Enjoyed our article?

Share it with others.

Why feed-in tariffs have dropped and how you can increase yours

Discover why feed-in tariffs have gone down and how to make the most of your solar energy

25 November 2025, 4 mins

Why feed-in tariffs have dropped (and how you can increase yours)

Put simply, feed-in tariffs have decreased because there is now so much solar energy generation feeding the grid at times when demand for electricity is low. Therefore, setting higher feed-in tariffs to encourage more solar installations is no longer necessary.

This abundance of solar energy has caused daytime electricity prices to drop by around 40% and often to negative prices – meaning it can cost money to export to the wholesale electricity market.

This price drop means it’s no longer financially viable for energy retailers to pay customers a premium feed-in tariff when electricity is not valued on the wholesale market. In fact, they’ll often be penalised.

For example, paying a customer even 3c/kWh and selling the kilowatt-hours to the grid when wholesale prices are -10c/kWh means the retailer will be at a loss.

So, how can you increase your feed-in tariff?

If you’re a solar owner, you may be feeling discouraged by the recent feed-in tariff drops. While premium feed-in tariffs have become a thing of the past, there are still ways you can improve your feed-in tariff:

Can you switch to a different electricity plan?

Finding the right electricity plan is key to making the most of your solar. High, flat-rate feed-in tariffs are a thing of the past. Today, the most rewarding feed-in tariffs are usually variable or time-of-use, reflecting when the wholesale market pays more for electricity. Don’t just take things at face value: if you’re unsure, read more about what the retailer has to offer and what might be the best option for you.

Can you change your energy strategy?

With the recent changes to feed-in tariffs, it’s time for solar owners to rethink their approach to energy. For the best financial outcome, focus on using as much of your own solar energy as possible – so you can avoid drawing from the grid. Think: running the laundry at lunchtime, not after dark. By prioritising self-consumption over exports, you’ll make the most of your solar investment in today’s energy landscape.

Are you able to install a battery?

Adding a battery is the smartest way to maximise your solar returns. With storage, you can export energy when rates are highest – typically during the evening peak – and boost your energy independence. Keep your home powered during blackouts, reduce your bills, and increase your feed-in tariff.

 

Curious about the benefits? Browse batteries and learn more here 

If you’ve considered installing a battery, there’s never been a better time. Australia’s biggest battery rebate scheme launched in July 2025, making home batteries up to 30% more affordable.   

 

Already own a battery? See how switching to Flow Power could benefit you

Flow Power for battery owners

 

Join the evening export club 

Export between 5.30-7.30pm everyday and get an extra 35c/kWh for VIC customers and 45c/kwh for NSW, QLD and SA customers on your feed-in tariff. Charge by day, cash by night! Your feed-in tariff just got a happy hour.

 

Make the switch

Don’t be discouraged 

 

Solar feed-in tariffs have changed, but that doesn’t mean your solar investment has to lose its shine. By staying informed, exploring new tariff options, and making the most of your solar through smarter self-consumption or adding a battery, you can still unlock real value from your system. With new rebates and smarter tech, there’s never been a better time to rethink your energy strategy and take control of your power. 

More from Flow Power

Smart meters explained

Smart meters are helping households take control of their energy use and connect to cheaper, cleaner power. Learn how to tell if you already have one and why upgrading can unlock more value with Flow Home.

Read more

Flow Power launches into Queensland

Flow Power is lighting up the Sunshine State, now available to households across Queensland’s Energex network.

Read more

EVs + Batteries

Combine your EV, home battery, and solar with Flow Power’s smart energy system to build a cleaner, more efficient home energy ecosystem.

Read more