Australian solar owners in 2026 face a dynamic energy market where maximising savings requires a strategic approach beyond simply exporting excess power. While feed-in tariffs (FiTs) remain a component of your solar savings, the most effective electricity plans now prioritise self-consumption, smart energy management, and often, home battery integration. Expect to save over $1,000 annually by optimising your plan and energy usage.

The core strategy for solar households is to use as much of your generated electricity as possible, rather than exporting it for diminishing FiT credits. The average electricity price in South Australia, for instance, is 36c/kWh, while the best FiT is 22c/kWh – meaning self-consuming saves 14c/kWh more than exporting. Similarly, in New South Wales, self-consuming saves 9.73c/kWh more than exporting.

The Shifting Landscape for Solar Owners in 2026

Historically, high feed-in tariffs made exporting solar an attractive proposition. However, with the proliferation of rooftop solar, particularly during midday peaks, wholesale electricity prices often drop significantly, leading to lower FiTs. This trend has solidified in 2026, making self-consumption paramount.

Default Market Offer (DMO) & Victorian Default Offer (VDO) 2026-27

From 1 July 2026, the Australian Energy Regulator (AER) released its final Default Market Offer (DMO) determination, impacting NSW, South East Queensland, and South Australia. Most residential flat-rate DMO prices are set to fall between 3.4% and 7.2% in NSW and SE QLD, with a modest 1.4% increase in SA. Victoria’s Essential Services Commission (ESC) also cut the cap on standard offers, leading to approximately 5% drops for homes on the Victorian Default Offer.

Critically, a new Solar Sharer Offer (SSO) has been introduced as part of DMO reforms, available from 1 July 2026 to eligible residential customers with smart meters in NSW, QLD, and SA. This opt-in offer provides three hours of free electricity usage each day (e.g., 11:00 am to 2:00 pm in NSW/QLD, 12:00 pm to 3:00 pm in SA), up to a reasonable use cap of 24 kWh per day. This is a significant opportunity for solar owners to shift high-energy consumption into the free period, further reducing bills, even without a battery.

Key Factors for Solar Owners When Choosing a Plan

When evaluating electricity plans, solar owners should look beyond the headline FiT rate. Consider these elements:

  • Feed-in Tariffs (FiTs): While lower than in previous years, a competitive FiT is still important for any excess you export. Many retailers now offer tiered FiTs, where a higher rate applies to the first few kilowatt-hours exported daily, followed by a lower rate. Some innovative retailers offer variable FiTs tied to wholesale prices.
  • Usage Charges: The rate you pay for electricity consumed from the grid. Lower peak and shoulder rates are crucial, especially if you have a battery to discharge during these periods.
  • Daily Supply Charges: A fixed daily fee that applies regardless of your consumption or export. Look for competitive rates.
  • Time-of-Use (TOU) Tariffs: These tariffs charge different rates for electricity at different times of the day (peak, shoulder, off-peak). With solar and/or a battery, you can drastically reduce your reliance on expensive peak power.
  • Virtual Power Plant (VPP) Programs: These programs allow your home battery to be dispatched to support the grid, earning you additional credits or payments.

State-by-State Plan & FiT Comparison 2026

Here’s a snapshot of the current market and top offers for major states in the National Electricity Market (NEM):

| State | FiT Range (c/kWh) | Highest FiT (c/kWh) | Key Retailers & Notes NSW: 0.5c-25.27c/kWh (Amber Electric highest; Origin up to 22c/kWh)

  • Victoria: 0.04c-12c/kWh (Energy Locals up to 12c/kWh, EnergyAustralia up to 8c/kWh)
  • Queensland (SE QLD): 0.44c-22c/kWh (Origin Energy up to 22c/kWh, Amber Electric up to 17c/kWh)
  • South Australia: 0.5c-22c/kWh (Origin Energy up to 22c/kWh, Amber Electric 14c/kWh)

Note: High FiTs are often capped at a certain daily export limit (e.g., first 8-12 kWh/day) or offered by retailers with variable/wholesale pricing models. Always check the full terms and conditions.

New South Wales

NSW has no regulated minimum FiT, allowing retailers to compete. The Independent Pricing and Regulatory Tribunal (IPART) benchmark range for 2026-27 is 3.4 to 6.5 c/kWh. Amber Electric currently offers the highest variable FiT at 25.27c/kWh, reflecting wholesale price exposure. Origin Energy’s Solar Boost or Solar Partner Plus plans can offer up to 22c/kWh for initial exports. AGL’s Solar Savers plan also provides competitive tiered FiTs. For those without a battery, EnergyAustralia’s new Standing Offer Solar Sharer provides 3 hours of free electricity from 11:00 am to 2:00 pm daily.

