Aussie households with solar power systems have drastically increased from 0.2% in 2007 to 20% in 2021. That’s over 2.5 million households, and the number is only increasing. The environmental benefits along with the declining cost of solar power systems have significantly contributed to its surging global popularity.
If you’ve ever thought of installing a solar power system at your home or office, there’s never been a better time to do it than now as you’re not only saving on electricity bills from the day of installation, but you’re also helping the movement towards a cleaner and greener environment. However, it’s often considered a big decision of commitment to make, and to be fair, just like a house, you don’t often buy solar systems every day, do you?
This blog post entails everything you need to know before installing solar power systems.
On-grid & Off-grid Solar Power Systems
First things first, educate yourself as much as possible so you know and understand what you’re investing in. You don’t need to learn every detail, but it’s always beneficial to have a solid basic understanding of energy sources and how the various options work.
On-Grid or Grid-Tied Solar Power System
An on-grid solar power system is linked to the local power utility grid such as Synergy. The utility company credits you for the excess power your system produces and lets you draw from the grid as needed. Overall government rebates have been significantly reduced over the last decade and energy suppliers pay you alot less for your excess power provided back to them than they charge you for the energy they supply you from the grid.
Off-Grid Solar Power System
As the name suggests, an off-grid solar power system isn’t connected to any energy grid, and you are therefore energy self-sufficient. However, you need batteries to store the energy produced and obviously depending on your own particular requirements, you will need a lot of battery storage to be able to run even a modest domestic dwelling.
Although batteries are coming down in price, they are generally still expensive and not as great a return on investment as the actual solar system. With that said, batteries are mandatory for off-grid systems because as soon as the sun goes down, your system isn’t producing power so you need to draw from excess energy that the system has produced and stored throughout the day.
If your property has access to an energy provider’s power grid, the grid-tie option is likely the most cost-effective solution for you. There are less than 5% of solar-powered households with batteries in Australia. However, that number is increasing due to feed-in tariff cuts and batteries getting less expensive as technology evolves.
Get to Know Your Solar Panels
A solar panel is an assembly of 60 or more solar cells that receives energy from the sun. These panels are typically installed on roofs, but you can place them anywhere there’s room. Solar panels come in different cell variants, such as monocrystalline or polycrystalline. Cell arrangements will also differ, i.e. standard, half-cut or shingles.
If you have smaller roof space, monocrystalline solar panels offer high efficiency with the same amount of panels. If space isn’t a problem, you can go with the lesser efficient polycrystalline panels. Likewise, you benefit from using half-cut or shingles over the standard ones if shadows are an issue for your panels during the day.
Solar panels mainly come in two sizes:
- Residential: 60 cells and about 1m/1.65m
- Commercial: 72 cells and about 1m/2m
In terms of output, panel size doesn’t matter as much as ensuring they are of a good and reputable brand that is well-supported in Australia.
Solar panels come in various price ranges and specifications depending on the wattage, rated output, and product warranty period. Although better ones typically offer slower performance degradation, higher efficiency, and an extended warranty, there is the option to go with a cheaper, less performing panel if you are dealing with budget constraints although it isn’t recommended.
For more information about solar panels, check out our previous blog post in this series – 5 Things To Consider When Choosing The Right Solar Panels.
Do You Need Inverters?
Inverters are connected to solar panels and convert DC electricity generated by panels to AC electricity, which your home uses.
A string inverter is around the size of a suitcase. You install it on the wall of the building where all your panels are installed. It is best to install the inverter unit somewhere out of direct sunlight to keep it protected, often this is inside a garage or on the most shaded side of the house. It’s the most common and affordable solar inverter although you need to be aware that the energy output can drop significantly if your panels are situated where there are shading issues, such as nearby large trees or beside taller buildings that may block sunlight at times during the day.
Microinverters are the size of a hardcover book and are installed on the back of each panel. These are expensive compared to string inverters, but they also come with benefits. Each inverter carries less load and doesn’t get as hot due to the operating capacity requirements being lower. Also, if you do have shading on a section of panels, it doesn’t affect the others from performing at their best output.
Power optimisers are a hybrid of string inverters and microinverters. Small units are connected to each panel, which optimise the output before going to the string inverter. Power optimisers are better than string inverters for shaded roofs but not as good as microinverters, with the price coming in between the two.
Most inverters are generally designed to last around 10-15 years. Unless you’re using microinverters, you have to bring down the whole system. So, we recommend you get good quality inverters even if you’re on a limited budget.
Solar Rebates
Solar rebate is the point-of-sale discount off the final cost of a solar installation initiated by the Australian government to encourage homeowners to generate their own electricity. Australian Federal Government provides this financial initiative in the form of Small Scale Technology Certificates (STCs) which is usually included in the offered quote by retailers to make the price more attractive.
STCs are calculated on the basis of the following factors.
- type of renewable energy installed (solar, wind or hydro)
- date of installation
- rated power output (in kW) of your system
- postcode (location)
You can calculate the number of STCs you qualify for by using an STC calculator.
