The federal government has announced a 'solar sharer' program that will provide households in New South Wales, south-east Queensland, and South Australia with at least three hours of free solar power daily from July next year. The Australian Capital Territory (ACT) is not included in the initial rollout, with other areas potentially joining in 2027.
The program is available to homes with smart meters and allows residents to schedule appliances like washing machines and dishwashers, charge electric vehicles, and use household batteries during the free period. The scheme will be implemented through a change to the default market offer, which sets the maximum price retailers can charge for electricity in those regions.
Climate Change and Energy Minister Chris Bowen stated that the program aims to utilize excess solar generation during the middle of the day, reducing waste and shifting demand away from peak evening times. This could help lower peak electricity prices and reduce the need for grid upgrades.
The announcement comes amid criticism of the Albanese government over rising electricity prices, though Bowen emphasized that free solar energy demonstrates that climate action can also benefit household budgets. The Australian Energy Regulator will oversee the change to ensure fair pricing outside the free period.
Industry groups have expressed mixed reactions. The Australian Energy Council, representing generators and retailers, criticized the lack of consultation before the announcement, warning of potential unintended consequences such as businesses exiting the market. In contrast, the Smart Energy Council welcomed the program as good news for households struggling with cost of living pressures.
