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Expert Energy Tasmania

Is It Worth Getting Solar Panels in Tasmania?

Yes, solar panels can be a worthwhile investment in Tasmania. Despite its cooler climate, the state receives enough sunlight to support effective solar electricity generation.

Solar panels can help households reduce their reliance on grid electricity. They also offer environmental benefits and greater control over energy costs.

However, the financial benefits depend on several factors. These include your electricity use, roof suitability, installation costs and available incentives.

This guide explores the benefits of solar panels in Tasmania. It also explains what to consider before investing.

How Much Solar Energy Does Tasmania Receive?

Tasmania has good potential for solar electricity generation, particularly during the longer summer months.

Although the state experiences cooler temperatures and cloudy weather, solar panels can still generate electricity throughout the year.

Solar potential varies across Tasmania

The report A Solar Atlas for Tasmania, based on data from 2000–2010, highlights differences in solar radiation across the state. For example, the northern Midlands receive approximately 1.5 times more annual solar energy than the southwest highlands.

Therefore, your location can influence how much electricity a solar system produces.

Summer and winter solar generation

Tasmania experiences significant seasonal changes in sunlight. Summer solar exposure can be four to five times higher than winter levels. As a result, solar systems generally produce more electricity during summer.

However, a well-designed installation should also account for lower winter generation.

Does Tasmania’s cooler climate affect solar panels?

Solar panels generate electricity from sunlight rather than heat. Therefore, cooler temperatures do not automatically reduce solar panel efficiency.

However, shorter winter days and increased cloud cover can reduce total electricity generation.

A professional installer can estimate expected performance using your location, roof orientation and shading conditions.

Government Solar Incentives in Tasmania

Government incentives can help reduce the upfront cost of eligible solar installations. However, programs and rebate amounts can change over time.

Therefore, always confirm current eligibility before purchasing a system.

Federal solar panel incentives

The Australian Government supports eligible solar installations through the Small-scale Renewable Energy Scheme (SRES). Under this scheme, eligible solar systems can generate Small-scale Technology Certificates (STCs). Installers commonly apply the certificate value as an upfront discount. As a result, customers may pay less for an eligible solar installation.

However, the discount depends on several factors. These include system size, installation date and certificate market value.

Federal solar battery incentives

The Australian Government also introduced the Cheaper Home Batteries Program on 1 July 2025. The program helps reduce the upfront cost of eligible battery installations. However, eligibility requirements and discount calculations have changed since the program began. Therefore, households should check the latest program rules before making a decision. Battery storage can be particularly useful for households that generate excess solar electricity during the day.

Tasmanian state incentives

Tasmania previously offered the Energy Saver Loan Scheme. This program provided interest-free loans for eligible energy-efficient products, including certain solar and battery installations. However, the scheme reportedly closed to new applications in September 2025. Households should confirm whether any replacement programs or other financial assistance are currently available.

Can Solar Panels Reduce Electricity Bills in Tasmania?

Solar panels can reduce the amount of electricity a household purchases from the grid. This can lower electricity costs over time. However, the amount saved depends on how much solar electricity the household uses directly.

Using solar electricity during the day

Solar panels generally produce the most electricity during daylight hours. Therefore, households that use electricity during the day may benefit from higher solar self-consumption. For example, running appliances during solar generation hours can reduce grid electricity purchases.

However, actual savings depend on household consumption patterns.

Why electricity tariffs matter

Electricity prices influence the financial benefits of solar panels. For example, the original 2025 analysis referenced an average Tasmanian electricity price of approximately 26.18 cents per kWh. However, tariffs vary between retailers, plans and time periods.

Therefore, households should use their current electricity rates when estimating solar savings.

Long-term financial considerations

Solar panels can provide electricity over many years. However, installation costs, maintenance and future electricity tariffs all influence financial outcomes. As a result, a personalised solar assessment is more useful than relying on general savings estimates.

How Do Solar Feed-in Tariffs Work in Tasmania?

Solar panels sometimes generate more electricity than a household needs. When this happens, an eligible grid-connected system may export excess electricity to the network. In return, the electricity retailer may provide a feed-in tariff credit.

Understanding feed-in tariff payments

Feed-in tariffs generally pay less per kilowatt-hour than the price households pay for imported electricity. Therefore, using solar electricity directly can be more valuable than exporting it. However, the financial comparison depends on your electricity plan.

Tasmanian feed-in tariff rates

For the 2025–26 financial year, the Tasmanian Economic Regulator set the minimum feed-in tariff at 8.782 cents per kWh. However, this historical rate should not be used as a current quote assumption. Instead, check the latest regulated rate and your retailer’s available plans.

