Queensland has an abundance of sunny days and a climate that’s favorable to solar panels. It also has one of the highest energy usage rates in all of Australia. So, to get straight to the point, solar panels are 100% a good idea in the sunshine state.
However, there’s also a lot to learn about solar systems. How much can you save? How much power do they generate? How much do they cost? Are they truly worth it in QLD? Where does one find solar installers?
I’m answering all of those and more today. You can see all the topics I’m covering listed below. I recommend you start from the top, but feel free to tap on the bullets to skip sections.
- How much solar electricity can solar panels generate?
- How much money can solar systems save you on your electricity bill?
- Does the government have incentives for solar? (Solar feed-in Tariff and STC rebate)
- How much does solar cost?
- Are new solar panels worth it?
- What about batteries? Should you get them?
How much energy can solar panels in QLD generate?
Queensland enjoys more sunny days per year than most of Australia. It’s why we call it the “Sunshine State,” after all. Besides the tropical weather and the great barrier reef, of course.
The Brisbane area alone averages 283 sunny days per year! That makes it, and all of Queensland, a great place to invest in solar panels.
To prove I’m not lying, the table below shows how much solar power you can expect solar systems to generate in QLD:
| System Size (kW) | Annual Power Output (kWh) | Monthly Power Output (kWh) | Daily Power Output (kWh) |
|---|---|---|---|
| 1.0 | 1592.0 | 132.67 | 4.36 |
| 2.0 | 3184.0 | 265.33 | 8.72 |
| 3.0 | 4775.0 | 397.92 | 13.08 |
| 4.0 | 6367.0 | 530.58 | 17.44 |
| 5.0 | 7959.0 | 663.25 | 21.81 |
| 6.0 | 9551.0 | 795.92 | 26.17 |
| 7.0 | 11142.0 | 928.5 | 30.53 |
| 8.0 | 12734.0 | 1061.17 | 34.89 |
| 9.0 | 14326.0 | 1193.83 | 39.25 |
| 10.0 | 15918.0 | 1326.5 | 43.61 |
There are a couple of things I need to point out before we move on. The numbers above are calculated from PVWatts‘ calculator with a 22.5% roof pitch, 96% inverter efficiency, and standard-quality solar panels. You could get more or less solar power, depending on how your solar system is set up.
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How much money can you save with solar panels in QLD?
Now that we know how much power a solar PV system in QLD can potentially generate, let’s talk about savings.
How much money you save depends on the size of your solar system, your energy usage, your solar system’s orientation, your solar energy production, and other things.
We have a full discussion about that in another article, but, just to give you some context, the below table shows you sample savings profiles that we calculated based on the following assumptions:
- The cost of electricity is 27 c/kWh. As of writing, the average is 25–30 c/kWh.
- Our data suggests that the average electricity bill in Queensland is $315 per quarter. That makes the annual electricity usage rate 4666.7 kWh and the average monthly usage rate 388.9 kWh.
- A 1 kW system size puts out 1592 kWh of solar power per year, or 132.67 kWh per month.
- A solar battery is used to store all energy. All-generated solar power is also used.
- Feed-in tariffs and changing weather are disregarded.
| System Size (kW) | Monthly Savings (AUD) | Annual Savings (AUD) |
|---|---|---|
| 1.0 | 35.82 | 429.84 |
| 2.0 | 71.64 | 859.68 |
| 3.0 | 107.46 | 1289.52 |
| 4.0 | 143.28 | 1719.36 |
| 5.0 | 179.1 | 2149.2 |
| 6.0 | 214.93 | 2579.04 |
| 7.0 | 250.75 | 3008.88 |
| 8.0 | 286.57 | 3438.72 |
| 9.0 | 322.39 | 3868.56 |
| 10.0 | 358.21 | 4298.4 |
I probably don’t have to tell you this, but these savings profiles are just that. Profiles. So take them with a grain of salt, especially since there are so many things that could factor into this, including the use of a solar battery and solar feed-in tariffs. This brings us to our next topic.
Does the Queensland government have any solar incentives?
It sure does! The Queensland government offers several incentives for solar energy, including rebates, tariffs, and their most recent battery booster program.
These incentives aim to make solar power more accessible and affordable for Queensland residents, so let’s talk about them.
Solar rebates in QLD
Just as it is in most other Australian states, solar rebates in QLD come in the form of small-scale technology certificates (STCs). The more STCs a solar system is eligible for, the more rebates it can get.
Now, there are a few things that influence how many STCs you’re eligible for. This includes your solar system size, STC zones (where you live), and how soon you install your new solar PV system.
If you want to quickly determine how many STCs your solar system is eligible for, the government has a free STC calculator that you can use.
Solar feed-in tariffs (FiTs)
If the STC rebate lowers the cost of installing solar, solar feed-in tariffs (FiTs) will further reduce your electricity bills.
