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Solar Power in Suburbia - An Australian Perspective on a Global Solution

Empowering Yourself

We finally took the plunge and took advantage of the many rebates on offer to have a grid connect solar system installed at our home. Too much of the media at the time was concentrating on industry wide solutions to the energy crisis in the face of global warming. Under the Liberal Government of the day, thought was moving towards Nuclear power with official studies even recommending sites close to us in Bribie Island and world famous Noosa. Quite frankly - the concept of a nuclear power plant within 50km of my home made me scared for my kids future. A radiation leak is something you can't see coming. It will just affect you. Why wreck a beautiful natural and protected area with a massive nuclear power plant? The push by the governmetn to make nuclear seem like the only option for our future power needs made me think that waiting for the government to make the right decision for us was just not going to work and that if I wanted a secure energy future I would have to take matters into my own hands...

The deciding factors

Grid Connect or off the grid?

Until the last decade or so, the only people installing solar power in their homes were those that either had no electricity service to their home, or the cost of connecting it up due to distance to the power poles was prohibitive. These off-the-grid systems are totally self-sufficient. They have a bank of batteries that are and charged and provide electricity throughout the day and night. Often generators are utilised to provide top up power when the sun has not provided enough energy for the usage required.

Nowadays it is more common to see the Grid Connect system of Solar install where a home is already connected to an electricity grid. This system does not utilise batteries. Solar panels are installed on your roof and through an inverter which converts it from 24-48v DC to 240 AC, provides electricity to power your home. The connection to the grid remains, allowing a two way flow of electricity. If you make excess power to your needs, the electricity flows back into the grid and is utilised by your neighbours. If you need more power than you are making it simply draws the required current back from the grid - eg. at night when no power is made. The system is totally transparent in that you notice no difference where the power is coming from as sophisticated technology in the invertor sychronises the internal system with the grid. There is only one major disadvantage to the grid connect system in that when there is a blackout on the grid, your system will also shut down as the power company does not want power leaking back into the system while they are attempting repairs.

There is one other type of system which is grid connect with battery backup. This would allow you to continue running during a blackout, but requires the use of another inverter and a battery bank. The cost of setup is several thousand dollars. It may be more efficient to have a small generator for use during blackouts (depending on how often you get blackouts though I suppose!)

Being already connected to the electicity grid, we decided to investigate whether a grid connect solar system would be viable for us to install.

Our roof was already at the correct angle of about 30 degrees and facing north which is perfect. This allow the installers to bolt the panels straight onto rails and onto our roof. If you have a flat roof, angled brackets will be used to create the correct angle to face the sun. If you don't have a north facing roof (southern hemisphere), you can actually get stand-alone systems that mount on a pole in your garden which not as aesthically pleasing but may provide better power generation. These stand-alone system can also utilise a sun tracker that uses various systems to follow the sun during its transition of the day. This optimises power generation. I looked into whether roof mounted systems can utilise a sun tracker but have found no information at all on a possible solution. 

COST

At around $14,000, a modest 1kilowatt solar power system is beyond the reach of ordinary Australians. With the grants currently on offer though, it brings the price down to the equivalent of a large screen LCD or plasma TV.

The Australian Federal Government provides a solar rebate of $8 per watt up to a maximum of $8000. This means that a 1kw system is attracts the maximum rebate at the mimimum install cost and provides the best value. After this rebate alone, the fully installed system will come down to around $6000.

A recent development in this grant is the Rudd government's application of a $100,000 household income means test to the grant. This will mean that many Australian families would no longer be eligible for the grant and will scrap their intentions to install. I think the Rudd government is misguided in its use of this means test. I think giving all Australian's incentive to invest in our energy future including those on higher incomes is certainly the best model. Many ordinary working couples now earn over the threshold and will almost definitely not install a system now.

If you are reading this blog and you a solar panel owner or potential owner... Come and discuss your experiences with other owners in the Australian Solar Panel Owners Group forums of this website.

Another aspect to cost savings is the Renewable Energy Certificates or RECS that are given with the install of the system. These RECS are certificates created by the federal government to meet the Mandatory Renewable Energy Target to combat climate change. The RECS are worth a paper value and are traded by agents. Often the installer of your system will offer to purchase the RECS off you at a certain rate and even take it off the total price of install.