Maximising solar self-consumption

Households can improve solar self-consumption by shifting suitable electricity use into daylight hours. For example, you might schedule washing machines, dishwashers or electric hot water heating during solar generation periods.

Alternatively, battery storage may help households use excess solar electricity later.

Environmental Benefits of Solar Panels

Solar energy offers environmental benefits alongside potential financial savings. By generating renewable electricity, households can reduce their reliance on electricity purchased from the grid.

Supporting renewable energy

Solar panels convert sunlight into electricity without producing direct emissions during operation. As a result, rooftop solar can support the transition towards renewable energy.

Reducing environmental impact

Solar generation can help reduce emissions associated with electricity production. However, solar panels also have manufacturing and end-of-life environmental impacts.

Therefore, choosing durable equipment and appropriate recycling options remains important.

Supporting Tasmania’s energy future

Tasmania already generates substantial electricity from renewable sources. Nevertheless, rooftop solar can add local generation capacity and support household energy independence.

tasmania solar energy capacity

What Should You Consider Before Installing Solar?

Solar panels are not a one-size-fits-all solution. Before proceeding, consider your property, electricity consumption and financial goals.

1. Roof suitability

First, assess the size, orientation and condition of your roof. North-facing panels often provide strong overall generation in Tasmania. However, east- and west-facing panels may also suit certain electricity usage patterns.

Additionally, shading from trees or nearby buildings can affect performance. A professional installer can assess these factors before recommending a system.

2. Household electricity consumption

Next, review how much electricity your household uses. Importantly, consider when you use that electricity. For example, households with substantial daytime consumption may use more solar electricity directly.

Meanwhile, households with higher evening demand may want to investigate battery storage.

3. Installation costs and financing

Solar installations require an upfront investment. Therefore, compare equipment quality, installation costs and available incentives. You should also consider warranties and long-term performance.

If financing is required, compare loan terms and total repayment costs.

4. Choosing a reputable solar installer

Installation quality plays an important role in system safety and performance. Therefore, choose an appropriately licensed and accredited installer. In Australia, Solar Accreditation Australia (SAA) administers the solar installer accreditation scheme.

Additionally, check that the installer follows relevant Australian Standards and Tasmanian electrical requirements. Customer reviews and previous project examples can also help you compare providers.

5. Considering solar battery storage

Solar batteries store excess electricity for later use. For example, households can use stored solar energy during evening hours. However, battery storage increases the overall system cost. Therefore, compare the potential benefits against your electricity use and available rebates. Battery backup capability also varies between systems.

If outage protection matters, confirm that the proposed installation supports backup operation.

Is Solar Worth It Without a Battery?

Yes, solar panels can still provide benefits without battery storage. A grid-connected solar system allows households to use electricity directly from their panels during daylight hours. As a result, they may reduce the amount of electricity purchased from the grid. However, excess solar generation may be exported at a lower feed-in tariff rate.

Therefore, households should compare their daytime electricity consumption with expected solar production.

Battery storage can be considered separately or as part of a future upgrade.

How Long Does It Take for Solar Panels to Pay for Themselves?

Solar payback periods vary between households.

Several factors influence the result:

  • Total installation cost.

  • Solar system capacity.

  • Household electricity consumption.

  • Electricity import tariffs.

  • Feed-in tariff rates.

  • Available government incentives.

  • System performance and maintenance.

For example, a household that uses substantial electricity during daylight hours may achieve different savings from one with mostly evening consumption. Therefore, avoid relying on generic payback claims. Instead, request a site-specific estimate using realistic electricity tariffs and consumption patterns.

Is Getting Solar Panels in Tasmania the Right Choice?

For many Tasmanian households, solar panels can be a practical long-term investment. The state receives enough sunlight for effective solar generation. Additionally, eligible installations may benefit from government incentives.

However, every property has different electricity needs.

Roof orientation, shading, electricity consumption and system costs all influence the outcome. Therefore, the best approach is to assess your property before choosing a system.

Get Expert Solar Advice in Tasmania

At Expert Energy Tasmania, we help households explore suitable solar energy solutions. Our team can assess your roof, electricity usage and future energy requirements.

We can also explain available solar panel and battery storage options.

Contact Expert Energy Tasmania today to discuss solar installation and request a free quote.


Information note: Some historical incentive and tariff figures in this article relate to 2025 and the 2025–26 financial year. Check current government programs and electricity rates before making an investment decision.