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2026-27 rates are live. DMO, VDO and solar feed-in tariffs updated for July 2026. See what changed

Solar homes

Why Your Electricity Bill Is Still High With Solar Panels

Solar panels should cut your bill, but many owners are surprised by what is left. Here is why, and how to get more value from every kWh your roof makes.

Checked against regulator sources, October 2026

Why your bill is still high with solar

Common reasons a solar home still gets a big bill
ReasonWhat is going on
Evening and night usePanels produce nothing after dark, so cooking, heating, TV and hot water at night come from the grid at full price.
The supply chargeYou stay connected, so the daily supply charge applies every day. In winter it can be most of the bill.
Lower feed-in ratesFeed-in tariffs have fallen as more homes export at midday. A credit that used to offset most of the bill now covers less.
WinterShorter days and lower sun mean less generation just when heating use is highest.
A system faultA tripped inverter or failed panel can stop generation for weeks without anyone noticing.
A tariff changeA move to time of use, or a plan change, can shift what each kWh costs.

Use it or export it: the numbers

Take 10 kWh of solar. Used at home in place of grid power on the Ausgrid reference price, it saves about $3. Exported at 5c, a rate within IPART's 2026-27 benchmark, it earns $1. That is why shifting the dishwasher, washing machine, pool pump and EV charging into daylight hours matters more than chasing a slightly higher feed-in rate.

What 10 kWh of solar is worth, NSW example
What happens to itValue
Used at home instead of buying$3
Exported to the grid$1
Ausgrid reference usage rate 33.14c. Feed-in rate of 5c is an example within IPART's 3.4c to 6.5c benchmark.

Our feed-in tariffs by state page lists the rates and benchmarks for every state.

Checking a solar bill

  1. Check the inverter

    Look for a green status light or check the app. Any error code means the system may not be producing.

  2. Compare exported kWh

    The solar credit line shows kWh exported. A sudden drop compared with the same season last year points to a fault or shading.

  3. Check the feed-in rate

    Retailers can change feed-in rates. Compare yours with the state benchmark or minimum.

  4. Look at when you use power

    Smart meter data shows how much you still buy in the evening. See reading smart meter data.

Free midday power and solar

Plans with free midday power, such as the Solar Sharer Offer, add little for homes that already cover midday use with solar. Compare the evening rates and feed-in rate on the whole plan before switching.

Questions about solar electricity bills

Usually evening and night use, which solar cannot cover, plus the daily supply charge and lower feed-in rates. A system fault or a tariff change can also push a bill up.

Use it. In NSW, a kWh used at home saves about 33.14c on the Ausgrid reference price, while IPART's 2026-27 benchmark values an exported kWh at 3.4c to 6.5c.

Panels generate less on shorter, lower-sun days, while heating and lighting use goes up. Most solar homes buy more from the grid in winter.

Check the inverter display or app for errors and compare the kWh exported on your bill with the same season last year. A sharp drop points to a problem.

Sources

Every rate on this page comes from the regulator or the regulated retailer. Last checked October 2026. Prices include GST unless we say otherwise.