As Australia embraces solar energy due to increase in utility bills, three million households are already enjoying rooftop solar benefits. However, transitioning to solar isn’t straightforward for many—it involves detailed research, engagement with your electricity retailer, selecting a reputable solar retailer like Solar Run, planning of your system, and understanding the contract process.

This guide demystifies the pre-installation journey by offering essential insights to get through the initial phases confidently and ensure you’re well-prepared in your solar journey.

As a bonus, we’ve included our best-value deals for six Australian cities, so make sure you read all the way.

1) Do Your Research

Before jumping into solar, it’s crucial to arm yourself with knowledge. Understanding what works best for your home involves several considerations:

What is a Solar PV System?

At its core, a solar PV system includes PV modules mounted on a frame and an inverter that converts DC electricity into AC. This conversion allows the energy to be utilised in your home or sent back to the grid.

Types of Solar PV Systems

• Grid-Connected Solar PV Systems. The go-to-choice in Australia, these systems link directly to the power grid, using solar energy first and grid electricity as backup. Clean Energy Council Accreditation is required for installers.
• Grid-Connected with Battery Back-Up. Increasingly popular for their day-time energy storage and night-time use. They also provide power during outages. Installers need Clean Energy Council credentials like grid-connect accreditation with battery back-up endorsement or both grid-connect and stand-alone accreditation.
• Stand-Alone Solar PV Systems. Ideal for remote locations without grid access, these systems rely on batteries or backup generators. Stand-alone CEC Accreditation is a must-have for installers.

Cost Factors

Investing in a solar system is influenced by:

• Government incentives or rebates
• Installation costs
• System components
• Roof accessibility and type

Extra Costs

Be prepared for potential additional expenses such as:

• Grid connection applications
• Meter upgrades
• Switchboard modifications
• Site preparation

Financing Your Solar Journey

Gone are the days of one-size-fits-all purchasing. Now, you can choose how to finance your rooftop solar:

Upfront Payments

For those who prefer a straightforward approach and wish to avoid ongoing payments, paying upfront for your solar system is the way to go. This option involves a one-time payment for the purchase and installation of your solar setup. The primary benefit here is clear: you own the system outright from day one, enabling you to enjoy the full savings on your electricity bill without any further financial commitments. Plus, owning your system outright may also increase the value of your property.

Interest-Free Finance

Understanding that upfront costs can be a barrier for some, interest-free finance options provide a flexible solution. These plans allow you to spread the cost of your solar system over time without the added burden of interest charges. It’s an ideal choice for homeowners who want to start saving on their energy bills immediately without the initial financial outlay. By choosing interest-free finance, you can invest in solar energy today and pay it off in manageable instalments, making solar more accessible than ever.

Solar Leases

Solar leases offer a unique way to enjoy the benefits of solar energy with minimal upfront costs. Instead of purchasing the system, you lease it from a solar company for a set period, usually around 20 to 25 years. The solar company remains responsible for the maintenance and repair of the system, ensuring it operates efficiently. You pay a monthly lease payment, which is typically lower than your current electricity bill, allowing you to save on energy costs immediately. This option is perfect for those who prefer not to manage the maintenance of their system.

Solar Power Purchase Agreements (PPAs)

Solar PPAs are an attractive option for businesses or households with high energy usage. Similar to a lease, a PPA involves no initial investment. Instead, you agree to purchase the electricity generated by the solar system installed on your property at a set price per kWh, which is often lower than the rate charged by traditional utilities. This agreement allows you to benefit from lower electricity costs without worrying about system maintenance or upfront investment, making it a hassle-free path to solar energy.

Government Incentives

• Small-Scale Technology Certificates (STCs) act as an upfront discount for your solar system, with the subsidy amount varying by location and system size.
• Electricity Retailer Payments reward you for surplus solar energy fed back into the grid, with rates differing across retailers and some states ensuring a minimum buyback rate.

City-Wise STC Subsidy

2) Contact Your Electricity Retailer

Before you get started with solar, it’s key to talk to your energy retailer. You’ll want to grasp how adding solar might affect your electricity bill and tariff.

Feed-In Tariffs

Ask about feed-in tariffs—what you’ll get paid for the surplus energy your panels send back to the grid. It’s all about using what you need and selling the rest. Weighing the pros and cons at this stage is crucial for making an informed decision that suits your energy needs and financial goals. Post-installation, your electricity bill should reflect the updated tariff.

Key Points about Feed-In Tariffs

• Variability Across Regions. Feed-in tariffs vary by state and electricity retailer, with some states setting a minimum rate and others leaving negotiations up to you.
• Retailer Comparison. Shopping around is beneficial to find retailers offering competitive rates for solar customers.
• System Size Limits. Eligibility for feed-in tariffs often caps at a certain system size, ranging from 5 kW to 100 kW, depending on location and retailer.
• Professional Assessment. A CEC-accredited designer can estimate potential savings, factoring in system size, electricity export volume, and tariff rates.
• Potential Savings Fluctuate. Actual savings can differ based on the chosen retailer and various system factors.

