Canberra, ACT is a great place to go solar in Australia, thanks primarily to the ever-improving economics of solar panel installations. This article takes a look at some of the key considerations for going solar in Canberra, including system pricing, energy yields and incentives available to system owners. It also touches on battery storage.
How do you benefit from solar power in Canberra?
Getting an optimal solar power system anywhere in Australia – including Canberra – means first understanding how a system benefits a home or business. Solar panels only produce electricity during sunlight hours, and how much electricity is generated depends on the intensity and duration of the sunshine.
ACT residents can benefit from solar in two ways:
- Solar self-consumption, where you use solar energy directly (and avoid having to pay your retailer for electricity), and
- Solar feed-in credits, where you receive a credit on your bill for ‘excess’ solar energy that you send into the grid. The combination of these two benefits helps to make solar a great investment for the ACT.
Note that the feed-in tariff rate that you receive depends on who sells you electricity (your retailer) and the plan that you’re on with that retailer. You can compare feed-in tariffs and switch electricity plans using the government’s EnergyMadeEasy.gov.au comparator website, or our own electricity plan comparison tool.
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How much energy will Canberra solar panels produce?
The average Canberran rooftop receives an annual average of about 4.8 hours of sun per day based on data from the Bureau of Meteorology. This number fluctuates seasonally (higher in summer and lower in winter). Estimated daily generation figures for different size systems based on 4.8 sun hours are detailed below (minus a 25% efficiency loss). Note that ‘kilowatt-hours’ (kWh) is the same unit that you’ll see on your electricity bill; the average Australian home uses between 15-25kWh of energy per day.
Energy production from Solar Panels Canberra | |||
| System Size | Number of Solar Panels | Average output per day | Annual Output |
| 3kW solar system | 8 to 10 | 10.8 kWh | 3,942 kWh |
| 4kW solar system | 11 to 13 | 14.4 kWh | 5,256 kWh |
| 5kW solar system | 14 to 16 | 18 kWh | 6,570 kWh |
| 7kW solar system | 19 to 22 | 25.2 kWh | 9,198 kWh |
| 10kW solar system | 27 to 31 | 36 kWh | 13,140 kWh |
Assumptions:
- Solar panels are free of shading and orientated to the North at 30 degrees
- The solar power system’s efficiency is 75% (conservative estimate)
How much do solar panels cost in Canberra?
Solar Choice regularly publishes articles with indicative pricing for PV systems in Australia’s capital cities (including Canberra) in our Solar Choice Price Index.
Based on the price index data from September 2022, we can see that in Canberra a typical 6kw solar system would cost $6,120 on average after deducting the STC rebate and including GST.
The table below shows how solar system price trends for Australia over the last decade. The prices are in dollar-per-watt ($/W) format and segmented by capital city (including Canberra).
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Choosing the right solar system size
Because solar is affordable these days, sizing up a system for your home is not an exact science. The most popular residential system size in Australia has risen to 6.6kW system; the larger the system, the less you’ll pay per watt of capacity ($/W) for comparable equipment. This size system could work with a household consuming the typical 15-25kWh/day – increasing the system size up and down will slightly adjust the return on investment which we discuss below.
To simplify the shopping process, our online comparison portal provides a good way to get started. You can easily browse through different system sizes and costs, along with different qualities and types of solar equipment – click compare now on the right to get started. You can also check out our Simple Solar System Sizing Estimator to explore different scenarios.
Federal and state government incentives for solar panels Canberra
Federal rebate for solar (STCs)
Significant up-front incentives are available from the federal government. Technically speaking, this discount comes in the form of ‘small-scale technology certificates’ (STCs), which utility companies and other liable entities are obligated to purchase under Australia’s national Renewable Energy Target. This discount is applied directly to the purchase price of your system – there is no need to claim it, as it is passed through to you by the company that sells you the system; all you have to do is compare prices.
As an example, the STC benefit associated with the scheme for a 5kW solar system in Canberra is approximately $2,287 based on pricing from Green-bank.
ACT Battery Rebate Program
(Updated July 2023) The Next Gen Energy Storage program has reached its target of 5,000 batteries in Canberra homes and businesses – and is no longer accepting rebate applications.
All pre-approved applications will be honoured, with all remaining batteries to be installed by 31 March 2023.
The ACT Government will work with battery installers on any outstanding applications and installations to ensure an appropriate transition following this date.
Is solar power worth it in Canberra?
Residents of the ACT are fortunate enough to benefit from some of the lowest grid electricity prices in the whole of Australia, with the most competitive rates coming in at around 19c/kWh according to the government site Energy Made Easy. While this means that typical (pre-solar) household electricity bills in the ACT tend to be less than those in QLD or NSW, it also means that the return on investment for a solar system is slightly lower than in other states.
The table below examines 3 popular system sizes (5kW, 6.6kW and 10kW) with varying energy usage profiles to estimate the return on investment for common scenarios. A big input to the calculation is the “self-consumption rate” which estimates how much of your generated solar power will be used in the household rather than being sold back to the grid. As the feed-in tariff rates are low and reducing, it always presents a better payback period if you can use as much solar power as possible.
Note that we’ve used average solar system prices, but there is a full range of options available on Solar Choice’s comparison portal if you are ready to get quotes for solar.