Photo showing 7 panels installedAfter the $8000 rebate and the purchase of our RECS, our fully installed $14,000 solar system cost us only $3700.

HIDDEN COSTS AND BENEFITS

Our home resides on the side of a hill with a steep roof that sits many metres off the ground. After initially inspecting the premises, the installer insisted on having a scissor lift to ferry the panels etc to the roof and give them an anchor point for ropes. This was something we had to cough up for - most hire places supply them at around $250-400 a day. We got it for the weekend for the same price and did some house painting to offset the cost.

The solar provider was initially going to install 6 x 167w panels (1002w), but they ran out of them, so we ended up with 7x 163w panels (1134w) for the same cost. They didn't get any argument on that one!

RETURNS

Once installed a grid connect system requires virtually no maintenance. If you want to maintain the highest possible output of your panels you can clean them every 6 months or so as they do get some dust and bird poo on them - generally though the rain does a good job. Therefore, you are left to sit back and watch your energy bills get reduced.

The reality of how much power and therefore money saved you get out of a 1kw system depends on a few factors. After our system was installed it rained for 3 months... solid... not kidding... The panels were outputting very low wattage per day and therefore we didn't offset much power - in fact it was only around $35 for around 2.5 months. In our last 3 month bill period we have had many more sunny days. This resulted in around $90 in electricity being saved or just over 1/3 of our bill which ended up being $140 total.

Another factor is what price your energy retailer will pay for the power you are feeding back into the grid. Make no mistake - the power you are making is green power - the energy company can resell this power at a higher rate to other customers. Why then shouldn't you be getting a higher amount off your bill. Some retailers are realising this an our current supplier buys power off us from cent 1 at a higher rate than we pay for power. That means that you don't have to be a net producer of power to get the higher buyback rate - every watt you make comes off your bill at a higher rate. Check with your power company for details and find one that works for you in your state.

The billing works by having two meters - the original one measures your power usage from the grid and the other measures how much power you have made. When they come to read the meters they take down two figures. The power you make is then taken away from the power you use to create a total. With a higher than standard rate feed-in tariff, like we enjoy,  the power you make is calculated at the different rate and then taken away from the total giving you even higher cost benefits.

Always check your bills though. When we switched retailers, they managed to add the power from both our electricity meters together! Instead of getting a refund for the power we made, we were charged to make it! I sorted that one out in a hurry.

In countries such as Germany the government has set a much higher rate for this "feed in tariff" making the installation of solar power systems an investment in the future. I saw one documentary where a pig farmer had moved to creating a large solar array in one of his fields because it was providing better returns! South Australia provides such a scheme at the moment, but it is only for net producers, so you would need to install over a 2.5kw system to gain the benefits.

The cost of electricity keeps rising. As long as the tariff paid for the green power we make rises with it, the offsetting effects should continue. At a cost of $3,700 it will still take us around 10 years to recoup the money we outlaid on the system. But this is an investment.. in the future. There are of course some other benefits.

Increase the value of your home  

Surveys such as one conducted by realestate.com.au suggest that 73% of buyers believe that having one of more energy efficient features in a home will make it more saleable. Think about it - you are in the market for a home and there are two homes you like - one home comes with an automatic 1/3 rebate on its power bill forever and another doesn't - which one looks more attractive?

Offset your carbon usage

Of course these days people are much more aware that they are creating a carbon footprint on the earth. Everything you do these days creates emmisions. Not many thinks offset it - you can plant more trees, change your lifestyle, but this is one way to not only make a difference, but actually see what that difference is. The new digital inverters have built in co2 offset reading for the power you are making. Australian's produce over 17 tonnes of co2 per person compared with OECD average of 11 tonnes. You can see here that in 6 months we have offset 486kg of co2 - a small amount but as start nonetheless.

Thinking more about your power usage

Having lived on only water tanks for several years, we knew what it felt like to live under a forced water restricition scheme. Every week we could peer into our tank and see how much water was left. Judging by the rainfall of the season we could adjust our water usage to suit our availability of water. Having a huge water network with massive dams makes it very hard for people to quantify how much they are using every week - having a localised system puts you in control of your own destiny with only you to blame if it runs out.

