: The FiT credits you receive for exported power are applied to your bill, which can marginally reduce your overall electricity costs.
Finding the best Feed in Tarif (FiT)
To find the best rates and understand the current rates in the electricity market, you can use the Victorian Government’s free and independent comparison tool:
- Compare current feed-in tariffs: Visit Victorian Energy Compare at compare.energy.vic.gov.au/ to understand different offers and ensure your household is receiving the best energy plan and FiT available
- General solar tariff information: For more details on current regulations and solar information, you can visit the Energy Victoria website.