Points to Discuss with Your Electricity Retailer

• Electricity Buyback Rate. What’s the pay rate per kWh?
• Cost of Purchased Electricity. Cost per kWh and effect on off-peak rates post-solar.
• Daily Charge Increase. Higher daily charges with solar?
• Penalty Clauses/Fees. Any termination costs or admin fees?
• Payment Form. Cash or bill credit for generated electricity?
• Billing Cycles. Frequency of billing/payment periods.

State Government Departments for Feed-in Tariff Information 

3) Find a Solar Retailer

Before you settle on a system, have a chat with various solar PV retailers to explore your options and gather multiple solar quotes. To get a better understanding download our Solar Quotes eBook. Also, touching base with locals who’ve adopted solar can offer invaluable insights from their own experiences.

Key Players in the Solar PV Space

• Solar Retailer. The go-to for purchasing solar gear.
• Accredited Designer. A professional, certified by the Clean Energy Council, who crafts your solar PV system’s design.
• Accredited Installer. The expert, also certified by the Clean Energy Council, responsible for fitting your solar PV system.

In the solar marketplace, roles can merge, especially in smaller outfits run by a jack-of-all-trades installer/designer. Conversely, larger companies might divvy up these tasks, leaning on subcontractors or employed professionals for design and installation.

Why Choose Solar Run?

Let’s break down why Solar Run is your go-to for solar installation, in simple terms:

• Expertise You Can Trust. Solar Run is accredited by the Clean Energy Council, meaning we really know our stuff when it comes to solar.
• Local Support, Nationwide. Our local business owners run and staff the Solar Run network, which means you get that personal touch with expert service.
• Big Network, Big Reliability. As the 4th largest in Australia, we’re a name you can rely on for your solar needs.
• Customised Just for You. We design solar systems that fit your home and energy needs perfectly.
• Fair Prices, Quality Gear. With our buying power, you get great deals on the best solar products out there.
• Top-Shelf Products Only. We use only the best brands to ensure your system’s efficiency and reliability.
• Installation Excellence. Our installation process is rigorous, ensuring everything is up to scratch from start to finish.
• Warranties That Reassure. Get peace of mind with our industry-leading warranties, including a 5-year full system warranty.
• A Record of Success. Since 2016, we’ve grown fast because we do solar right.
• Support That Stays. After we’ve installed your system, we’re still here to help with top-notch after-sales service.

Opting for a CEC-Approved Solar Retailer

Look for the ‘Approved Solar Retailer’ logo as a sign of commitment. Visit approvedsolarretailer.com.au to find listed approved retailers.

• Commitment to Quality. Choose retailers endorsed by the Clean Energy Council for superior quality and service.
• Comprehensive Warranty. Approved retailers provide a minimum five-year system-wide warranty.
• Ethical Practices. Ensures ethical sales tactics and the use of accredited installers.
• Code of Conduct Standards. Adherence to high standards set by the Code, authorised by the ACCC.

Assessing Your Solar Professional’s Experience

• Determine the number of installations similar to your desired system that the designer/installer has successfully completed.
• Inquire about the most recent project completion date to ensure they are actively engaged in current practices.
• Verify that they are knowledgeable about the latest products, regulatory updates, and specific connection requirements.
• Local companies or those operating within your state are likely to have more experience with your distributor and be familiar with state-specific regulations.

Verifying Your Installer’s Clean Energy Council Accreditation

Government incentives for solar PV systems require both the system’s designer and installer to be accredited by the Clean Energy Council (CEC). Accredited professionals can be found at the CEC’s dedicated website for solar accreditation.

CEC accreditation ensures that professionals have received proper training, adhere to Australian Standards, and follow industry best practices.

Accreditation is awarded to the individual tradesperson installing your system, not the solar PV retailer, so it’s important to confirm the accreditation of the professionals employed by the retailer.

Accredited installers are identifiable by the Clean Energy Council accreditation logo and should be able to present an accreditation ID card upon request.

Things to Watch Out For

When exploring solar options, stay alert to certain sales approaches that might not have your best interests at heart. Here’s what to keep an eye on:

• Aggressive Sales Tactics. High-pressure sales methods should raise red flags.
• Generic System Designs. Beware of proposals that don’t consider your specific needs.
• Inflated Claims. Question promises of unrealistic payback times and system efficiency.
• Mismatched Components. A setup with a large inverter but a small system might not be optimised for your needs.
• Pressure to Commit Immediately. Remember, for unsolicited sales, you have a 10-day cooling-off period to reconsider your decision without penalties.

4) Plan Your System

When planning your solar PV system, your designer ensures it matches your budget, energy goals, and the characteristics of your property. They’ll guide you through essential steps, including:

• Calculating your daily electrical usage to understand your needs.
• Deciding on the system size that best meets your electricity offset goals.
• Selecting the optimal panel and inverter types for efficiency and compatibility.
• Strategically placing solar panels to maximise sunlight exposure and minimise shading impacts.