Put this into the context of electricity, a solar system with output readings for how much power you are making makes you much more aware of your electricity use. Things like turning off lights when you are using them, replacing bulbs with compact flourescent or led bulbs, having power boards that can be turned off with your feet or something like the power genie where turning off one product turns off many others - to reduce stop standby power usage. Standby power usage accounts for up to 12% of your total power bill! There are many ways to reduce your usage. Having a solar system just makes you think more about how you can reduce your bill.

Conclusion

Get out there and investigate how a solar system would work with your home. For the cost of an LCD TV you can get a device that not only provides you with monthly returns, but also offsets your carbon usage and put you in charge of your own energy future. There are two ways for government to invest in renewable energy - either through massive infrastrafructure project funding or through the application of rebates to individuals to create the same effect. I think the future for Australia involves a synergy of the two. Both the large scale investment in big energy projects and through partnering with individual families to shoulder part of the cost burdens of moving to renewable energy. This will empower Australians to take a stake in their future rather than just waiting to see what the government does for them. 

How was your experience getting a solar system installed? Are you currently in the process.. Come and discuss your experiences with other owners in the Australian Solar Panel Owners Group forums of this website.

 

 

Comments

 

Bacca said:

We went out of our way to get a 2.1 Kw system - clean power, make a return of the excess. The grant of $8G and value of RECs was a deciding factor so we paid up front to get our system fast tracked. It has been over 9 weeks and we are still no closer to getting the grant(which was approved prior to the instal)  The latest from the Government Dept handling the grants is that our rebate claim is with the Finance dept ( awaiting a voucher number)and it could be for another couple of weeks... SO MUCH FOR THE SIX WEEK (general expectation) WAIT FOR THE REBATE AFTER THEY RECIEVE THE COMPLETED INSTALLATION REPORT, which we considered to be a fair turn around time. I know the time frame is now 8 weeks BUT...

November 21, 2008 4:12 AM
 

Ian said:

True Bacca - We signed up in June and were installed in October (4 months). I think the main delay was due to red tape in getting the $8k grant through. After an initial 50% deposit of  the excess after the grant ($1850), we only had to pay the remainder after it was installed.

I guess your case might be a word for the wary Bacca - don't pay up-front as the six weeks is not guaranteed. This might be something the Federal Government should look at in accelerating the solar energy market.

November 21, 2008 1:15 PM
 

Danni said:

Our 1 kw solar panal system was installed on Jan 7 after a 4 month wait. I know we've had lots of wet weather this year but we've also had plenty of sunny days too and we've never generated more than 3.7 kw in a day despite the fact that everyone who gave us a quote said how great our roof was and we should do really well with around 6 - 7 kw per day. We live near Noosa. Anyone else out there who lives in that area had low readings this year or is it possible that our system is not working properly?

March 5, 2009 12:32 AM
 

Dennis said:

I can only encourage people to get solar power. It is the best way to contribute to the environment and have a sustainable lifestyle. Keep up the good work!!

March 5, 2009 4:50 AM
 

Ian said:

Thanks Dennis - positivity is always respected. Danni - we are not far away - I will check our kwh and get back to you. If you are reading this blog and you a solar panel owner or potential owner... Come and discuss your experiences with other owners in the Australian Solar Panel Owners Group forums of this website.

March 5, 2009 1:27 PM
 

Scott Rayment said:

Danni,

It's hard to compare outputs unless you have all the design parameters in front of you, and proper site surveying to ensure that there are no unidentified shading objects, however a 1kW monocrystalline array at optimum tilt / orientation with most inverters available today, will produce an average daily output of approx 4kWh / day, after taking into account all of the derating factors and inverter efficiency as required by the BCSE design guidelines.

Average Daily outputs for each Month vary from 4.58 kWh in Jan, to 3.21 kWh in July (again at optimum conditions).

Optimum Conditions are tilted toward latitude 26.5˚, True North (11˚ West of magnetic North), NO shading and sufficient cooling of the panels (at least 100mm of air space between the panels and the roof).

Unfortunately, if you have several quotes, probably the least expensive says that their system will provide more output and therefore more return on your investment, and most people will go with that quote.

There are reasons that a system may underperform (e.g. a faulty panel, in which case you should consult the installer / supplier), however if your system uses crystalline panels, the output of 3.7kWh / day sounds about right.

If you feel that the system has been misrepresented, let the BCSE know, there is a code of coduct for BCSE installers and the BCSE can decide if they are in breach of that code.