“How?” you ask.
A solar feed-in tariff is a credit given to you by your electricity retailer in exchange for importing your excess solar power into the electricity grid. So, if you’re generating 20 kW of solar power but you only use 17 kW, the grid is going to pay you for the 3 kW excess.
The unfortunate catch, however, is that the value of feed-in tariffs is far lower than the cost of buying electricity. For context, the highest feed-in tariff in QLD right now is 20 c/kWh, but the cost of buying electricity can go as high as 40 c/kWh.
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How much do solar panels cost in Queensland?
Our data suggests that solar panels in Queensland cost roughly $1130 per kW. However, our data also suggests that the cost per kW gets smaller with a larger system size.
For example, let’s say you asked a solar installer for two quotes. One for a 5 kW system, the other for a 10 kW system.
- Your installer quotes you $5500 for the 5 kW solar system. That’s a cost per kW of $1100.
- The installer quotes you $9500 for the 10 kW system, bringing the cost per kW down to $950.
It’s a bit confusing to some of us (myself included) who aren’t very well-versed in math, but I’ll tell you this:
We have a network of pre-vetted solar installers who will give you nothing but fair prices. When you’re ready, just let us know, and we’ll get you 3 FREE quotes from them.
Are solar panels worth it in Queensland?
I know, I know. Now you’re thinking about how expensive these solar systems can be, and you’re absolutely right! But, also, the price of installing solar panels has never been this low, and it likely won’t be this low by this time next year because of how the rebates are structured.
Realistically speaking, buying now is the most practical way to go. Plus, to answer the main question, solar panels are well worth it in Queensland. The ROI and payback period say so.
Return on investment (ROI) of solar panels in QLD
First of all, many entrepreneurs consider a 10% ROI to be a strong ROI. You know what the estimated ROI for a 6 kW solar system in Queensland is? A whopping 950.66%!
Sorry, but there’s a little bit more math coming your way. I got to that number using the following equation:
- ROI = (net savings ÷ total cost) x 100.
- Net savings = annual savings x life span of the solar panels
- Total cost = Cost per kW x system size
Here are those equations in action:
- Total cost = $1130 x 6 kW
- Total cost: $6,780
- Net savings = $2579 x 25 years
- Net savings = $64,475
- ROI = ($64,475 ÷ $6,780) x 100
- ROI = 950.66%
Full disclosure, though. The ROI here is a very rough estimate. It doesn’t account for many factors, including the degradation rate of solar panels, potential maintenance fees, and other things that might affect your total cost and savings.
How long does it take to pay off solar panels?
This is otherwise known as the payback period. The shorter your payback period is, the more time you get with free solar energy.
Again, the duration of your payback period is going to depend on a lot of things. But to keep things simple, here’s an equation to give you an estimate:
- Payback period = total system cost ÷ annual savings
Let’s use a 6 kW system as our example again, since it’s the most commonly installed system in all of Australia.
- Payback period = $6,780 ÷ $2579.04
- Payback period = ~2.5 years
In the most optimal conditions, 2.5 years to pay off your whole solar system with solar panels that last 25 years means you get 22.5 years of free energy.
However, again, there are many factors that can affect this, so take it with a grain of salt. In general, though, a payback period of 6–10 years is still considered normal and good.
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Is it a good idea to buy solar batteries in Queensland?
As of writing, the cost of solar batteries in Queensland is around $1000 to $1500 per kWh, depending on the brand and capacity. As it is with solar panels, larger-capacity batteries tend to have a lower cost per kWh.
These numbers, of course, include the cost of installation. So your installer’s quote plays a role in how much you pay, too.
A solar battery will only be worth it if…
You have a lot of excess solar power, and if it fits your financial situation,. Let’s use the 6 kW system size as another example.
Say you’re putting out 800 kW of solar power per month and you’re only using 795 kW. That gives you an excess of 5 kW. Spending thousands more to store that little amount of energy is just not practical.
No, let’s say your 6 kW solar system is putting out 800 kW per month. But there’s only 3 of you in your home, so you’re only using about 500 kW. That leaves you with 300 kW more power than you’re using.
In that case, yes, investing in a solar battery could be worth it. Highlight the word “could” because you’d also have to be able to afford it first. Batteries aren’t worth it if you risk losing your home to have them.
Conclusion
In a nutshell, Queensland is the perfect place to invest in solar. First of all, QLD gets a lot of sun, so you’re going to be generating more power than most others.
Also, you save a lot of money in general. The government has incentives such as the feed-in tariff and small-scale technology certificates that, respectively, further reduce your energy bill and make installation prices so much cheaper.
So, if you’re ready to invest in green energy, let me just remind you that we have an army of pre-vetted solar installers ready to give you 3 FREE quotes at a moment’s notice. Just let us know, and we’ll get them to you so you can get started.
