More than the home of Cascade Brewery, Cadbury and delicious salmon, Tasmania is also a goldmine of renewable energy. With its cold, gray climate, solar power seems unlikely to catch on, but with more than 40,000 solar systems powering radiators across the state, Tasmania is a budding solar power hotspot.

For a Tasmanian household considering installing solar, questions of price, rebates and feed-in tariffs may come to mind. At Canstar Blue we strive to answer these questions and more in our guide to solar energy in Tasmania.

In Tasmania, you can expect to pay between $4,500 and $10,900 for residential solar panels up to 10 kW, according to Solar Choice averages. Basically, smaller systems (3-4 kW) will cost you around $5,000, medium systems (5-6 kW) around $6,500, and large systems (7-10 kW) closer to $10,000.

The cost of solar energy in Tasmania is actually higher than the national average due to fewer discounts and a less competitive market. The table below shows the average solar installation costs in Tasmania as well as nationally.

3kW 4kW 5kW 6kW 7kW 10kW
Tasmania $4,560 $5,270 $6,160 $7,220 $7,670 $10,940
National average $4,020 $4,660 $5,180 $5,820 $6,750 $9,460

Source: Solar Choice – May 2022 Solar Price Index. Prices are after STC and GST rebates applied.

Please note that the figures above are estimates and the cost of a solar system and its installation can vary greatly depending on several factors such as your location, the system you choose and even your installer. For a more accurate quote, contact a local solar installer.

How many people have solar power in Tasmania?

According to the latest Clean Energy Report, 44,270 homes and businesses in Tasmania have solar systems, or around 18% of households in the state.

Tasmania Solar Rebates and Incentives

In Tasmania, the only incentive available for solar power is the Federal Government’s STC scheme. Under this program, eligible applicants will receive a grant for solar panels, solar hot water, and even solar batteries. In order to qualify for a rebate, the tradesperson handling your installation must be certified by the Clean Energy Council.

STC in Tasmania

The The STC (Small-scale Technology Certificate) program is a federal program aimed at reducing the cost of solar panels, solar batteries and solar water heaters in Tasmania. It’s a solar discount it works by rewarding those who install solar panels with renewable energy certificates that your solar installer can use to reduce installation and system costs.

Tasmania is a Zone 4 qualifier, which means it receives less STC than those who live in Zones 1, 2 and 3, where levels of solar radiation are higher. Generally, sunnier areas receive more STC certificates, as determined by your zip code. STC prices may fluctuate, capping at $40. The number you receive depends not only on your location, but also on the size of your system.

Tasmanian Solar Companies

Once solar is installed, the next step is to find an electricity plan that offers a good feed-in tariff. Although it may be tempting to simply opt for the highest feed-in tariff available, keep in mind that high feed-in tariffs can mask higher electricity prices.

Choosing the right plan for you will require determining how much solar power your household uses versus how often you use grid electricity. Households with large systems could probably benefit from a higher feed-in tariff, but households with 3kW panel-only systems could see better savings in the form of lower tariffs.

Feed-in tariffs for solar energy in Tasmania

According to the retailer, solar feed-in tariffs (FiTs) in Tasmania range from around 6.5c/kWh to 10c/kWh. The table below reveals the minimum and maximum feed-in tariffs offered by electricity retailers in the state of Tasmania.

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Retailer Minimum feed-in tariff (kWh) Maximum feed-in tariff (kWh)
Aurora Energy 6.501c 6.501c
CovaU Energy 0c 6.501c
Elysian Energy 7c 9c
Energy premises 6.5c 6.6c
Future Power X 0c 0c
luminescent power 7c 7c
1st energy 6.501c 10c

Source: Canstar Blue Electricity Database/Respective Retailer Websites, May 2022.

Which energy supplier has the best solar feed-in tariff in Tasmania?

When 1st Energy entered the Tasmanian power space in 2019, it also shook up the solar market, offering the highest feed-in tariff in the state. 1st Energy offers a solar feed-in tariff of up to 10c/kWh on its dedicated solar plan, 1st solar bonus. Keep in mind that to be eligible for the higher FiT from 1st Energy and other retailers, certain conditions may need to be met.

Find out how Tasmania’s solar feed-in tariffs compare to those of other states and territories in this guide to the best solar feed in australia.

Solar panel installers in Hobart and the rest of Tasmania

Hand with drill installing solar panels on the roof

Tasmania has a good selection of solar installers; the following alphabetical list includes some of the installers located in and around major cities in the state.

  • Affordable Solar Tasmania
  • contact group
  • Degree C
  • Grounded Electric Tasmania
  • Launceston Electrical Solutions
  • Lifestyle Electrical Services
  • NGSS
  • Electric NSX
  • PolcomComment
  • Powercom Electrical
  • Electrical CSR
  • Solahart Hobart
  • Sunface Solar
  • Heap clean solar energy
  • Electric and Solar Whitney

Do I need council approval for solar panels in Tasmania?

Yes and no. Yes, there are certain circumstances in which the council will need to authorize your installation, but you probably won’t have to deal with them directly. In most cases the chosen installer will contact the local council to determine if planning permission is required. You may need to seek approval if you reside on a heritage listed property or if your solar panels will impact neighbors. After approval, the installer will request a new connection with the Tasmanian electricity distributor, TasNetworks.

In the event that planning or building approval was not in place prior to the installation of the solar panels, the council may either remove the solar panels or provide the option of applying for retrospective approval.

Is it worth having solar panels in Tasmania?

With lower solar output and higher installation costs, it makes sense to ask whether solar panels are worth it in Tasmania. On the one hand, you have the best solar inspection scheme in the country, but on the other hand, your system may take longer than expected to break even.

Ultimately, many factors will determine whether or not solar will be a good investment for you. Your roof’s exposure to sunlight, where you live, the size of your system, and your average energy consumption will collectively determine whether solar panels will be a good addition to your roof.

Our advice? Talk to a trusted local installer about your situation, budget and expectations. Once you’ve done that, talk to another. And another. To find the best deal, it is essential that you shop around before taking the plunge.

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