The solar rebate was initiated in 2017 and its value reduces each year by 1/15 until the scheme ends in 2030.
To apply for STCs, your system should be less than 100kW in size and must be installed by a CEC (Clean Energy Council) accredited installer with panels and inverters approved by the CEC for use in Australia. You need not worry about the application process because it is taken care of by the solar installer.
Let’s have a look at the following table to get an idea of how much government rebate you can avail of while installing a 6kW system based on the state you reside in.
| System Size | State | Zone | Zone Rating | Rebate |
| 6kW | New South Wales | 3 | 1.382 | $2,849 |
| 6kW | Queensland | 1 | 1.622 | $2,849 |
| 6kW | Victoria | 4 | 1.185 | $2,387 |
| 6kW | South Australia | 3 | 1.382 | $2,849 |
| 6kW | Western Australia | 3 | 1.382 | $2,849 |
| 6kW | ACT | 3 | 1.382 | $2,849 |
| 6kW | Northern Territory | 1-2 | 1.536 | $2,849 |
| 6kW | Tasmania | 4 | 1.185 | $2,387 |
*According to GoSolarQuotes as of January 20, 2022.
Certain Australian states offer additional state rebates to make solar power even more affordable, however, they have their own eligibility criteria. Pensioners in the ACT are eligible for up to 50% off the system. Victorian State Government provides up to $1400 rebate for a solar PV system to both homeowners and rental properties along with interest-free loans. For a solar power system installed in New South Wales, eligible residents can apply for an interest-free loan of up to:
- $9000 for battery storage (repayable in 10 years)
- $14000 for a solar PV and battery storage (repayable in 8 years)
Solar Feed-In Tariff
The solar feed-in tariff is the credit you receive for the solar electricity you export into the grid. The feed-in tariff is continuously decreasing due to the abundance of renewable energy production throughout the country and the reduced cost of solar panel installation.
The feed-in tariff credit you receive depends on the electricity retailer, peak hours and the state you live in. For example, in Western Australia that follows the Distributed Energy Buyback Scheme(DEBS), Perth and the southwest region is covered by Synergy electricity provider whole rates are different from the regional areas of WA which comes under Horizon Power.
| Area | Electricity provider | Time of export | Feed-in tariff credit |
| Perth and the south-west region | Synergy | 3 pm – 9 pm | 10 cents per kWh |
| 9 pm – 3 am | 2.7 cents per kWh | ||
| Regional areas | Horizon Power | 3 pm – 9 pm | 10 cents per kWh |
| 9 pm – 3 pm | 3 cents per kWh |
For detailed information about the feed-in tariff in all Australian states, please visit the official government website of each state.
Even with the reduced rebate and feed-in tariff, it’s still profitable to generate your own solar power instead of paying for increasing electricity bills.
Choosing the Company
When choosing a provider and installer, it’s best to do thorough research. Get quotes from multiple companies, consult with friends and family who have installed solar panels and check out online reviews.
The cheapest is mostly not going to be the best. Going for big well-marketed brand name products might not be the best value either as you can get equivalent products in lesser-known brands which are just as good as quality. So, look out for local installers who have been in the business for a long time, providing a good product warranty (20-25 years) and performance warranty (around 10 years) along with great service.
Make sure your solar retailer is approved by the Clean Energy Council and uses CEC accredited installers. You can find CEC approved retailers and accredited installers by your location.
Panel Direction and Angle
Panel Direction
Located in the southern hemisphere, Australia receives sunlight mostly from the north. North-facing solar panels produce maximum power around mid-day resulting in higher overall energy production, whereas east-facing panels boost morning production but give less in the afternoon. Similarly, west-facing panels increase production in the late afternoon but give less morning production. East and west-facing panels produce about 15% less overall energy throughout the year than north-facing panels.
Despite less overall energy production, west-facing panels are beneficial as they favour late afternoon energy production and the feed-in tariff for power exported in peak hours (3 pm-9 pm) is considerably higher than the other times in most states.
Panel Angle
The ideal panel angle to maximise the energy produced over a whole year is simply within a few degrees of the latitude of your location.
Here’s the ideal panel angle in the state capitals of Australia.
| Canberra | Sydney | Darwin | Brisbane | Adelaide | Hobart | Melbourne | Perth |
| 35° | 34° | 12° | 27° | 35° | 42° | 37° | 31° |
Note that you need not follow the perfect angle. Unless you have a flat roof, you can mount the panels at the angle of your roof. In the case of a flat roof, which happens to reduce overall energy production by 10% annually, make sure to incline the panels at an angle of 10°-15°. This slight tilt also lets the rain clean off your panels.
Installing Solar Panels
Now that you have basic knowledge about solar power systems, let’s look at the installation process. Solar panel installation takes about a day or two, depending on the size of the system. However, the process takes about two to three months to decide the installation company, site evaluation, obtaining permits and the actual installation.
