Solar feed-in tariff for regional Queensland in 2022–23

The Queensland Competition Authority (QCA) has determined a mandatory solar feed-in tariff for customers in regional Queensland.

The feed-in tariff for 2022–23 will be 9.300 cents per kilowatt hour (c/kWh).

QCA Chair Professor Flavio Menezes said this value will give customers with solar panels a fair and reasonable return for the electricity they export to the grid.

“This rate is 41% higher than last year’s feed-in tariff of 6.583 c/kWh, which largely reflects a projected increase in wholesale energy costs,” Professor Menezes said.

“Higher wholesale energy costs are primarily due to a slowdown in the amount of renewable generation coming online and reduced availability of thermal generators, which have both contributed to a tighter supply–demand balance in Queensland. Other contributing factors are higher gas and oil prices, and market uncertainty associated with the ability to cover price spikes in the NEM under a 5-minute settlement framework.”

Professor Menezes said when retailers source energy from customers with solar panels, they avoid having to pay some of their normal business costs.

“Costs that the retailers avoid are wholesale energy costs, certain fees levied by AEMO and the cost of energy losses associated with transporting electricity over long distances. The QCA estimates these avoided costs and uses the estimates to calculate the solar feed-in tariff.”

“However, retailers still incur most of their normal business costs, including retail operating costs and network charges. That is why the solar feed-in tariff rate is less than the electricity prices you pay.”

Customers who receive the 44 c/kWh feed-in tariff under the Solar Bonus Scheme will not be affected by the new tariff. They will stay on the same feed-in tariff until 2028 as long as they maintain their eligibility.

Customers in south east Queensland (who are on the Energex distribution network) can choose from the feed-in tariffs offered by retailers. These tariff rates are published on the Australian Energy Regulator’s price comparator website

The solar feed-in tariff report is available on the QCA website.
Media inquiries: Cole Lawson Communications, 07 3221 2220

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