Solar Rebates in Victoria

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Last Updated 26/08/2025
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Updated rebate information and incentives, added inforgram, long story short and updated data and layout across page. 
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Written by

Rachel Gregg

Last Updated 26/08/2025

What changed?

Updated rebate information and incentives, added inforgram, long story short and updated data and layout across page. 
Our aim is to help you make better informed decisions. That’s why iSelect’s content is produced in accordance with our fact-checking and editorial guidelines.

Edited by

Ellie Garran

Reviewed by

Julia Paszka

Find out more about how we make money.

View our Privacy Policy.

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Long story short

1
In Victoria, solar rebates aren’t just for homeowners

Some rebates are specific to renters or community housing.

2
No waiting around for your discount to arrive

Most rebates can be applied to your up-front installation bill, so you can see the savings nearly instantly.

3
Simple application process for Victoria’s solar rebates

Most solar rebates and incentives in Victoria can be handled by accredited installers, so there’s no extra admin on your side.

What solar rebates are available in Victoria?

Solar panel (PV) rebate 

As part of the Solar Homes Program, you could receive a rebate of up to $1,400 for installing eligible solar panels at your place. You can apply for a rebate for your existing home or one you’re building to help pay off your solar system sooner.  

If you’re all about speed like Lightning McQueen, you could pay off your system even faster with an interest-free loan of the same amount as your rebate. Repayments are paid off in monthly instalments across four years. 

Just remember, this rebate and loan amount will go directly into your solar system retailer’s pocket rather than your bank account. Then, on installation day, you’ll only need to pay the outstanding balance (if there is one).  

These rebates are capped, so you might want to apply for this rebate sooner rather than later.

Eligibility

How to apply

Solar rebates for rental properties 

These rebates are a version of the solar panel (PV) rebate, which offers up to $1,400 plus an interest-free loan of the same amount. The biggest difference: these ones are for rental properties.  

If you’re a renter, you can suggest this rebate to their landlords but can’t apply yourself. To help sweeten the deal, you could offer to contribute to loan repayments, since you’ll be the one benefiting from the solar-generated electricity. But you won’t be able to legally contribute more than $14.58 a month, and you can’t be asked to cover any other costs either.  

If you’re a rental property owner, you just need to get an agreement from your renters, then notify them when the loan repayments start up (if applicable).  

Eligibility

How to apply

Solar rebates for community housing 

The solar panel (PV) rebate isn’t just for homes, but also for not-for-profit community housing organisations. For this rebate, you’ll be funded up to $1,400 or a maximum of 50% of the costs of your solar panel installation per individual residential agreement (whichever is lower). So if it costs $2,000 to install your solar panels, you should receive a of $1,000.

Eligibility

How to apply

Hot Water Rebate 

The hot water rebate gives you up to $1,000 to help cover replacing your old water heater with a solar-powered model. On top of the rebate, this switch could help you slash your annual electricity bills by $330. 

Eligibility

How to apply

    Small-Scale Renewable Energy Scheme 

    You may also be able to pay off your solar system sooner by getting involved in the Small-Scale Renewable Energy Scheme (SRES). With this federal rebate, you can earn small-scale technology certificates (STCs) when installing an eligible system. These can then be traded for cash back on your installation bill. The number of STCs you get and how much you can sell them for depends on your setup, but it could help lower your out-of-pocket costs. The catch is that this scheme is coming to a close in 2030, so the sooner you apply, the better. 

    Eligibility

    How to apply

    Cheaper Home Batteries Program

    The federal Cheaper Home Batteries Program helps homeowners extend their solar power system with 30% of the up-front cost of installing solar batteries. The goal is to make it easier for Victorians to store up their solar energy and take another step towards a reduced energy bill and a cleaner-powered home.

    Eligibility

    How to apply

    ‘We wanted to cut down our electricity bills, but a solar system would have been hard for us to get value out of since my housemate and I aren’t home for the majority of daylight hours. So, we opted for a solar hot water heater using the rebate, and we saw a difference in our first bill – and it wasn’t because we both stopped showering.’

    Madeline Pettet
    Digital Writer, iSelect

    Is it worth getting solar installed?

    What matters to you may be at the bottom of someone else’s priority list, so it can be hard to say if solar is worth it for you. However, looking at the cold, hard facts of money in and out, solar definitely could be a wise investment. 

    Houses making the most of their solar panels could be saving $1,000 or more a year. Spread that out over 10 years (this is about when the first parts of your solar system need replacing) and you’ve potentially saved yourself $10,000. That could be enough to buy a whole new system, let alone replace your system’s inverter. 