You can hire a licensed installer to do the job for you. Everything from getting approvals to fitting the system on your roof is done by them. All you need to do is decide the retailer and installer, get quotes, sign contracts, and the installer will install and get the solar power system ready to generate electricity for your house.
Though you’re not installing the system yourself, its good to understand what goes into the process. Below is a brief step-by-step procedure that a standard solar installer follows:
- Evaluation
Based on your energy consumption, electricity bills, budget and roof space, the installer would evaluate the energy need for your house and come up with a system suitable for you. The evaluation can be done on phone or you can expect their team to visit the site. You can get a quote and discuss it during the evaluation.
- Design
Considering the roof space, direction and the types of solar panels and inverters you’ve decided to put during the evaluation, the designers in the installation company design a system that ensures maximum solar power generation.
- Final Decision
Once you’ve reviewed the multiple design solutions prepared by them, you can choose one or ask for amendments if required. After the design and cost are finalised, you sign a contract with them.
- Permits
The installer will then get the permits from the electricity distributor to install a solar system in your house and to connect the system to the grid. It might take up to 30 business days to receive the approval. In rare cases, if the proposal doesn’t get approved, you will get advised to bring some changes to the plan.
- Installation
After everything is settled, skilled installers from the installation company visit your house with all the equipment and install the solar panels, inverters, fix the wiring, connect the system to the grid and get your solar power ready to use. They also brief you about the functionality of the system.
Can You Install the Solar Power System by Yourself?
Installing solar panels is not a highly complex process, especially if you have the knowledge and skills required. However, we don’t recommend installing the system by yourself. Why? Here are the reasons.
Safety Concerns
No matter how thoroughly you follow the installation manual, there are always chances of potential hazards. When electricity is involved, even minor mistakes can lead to life-threatening accidents and property destruction. Furthermore, solar panels are usually installed on heights which is not safe for someone inexperienced.
Legislative Requirements
In order to connect your system to the power grid and receive a feed-in tariff your system needs to be installed by a CEC accredited installer or electrician. Failing to do so makes it impossible to claim solar rebates and even warranties in some cases.
The CEC accredited installers are trained to keep you and your system safe. So, when it comes to installing solar panels, drop the idea of DIY and trust the professionals.
Maintenance
Your solar power system doesn’t need a lot of maintenance once installed, but a little effort maintaining the system goes a long way. Usually, your installer takes care of the maintenance and servicing of the system. The service includes panel cleaning, system inspection, electrical checks, inverter display panel review, and so on.
If your installer doesn’t cover the above services, it’s encouraged to clean the panels and get an electrician to check the system periodically. In places receiving enough rain, the panels clean by themselves. If you live in a dusty area, you can use a garden hose to clean them down once a year or more depending on the debris deposition.
Mistakes to Avoid in Solar Panel Installation
- Not Doing Enough Research
Go all the way on your research and try to learn everything you can before going solar. Consult multiple installers, ask the right questions, know their licence information, talk to friends who have installed solar power systems, know the accidental coverage of the warranty, go to the internet and read articles and blogs about installing solar power. It may seem overwhelming, but it’s for the best. This way, you avoid making hasty decisions you may come to regret.
- Not Getting Multiple Quotes
Solar power installation is a lifelong investment. Don’t rush in and sign a contract with the first company you talk to. Explore multiple options, compare prices, then choose what’s best for your situation.
- Not Understanding Solar Warranties
You get four types of warranties with a solar power system:
- Solar panel performance warranty, which is hard to claim
- Panel product (manufacturer) warranty, which is usually 4-10 years although it may extend even up to 25 years
- Inverter manufacturer warranty
- Installation warranty
- Not Planning for The Future
Think of the energy consumption of your house 25 years from now. You might get an electric car, have children or add new appliances. So, invest in a system that will sustain your energy requirements in the future because expanding it once installed can be expensive and tedious.
Also, consider the possible drop in panel efficiency as they get older.
- Leasing Your System
Solar power systems aren’t cheap but neither are your electricity bills. However, you can get the return on investment in as little as five years with wise planning. On the other hand, leasing your system will cut you off from solar rebates and cost you more in the long run. It will also be a problem if you have to sell the house in the future.
- Overpaying for Installation
National level contractors may charge you 100-200% of the equipment cost. You can contact local contractors, roofers, electricians or even install the system yourself.
- Thinking Your Roof Is Not Suited for Solar
Solar panels were quite expensive years ago. Now, you no longer need the perfect roof and angles to go solar efficiently. Due to advancements in technology, positioning doesn’t make too much difference in overall energy production.
Conclusion
You now have the knowledge you need to invest in a good quality solar power system and install them with confidence. We hope to have helped you better understand photovoltaic solar power systems, the installation process and the mistakes to avoid. However, if you require further information or have any specific queries regarding solar power systems, feel free to contact us here at Gravity Solar where our expert team would be happy to help.
We wish you a smooth and rewarding solar power system installation.