Victoria

Victoria is unique in having a government-mandated minimum FiT, set by the Essential Services Commission (ESC). For 2026-27, this minimum is 3.1c/kWh. However, many retailers offer rates above this. Energy Locals has been observed offering up to 12c/kWh, and EnergyAustralia up to 8c/kWh. AGL’s solar plans typically offer 1-1.5c/kWh. Given the low minimum, actively seeking plans with higher FiTs or focusing on self-consumption is vital. Consider exploring Best Home Batteries for Australian Homes 2026: Performance, Warranties & Value Compared to maximise your savings.

Queensland

In South East Queensland (Energex network), there is no regulated minimum FiT, leading to competitive offers. Origin Energy leads with up to 22c/kWh, while Amber Electric offers up to 17c/kWh. EnergyAustralia offers up to 8c/kWh. For regional Queensland (Ergon network), the Queensland Competition Authority (QCA) sets a mandatory rate, which dropped to 6.006c/kWh from 1 July 2026. The legacy 44c/kWh Solar Bonus Scheme for early adopters is still active but ends on 1 July 2028. The Solar Sharer Offer in QLD also provides 3 hours of free power between 11:00 am and 2:00 pm.

South Australia

South Australia has no regulated minimum FiT, but high electricity prices make self-consumption particularly valuable. Origin Energy offers the highest FiT at 22c/kWh, with Amber Electric at 14c/kWh and Energy Locals up to 15c/kWh. AGL and EnergyAustralia offer up to 8c/kWh. SA was an early adopter of flexible export limits, allowing compliant systems to export more during uncongested periods. The Solar Sharer Offer in SA offers 3 hours of free power from 12:00 pm to 3:00 pm.

Strategies to Maximise Savings & Self-Consumption

  1. Optimise Appliance Usage: Run high-energy appliances (washing machine, dishwasher, pool pump) during the day when your solar panels are generating. If you have a smart meter, take advantage of the new Solar Sharer Offer free electricity window.
  2. Invest in a Home Battery: A battery allows you to store excess solar generation for use during the evening peak, drastically reducing your reliance on grid power when it’s most expensive. Federal and state rebates can significantly reduce upfront costs. For example, NSW offers a VPP connection incentive (around $40/usable kWh, ~$400-$550 on a 13.5 kWh battery) and interest-free loans up to $15,000. Victoria offers interest-free loans up to $8,800 or rebates up to $2,950. You can find more details in our guide: Best Home Batteries for Australian Homes 2026: Performance, Warranties & Value Compared.
  3. Join a Virtual Power Plant (VPP): VPPs connect your home battery with others to form a collective power resource, which can earn you additional payments or credits for supporting grid stability. NSW and SA have VPP incentives. Learn how to earn over $1,000 annually with our guide: Maximise Your Home Battery Savings: Earn $1,000+ Annually with a VPP in 2026.
  4. Understand Export Limits: Most Australian homes have an export limit, typically 5kW per phase for single-phase connections. If your system produces more than this, the excess is curtailed. Dynamic export limits are becoming more common, allowing greater exports when the grid has capacity. Systems without internet at the inverter in NSW could see exports capped at 1.5kW from late 2026. For more, see: Australia’s New Solar Inverter Rules 2026: Slash Export Limits by Up To 85% Without a Smart Inverter.
  5. Monitor Your Usage: Use smart meter data and retailer apps to understand your consumption patterns and identify opportunities for optimisation.

When comparing plans, always look at the total estimated annual cost based on your specific usage and export patterns, not just the FiT. Many comparison websites, like EnergyMadeEasy.gov.au (for DMO states) or Victorian Energy Compare, can help you assess plans. Be aware of conditional discounts, benefit periods, and any exit fees.

EnergyAustralia, for example, offers existing electricity and gas customers up to $1,000 off solar and battery installations (e.g., $500 off solar and $500 off battery, based on a 6.6 kW Suntech solar system and 9.6kWh GoodWe battery). Such bundled offers can significantly reduce upfront investment.

Remember that while the DMO/VDO provides a safety net, market offers are almost always more competitive. For more information on government support, refer to Australia’s Energy Bill Relief Landscape in 2026: A Comprehensive Guide to State and Federal Support.

Bottom Line

In 2026, the best electricity plan for Australian solar owners is one that minimises reliance on exporting solar for low FiTs and instead maximises self-consumption and, ideally, integrates a home battery with VPP participation. Prioritise plans with competitive usage charges, especially during peak times, and explore the new Solar Sharer Offer if you have a smart meter. Retailers like Origin Energy, Amber Electric, and Energy Locals offer some of the highest FiTs, often with tiered structures or wholesale pricing. However, always calculate the total annual cost for your specific energy profile to ensure true savings. A proactive approach to managing your solar energy will unlock significant annual bill reductions, often exceeding $1,000.