Regards

Scott

BCSE Designer / Installer

March 23, 2009 3:28 AM
 

Solar Kris said:

With the new Solar Credit Scheme and Feed in Tariff, Solar Power is actually pretty affordable. Find a company that will take care of whole process for you; it makes it a very pleasurable experience.

January 24, 2010 10:36 PM
 

Business Energy said:

We visit an energy efficience project at this center for of sustainable. The sales had calculator for discounts and these were much better for longer terms than weekly.

March 2, 2010 12:49 PM
 

2010 Edition Australian Government Grants And Government Funding. | 7Wins.eu said:

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April 5, 2010 2:40 PM
 

marcus said:

Great post! Yes it's true, Having a solar powered system at your home is sure to decrease those swelling electricity bills. I deeply encourage other people to use a solar powered system not only to save money, but to save our planet as well. this site also helped me, http://www.solarenergyzoom.com

June 29, 2010 10:58 PM
 

polysun solar simulator software said:

Hi

Is it possible to reduce our home's electricity bills to 0% by installing solar energy systems in home.

September 9, 2010 6:32 AM
 

Commercial Electricity - Compare said:

I am pleased to say it is interesting that this blog has a great variety of viewpoints to better understand the situation and that is what most caught my attention and has a great variety of comments Whether in their hands or someone else's, this is an idea whose time has come. The users want more. And they're ready to help. Im agree

October 29, 2010 12:11 PM
 

solar panels for homes said:

To all people on Earth: please think of your children, your grandchildren, your great grandchildren, their children and their children's children. It may not be much if you are the only one in the neighbourhood that uses solar power, but by your influence your children will also install solar power at their homes, and so will their children one day. Realize your power :)

December 9, 2010 12:38 AM
 

hot water rebate said:

Thank you for sharing so fantastic post with us. From now on we should use more solar power to protect our earth, so our next generation will last longer.

December 12, 2010 10:39 AM
 

solar power melbourne said:

Quite informative. Our precious earth needs our protection this very hour to ensure that our descendents can enjoy clean and healthy environment for a bit longer. Can you stand being scolded by your children's children?

December 14, 2010 2:59 AM
 

solar wholesale sydney said:

Nice post, thank you. The solar power is considered as the the new power for us that we should develop it more in the future, because it will save our planet resource and protect out environment for the future.

January 7, 2011 12:07 AM
 

solar panels melbourne said:

It is true that the solar power is considered as the new green energy that we should apply it in our life as much as we can. I believe it will developed further in the future.

January 7, 2011 12:17 AM
 

Climate Roofing said:

very good article on solar energy. it described about the production of solar energy and its conversion to use it for home based needs. thanks for sharing

February 10, 2011 10:54 PM
 

renewable energies said:

I liked the economic details in the post about solar energy. Other posts do not usually give such information and I think it is very useful

February 17, 2011 9:17 AM
 

solar panels bundaberg said:

Australia has started to be active in solar energy ... i am sure australia can do much better than it is doing as we have installed $14,000 solar system cost us only $3700. way to go .... thanks for the article

February 25, 2011 3:21 AM
 

solar panels sydney said:

Solar energy is the cleanest, greenest and most viable form of renewable energy generated electricity available to help power your home. Using solar is actually saving the environment and your money!

March 8, 2011 2:39 AM
 

led downlight said:

Solar energy is the cleanest, greenest power that could be provide many usful to public

March 17, 2011 7:46 AM
 

Solar Power Queensland said:

yeah, at the same time saving money and helping cleaning the environment.

March 30, 2011 8:48 PM
 

solar panel installers said:

Your site is very informative and full of knowledge  about  solar panels.  It showcases the importance and  the benefits that we  get if we use solar panels and other services that solar can offer. Solar panels  bring a big help to the people in places where electricity is very expensive in cost... they rather use solar energy by the help of the solar cells.

<a href="www.enviko.com/.../solar-panel-installers">solar panel installers</a>

<a href="www.enviko.com/.../solar-hot-water">solar hot water</a>

<a href="www.enviko.com/.../solar-heating">solar heating</a>

April 11, 2011 1:22 PM
 

solar panel said:

A great blog for everybody. It is  fantastic and full of information. Another great example of  awesome topic. Keep up the good work guys!!! And continue making blogs that are very useful for everybody. God Bless!!

www.enviko.com/.../solar-panel

www.enviko.com/.../solar-pv

www.enviko.com/.../pv-solar-panels

April 13, 2011 6:12 PM
 

online art gallery said:

There was a great program some time ago about a rebate for solar energy systems and solar hot water heaters the aussie government was giving out. Green is in for aussies and that is good for mother nature.