They will also offer insights into expected system performance by considering any variables that might affect output.

Determining Your Solar PV System Size

The scale of your solar PV system is influenced by three factors that you’ll need to consider carefully:

• Energy Goals. Think about how much of your household’s energy consumption you aim to cover with solar power. This will guide the overall capacity you’re aiming for.
• Space for Panels. Evaluate the available space on your property that receives direct sunlight, as this will directly impact how many panels you can install.
• Investment Willingness. Reflect on your budget for this project. The amount you’re willing to invest will affect the size and quality of the solar PV system you can afford.

Understanding Your Energy Needs for Solar

Before deciding on solar power, take some time to understand your energy usage. This initial step is helps you assess whether solar is a good fit for your home. Here’s what you should know:

• Energy Consumption Analysis. An accredited designer should evaluate your energy consumption during the system design phase.
• Sell Excess Electricity. You can sell surplus energy back to the grid, though the financial return may vary.
• Maximise Self-Consumption. Using the energy your system generates can be more cost-effective than buying from the grid. Aim to tailor your system size to match your home’s energy needs.
• Consult Your Designer. They will assist in selecting a solar system that aligns with your consumption patterns.
• Variable Export Rates. The compensation for exported energy depends on your location and electricity retailer.

Choosing the Right PV Modules and Inverter

It’s not easy choosing the right products for your system and comparing quotes, but this is an important step in the process because your solar system will serve you for 25+ years. Consider the following:

• Warranty Coverage. Look into the warranty details provided by your solar retailer. Warranties vary, with Clean Energy Council Approved Solar Retailers offering a comprehensive five-year whole-system warranty.
• Warranty Validity. Ensure the solar retailer can honour the warranties. Should they go out of business, warranties might be at risk. It’s vital to have the manufacturer’s or importer’s contact details for direct support.
• Manufacturer’s Australian Presence. Prefer manufacturers with local support offices or dedicated importers, as this often translates to better post-purchase assistance.
• CEC Approval. Verify that both the PV modules and inverter are approved by the Clean Energy Council and meet Australian Standards for eligibility for government rebates.
• Approved Import Channels. Confirm that the PV modules were imported through manufacturer-approved channels to avoid warranty issues.

For further guidance and expert solar product reviews, Solar Run offers a wealth of resources to help you make informed decisions.

5) Sign a Contract

After deciding on a solar PV system, your retailer, alongside the designer or installer, will hand over a contract for your signature, rooted in the initial quote. You must fully grasp the system’s design and expected performance before committing. You’re not locked in just because you’ve received a quote.  

Should you choose to proceed, any changes to the system’s design post-signature must be formally agreed upon by you. And, for those unexpected sales, a 10-day cooling-off period post-contract signing is your right, offering a buffer to rethink your decision.  

Elements of Your Solar Contract 

Before signing your solar system contract, make sure it comprehensively covers: 

• Component Cost Breakdown. Ensure it details individual component costs, including if STCs are factored into the total price. 
• Customised System Design. Look for a site-specific design, including a roof layout plan. 
• Performance Projections. Expect estimates of the system’s performance across daily, monthly, and annual periods. 
• Efficiency Loss Factors. There should be clarity on expected efficiency losses due to factors like shading or orientation. 
• Assumptions Disclosure. The contract should openly disclose all assumptions regarding the system and financial offerings. 
• Roles and Responsibilities. Clear delineation of each party’s responsibilities throughout the installation process should be included. 
• Warranties and Guarantees. Details of warranties, including installer workmanship, are important. 
• Payment Schedule. The contract should outline the deposit and progress payment schedule. 
• Service Agreements. Look for included service agreement terms. 
• Installation Timeline. An agreed-upon timeframe for installation is essential. 
• Additional Costs. Any possible extra chargeable work not covered in the initial contract should be mentioned. 
• Finance Terms for Leases/PPAs. If applicable, demand clear information about finance conditions, including lender details, comparative costs, fees, ownership conditions post-agreement, and contact information for finance-related inquiries or complaints. 

Bonus: City-Wise Solar Panel Deals Comparison 

As promised, here are the best deals from Solar Run in six major Australian cities. For more deals and information, please visit the respective page for each city: Adelaide, Canberra, Melbourne, Newcastle, Queensland, and Sydney. 

Get in Touch 

If you’re ready to explore your options or have any questions, our team of solar experts is here to guide you. Whether you prefer a call, online chat, or email, we’re available to provide personalised advice regarding your pre-installation journey and help you get started.  

To learn about the installation and post-installation phases, please head over to our follow-up blog: Your Guide to Solar Installation and Maintenance. 

For additional support, we invite you to download our free e-book, designed to assist you in selecting the perfect solar system for your home.