Indicative Returns for solar panels Canberra – Last updated June 2024- | |||||
| Solar Panel Size | Average Cost | Average Daily Energy Usage | Self Consumption Rate | Annual Savings | Payback Period |
| 5kW | $5,160 | 15 kWh | 40% | $990 | 5.1 Years |
| 6.6kW | $5,730 | 20 kWh | 40% | $1,314 | 4.3 Years |
| 10kW | $8,580 | 40 kWh | 40% | $2,344 | 3.6 Years |
Assumptions/Limitations of this analysis
- Assumes energy price of 29c / kWh which is towards the cheaper end of what is possible in different areas of Canberra
- Assumes a solar feed-in tariff of 7c / kWh
- Average costs come from the Solar Choice Price Index for June 2024
- Your self-consumption rate will vary depending on how you use power in your home. A higher rate, means less power is exported to the grid and improves your financial return
Use our calculator to work out the return for your own specific details in Canberra
What about solar battery storage in Canberra?
The ACT is no longer offering the Next Gen battery scheme and is no longer accepting rebate applications.
Solar Choice has been regularly assessing the financial return of batteries for many years in our ‘Are solar batteries worth it?‘ article. We looked at three different use cases and matching solar panel and battery solutions to arrive at the results below. You will notice that the return for batteries isn’t quite at the same level as solar panels and now the rebate has finished for ACT.
| User Case | Solar and Battery Solution | Total Year 1 Savings | Payback Period Solar & Battery | Payback Period Battery Only |
| Young Adults / Older Family | 5kW of Solar Panels and a 3.5 kWh battery | $1,179 | 8.8 years | > 20 Years |
| Retirees / Young families | 6.6kW of Solar Panels and a 6.5 kWh battery | $1,781 | 7.8 years | > 20 Years |
| Big Energy User | 13 kW of Solar Panels and a 13.5 kWh battery | $3,139 | 8.0 years | > 20 Years |
For a full explanation of our methodology and assumptions – see the full article.
Many solar panels Canberra customers are installing solar panels first to lower power bills and keeping their options open to add a battery once prices come down (we expect they will over the next few years).
Increasingly Australians are making the decision to add a battery to their solar panel solution due to the non-financial benefits like having power during a blackout and running the house almost entirely off renewable energy.
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Since 2008 our knowledge and sophisticated software has allowed over 160,000 Australian households and businesses to make a well-informed choice on their solar & battery installer.
FAQs
How many houses have solar panels in Canberra?
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© 2019 Solar Choice Pty Ltd
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Nice article keep up the good work.
Am in ACT and looking for someone to look at my solar system we believe the readings haven’t changed since the last bill and last quarter we didn’t get discount which indicate the system might be faulty or something . Thanks
Hi Adam. Who installed your system? They’d be the best ones to reach out to as a first port of call.
I have a PV panels on my roof – 48 of them. All is almost perfect EXCEPT for the leaking roof due to a shoddy installation. Roof leaks only during a heavy rain and if there is a moderate to strong wind. By the way, the roof was retailed about one year prior to installation of the PV panels, therefore, it did not leak before.
DO you have any advice who can correct the installation here in the ACT?
Hi Rikitan,
Can you check back with the installer who put the system up? That would be the best place to start.
Hi . I have 2kw solar system at the moment. Looking to put batteries in. But l have been told that the system needs to at lease 5 kw. The panels are 12off 175kw with 2.4 sma inverter . Would it be better to upgrade to 5kw inverter and add extra panels
or just put another 2.5kw system on? I believe that the panels i have are not made anymore ( schott 175 ) so can you add larger panels together with the old system?
Can you please direct me in the right direction.
thanks steve
Hi Steve,
We recommend speaking with an accredited solar installer for more precise details, but here is our general guidance in response to your questions.
-You could potentially have batteries with a 2kW solar system, but the battery bank would have to be quite small for your solar to be able to fill it up completely. There are lots of battery storage products out there, however, so make sure that you consider more than the product you’ve been recommended.
Two resources of ours that you might want to make use of:
-Our Battery Storage Sizing & Payback Estimator Tool will let you explore a variety of system sizes & configurations to help you give yourself a general idea of what you need. (Its limitations are explained on the calculator page.)
-Check out our Battery Storage Product Performance Comparison Tool, which contains a wide range of products currently available on the market and their respective sizes.
About upgrading & swapping the inverter: If your existing inverter is still under warranty, you might be better of having a new, separate system installed alongside the existing one. If it’s getting on in its years, however, you might want to consider upgrading it and adding new panels. The new, larger inverter will need to be able to take in two different strings of panels (ask how many maximum power point trackers the inverter has – your installer should know). Another option if your inverter is getting old is to replace it with a new, similar size inverter and have any new panels added to your home with microinverters, which are installed on the roof inside or next to the new panels. The advantage of doing so is that you wouldn’t need to worry about adding a second central inverter – plus you’d be able to add as many or as few new panels as necessary.
If you’re looking for quotes on solar or battery storage systems, please fill out the Quote Comparison Request form to the right of this page. By doing so, you’ll be able to compare prices on a range of products & system sizes from installers in your area.
Hope this helps you out!