June 12, 2011 9:42 PM
 

Amy likes solar panel said:

Using and harnessing an alternative source of energy is our solution to the impending fuel crisis. Though the initial investment might be costly, in the long run it will be very beneficial.

June 14, 2011 6:48 AM
 

fashion jewelry said:

I loved meeting you at the handmade market today. Your jewelry designs are truly fabulous. I am going to enjoy my two red & black necklaces I bought today. I will be the only girl in Whistler to have any of your pieces!

June 16, 2011 3:43 AM
 

sujiro said:

Since power increases, Solar power become more affordable. We all need something that we can used which has a good quality and performance at the same time we can saved! In <a href="http://www.solarmelbourne.net.au">Solar Melbourne</a>, there are lot of references which I totally find something that I should used. I believe saving made us save. I hope other people save too.

June 23, 2011 1:01 PM
 

creating electricity said:

wow nice report on small Eco plant that can help to improve our home power thanks for post.

July 1, 2011 5:54 AM
 

solar panels said:

This is really impressive. This solar panels will help you a lot in conserving your energy nicely.

July 7, 2011 2:51 PM
 

Plumbing said:

A lot of people have asked how to make solar panels as there are now a lot of solar powered homes and buildings.

July 26, 2011 7:29 PM
 

Solar PV Panel said:

we need to be more and more innovative and move one step forward

currently 50% of householder are using solar hot water system to heat their water into there homes

August 9, 2011 7:30 AM
 

Remote Starter Reviews said:

I 've been dying to get solar panels for  like, years now because it's cool to have green energy but our government doesn't really support that kind of energy source. Maybe your article could knock some sense into heir backward, pathetic excuses of gray and white matter.

August 24, 2011 1:48 PM
 

Solar Panels said:

The innovative invention of solar panels is a great advancement of science. Utilizing the sun’s enigmatic solar energy is one excellent way to use a free and renewable energy. Not only will this reduce electricity bills but using solar panels will be an advantage to the environment since it will lessen the use of harmful gases that contribute to global warming.

August 31, 2011 4:19 AM
 

residential wind turbines said:

This was a very helpful article, and I believe that solar energy is going to be the future for homeowners and business owners. Thanks for sharing this information.

October 5, 2011 6:55 AM
 

Solar Power Panel said:

It's an amazing post! After seeing this explanation people will understand that <a href="www.solarquotation.com.au/.../">Solar Power Energy</a> is much cheaper than electricity cost.  Keep posting like this valuable information

October 12, 2011 12:26 PM
 

Janette said:

Informative post! Australia is finally catching up to the world of solar energy!

Regards,

Janette

www.sunconnect.com.au/.../solar-panels-melbourne

October 26, 2011 12:25 AM
 

solar panels new jersey said:

Solar panels new jersey can be used as a independently and eco friendly.  This means that you do not have to be concerned about losing your power.

November 20, 2011 7:20 AM
 

Kenny Ha said:

Informative post! Australia is finally step ahead towards clean and green environment. Install solar panel and "Go Green".

Thanks & Regards

KennyHa

January 16, 2012 7:07 AM
 

solar power queensland said:

Wow what an article - thanks for the info, alot of people want to know this stuff before they get a sloar system installed.

January 30, 2012 1:46 PM
 

Solar Panels said:

I think this article highlights the options and complexity of solar panels installations and how this can be offputting for many home owners who are looking at renewable energy and installations.

With reduced costs and government subsidies the balance between returns is thankfully becoming more and more desirable.

February 3, 2012 1:09 PM
 

Solar Thermal Milton Keynes said:

Very impressive , thanks for sharing.

March 13, 2012 9:51 AM

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About Ian

Ian is an IT Consultant who has been working in the industry since 1995. He also has a degree in Journalism from the University of Queensland. From an IT point of view Ian is experienced in Microsoft Technologies including Windows Servers (SBS/2003) and clients, SQL Server,and is a programmer in ASP, ASP.NET.

He has a keen interest in ECO living and reducing his carbon footprint.

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