    And what happens when you throw rebates and no-interest loans into the mix? Well, let’s say you install a 3–5 kW solar system. With it, you get a feed-in tariff of 10 cents per kWh and have no export limits. Assuming you successfully get the rebate, your system could pay itself off in three to five years. Without the rebate, it might take as long as nine years. However, the size of your solar panels will obviously play a big role in just how long this payoff period takes.  

    And this isn’t taking into account the bonus you could get selling STCs through the Small-Scale Renewable Energy Scheme. As a general rule of thumb, you could be earning $33–38 for every STC. Assuming you can sell at least 35 STCs, that could mean getting a further $1,155 to $1,330 back on your system. 

    If the numbers aren’t quite adding up for you yet, it’s important to remember that solar is an investment that might need a little effort on your end. It’s not a ‘set-and-forget’ option but one that works best when you tweak your routine to make the most of daylight hours. So if you’re ready to do the washing at lunchtime and get most usage out of your slow cooker while you’re at work, you might just be ready for solar.  

    How much could I be paying for a solar system in Victoria?

    Our fictional friend Robin is going through a solar overhaul at his house. He wants to install solar panels and a solar water heater at his home for more energy efficiency (and hopefully some reduced bills too).  

    Robin is paying $6,538 for a 6.6 kW system and around $4,000 for a solar hot water system. With the $1,400 solar rebate and the discount for the hot water system (which should come in at around $910), Robins saves about 22% from his original bill of $10,538.  

    What are some other ways solar can help save me money?

    Solar panels aren’t the only thing Victoria is dangling rebates and other tasty financial carrots on. 

    Feed-in tariffs (FiTs) are another way solar systems can put some money in the kitty. This time, instead of using your generated electricity, you sell it back to the grid. So if you have a whole heap of solar energy sitting there unused at your home, you can sell it back into the main grid during peak hours.  

    While your retailer sets their own FiTS, the Essential Services Commission decides the minimum FiT price each financial year. For 2025–26, the flat rate minimum is 0.04 cents per kWh, while time-varying minimums are peaking at 6.57 cents and dropping to 0.0 cents per kWh during the day. These FiT rates have declined in recent years because of the increase in solar across Australia. You see, FiTs weren’t introduced as a permanent fixture on your bills, but to help make the switch to solar more appealing. So with an increase in homes making the switch, these rates have dropped as a result.  

    But that doesn’t mean solar isn’t worth it. Using most of your solar power during daylight hours (self-consumption) is still the tried and true method to get the most bang for your solar buck.  

    Julia Paszka - General Manager – Utilities & Credit Cards

    When it comes to solar panels, bigger might seem better, but it might not always be the best choice for each individual home. If your home doesn’t use too much electricity during the day, a smaller system could be a better way to get more out of our solar panels (and give you a quicker payback period, too). Pair it with some quick investments like insulation and LED lights, and you’ll have a solar-powered energy-efficient home that helps lower your electricity usage.

    That’s not to say a rooftop full of panels isn’t a bad thing. It can just mean higher up-front costs and a longer payback period, especially when you take into account dropping FiTs and reduced or changing rebates across the country. So, before you make a decision on your solar panels, make sure to consult an accredited retailer to check that your panels and home usage all match up.

    Julia Paszka

    General Manager – Utilities & Credit Cards

    Where can I find and compare energy plans?

    Self-consumption and solar incentives are just the corner part of the puzzle when it comes to making the most of your solar system. A different electricity plan can also help you put the pieces together. Whether this means finding a plan with a higher FiT or better-value rates for when you do need to use the grid, your electricity plan should be all about supporting your solar setup. So, if it’s time to shine a light on your electricity plan options, iSelect can help. We make it simple to compare a range of electricity plans from different providers. All you need to do is use our online comparison tool or call one of our energy comparison experts on 1800 664 532

    Get started on comparing energy plans today!

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    iSelect does not compare all energy providers or plans in the market. The availability of plans may change from time to time, depending on who iSelect’s providers are and what plans they make available to iSelect. Not all plans made available from iSelect providers may be compared by iSelect either due to commercial arrangements, area or availability, so not all plans or providers compared by iSelect will be available to all customers. Some plans and special offers are available only from iSelect’s contact centre or website. Energy plans are available only for properties located in eligible areas of Victoria, New South Wales, South East Queensland, South Australia and ACT. Click here to view iSelect’s range of providers.