Sydney, the capital of New South Wales enjoys a warm climate with plenty of sunlight which is likely why experts predict that solar capacity will reach 80 GW by 2030 across the country.
Savings on energy bills, rebates, incentives, and sustainability are all reasons why Sydney residents are jumping on the solar train.
If you’re curious about how much money you can save with solar panels in Sydney, continue reading to learn more.
How Much Power Do Solar Panels Generate in Sydney?
New South Wales receives an average of peak sun hours per day. Sydney sits around 6-8 hours of sunlight per day which is a little less than other areas of Australia like Brisbane and Darwin.
That said, you can still capitalise on solar energy and generate an average of 3.96 kWh each day in Sydney.
The size of your solar panel system will determine your total daily output.
This chart will help you understand how much power you can generate based on the size and total number of solar panels you have.
|Solar System Size in kW||Average Daily Output||Annual Output|
|3kW (8-11 panels)||11.9kWh||4,336kWh|
|4kW (13-16 panels)||15.8kWh||5,782kWh|
|5kW (18-22 panels)||19.8kWh||7,227kWh|
|7kW (22-28 panels)||27.7kWh||10,118kWh|
|10kW (27-35 panels)||39.6kWh||14,454kWh|
|15kW (50-65 panels)||59.4kWh||21,681kWh|
Interpreting This Information
Having this information about the average daily output and how many panels you’ll need is great, but what does it all mean?
Solar power is a great investment if you have a relatively unshaded roof because it can help you save money and capitalise on rebates offered by the Australian government.
Solar energy will override your existing electric energy structure and reduce the amount of power you need to purchase from the electricity retailer. Running things that require electricity in your home while the sun is shining can help you save the most money. This is called solar self consumption.
You can maximise your savings by running things like pool pumps, dishwashers, and other large appliances while the sun is shining.
Keep in mind that overcast or generally cloudy days will result in less solar energy requiring the system to feed off the electricity retailer on these days.
The other benefit is that you can earn credits on your electricity bill using surplus energy. This is something that a lot of Aussies don’t realise. This is called a “solar feed-in tariff.”
A feed-in tariff is essentially money you can earn from solar power that you don’t use. If energy is created by your solar panels and is unused, it’s put back into the grid and you’ll earn credits based on the amount of energy you put back.
This will reduce your electric bill and can be seen as an attractive upside to solar power as well.
How Much Do Solar Panels in Sydney Cost?
The average cost of a solar power system in New South Wales is between $3,900 and $9,000 depending on the size of your system. A small system is 3kW or lower and this will run you approximately $3,000. A larger system of 10kW or more can cost over $10,000.
Solar panel installation is not cheap but it’s actually cheaper in NSW than the national average. The average cost of a 4kW system in NSW is around $4,000 with the national average being close to $5,000.
Sydney Solar Installers
If you’re considering the benefits and weighing the pros and cons of solar panels in Sydney, you might wonder how to get started. There are two pieces of the puzzle to understand here.
First, you need an installer who is going to physically install your solar energy system. This includes surveying of your property to determine the best location to install the panels, installation of the solar system, and installation of the panels themselves.
Second, you’ll need a solar energy provider. These retailers act similarly to an electric retailer and will provide service and maintenance of your system. Sometimes these two companies are the same and other times they’re not.
Let’s take a look at some of the most popular Sydney solar installers in NSW.
This is a Sydney based and grown company with more than 20 years of experience. They’re known in the area as Australia’s number one renewable energy provider and they provide many services such as energy storage and service of all solar systems.
Beyond Solar is also an example of a company that not only provides installation but they also provide service and sell some of the most popular panels, batteries, and inverters on the market.
Origin is a solar installer offering a range of services including different solar panel systems at variable price ranges to suit a number of budgets. One thing interesting about this company is that they offer some of the highest feed-in tariffs if you get your panels installed by this company.
Bradford Energy has been around a long time and is one of the most respected solar installers in the country. They’ve been in business for over 80 years and they offer some of the best warranties the market has to offer.
The company sells panels, service, PV systems, batteries, and more to act as a one stop shop for everything you might need for solar.
Solargain is based in Bella Vista but operates throughout all of Australia. This is one of the country’s largest solar providers and has been around since 1995. They install brands such as Jinko, Trina, SunPower, and Huawei.
In addition to solar panels they also install solar hot water systems in Sydney, handle repairs, and offer maintenance on everything.
Other Solar Providers in NSW
As previously mentioned, there are a number of solar providers in Sydney as well and the retailer you choose could actually be different from the company you choose to install your solar panels. The services they provide are self-explanatory but here is a list of some of the most popular providers in Sydney:
Sydney Solar Rebates and Incentives
There are a number of benefits of getting solar panels in Sydney but one often misunderstood benefit are the rebates and incentives you receive just for being a solar customer. Not only does solar power save you money on your utility bills but it can also save you thousands over time in credits.
Small-Scale Technology Certificates
A small-scale technology certificate or STC is awarded to residents that install any type of renewable generator on their property. The certificates are sold for approximately $40 each and the amount of STCs you receive will depend on the size of your system, location, and amount of energy it generates.
For example, a 6kWh system in Sydney would generate approximately 82 small-scale technology certificates based on its location. If you’re selling those for around $40 each that would result in a rebate of $3,280.
When your panels produce more electricity than you use, some of that excess can be put back on the grid and this will result in feed-in tariffs paid to you in the form of credits. These credits are applied to your electric bill and usually calculate to around 7-12 cents per kWh.
NSW Government Interest Free Loans for Batteries
This incentive is specific to the NSW area and is intended to help offset the costs of installing solar batteries. There are currently two types of loans available.
The first is a $9,000 interest free loan for those who already have a solar power system.
The second is a $14,000 loan that can help with the cost of installing a complete solar power system.
If you live in any of the following postcodes, you may be eligible for this interest-free loan.
How Much Can You Expect to Save with Solar Panels in Sydney?
It’s obvious that solar energy can help you save a lot of money but exactly how much does it amount to?
If you have a 6kW system which is usually the average in Sydney it would cost you about $5,000 to get it installed.
At an average daily consumption of 20kWh that would result in a total annual savings of $1,100 so it would take you about four and a half years to pay back the cost of your panel installation.
This doesn’t include rebates and incentives either so it will likely be paid back much sooner than that.
Frequently Asked Questions
How many homes have solar panels in Sydney?
There are over three million households in Australia with solar power and it’s estimated that over 50% of Sydney residents have solar energy systems.
What direction should solar panels face in Sydney?
It’s best to face your panels North in Sydney but it can depend on when you intend on using the most energy. If you use more energy in the mornings, then you’ll want your panels facing East. If you use more power in the evenings, facing your panels West will make more sense.
This isn’t typically something you’ll need to worry about because most solar panel installers will install your panels in the direction that will provide you with the most energy throughout the entire day.
Are solar panels in Sydney worth it?
You have to determine this for yourself. We believe that solar panels are always worth it and living in Sydney doesn’t change this. You still get plenty of sunlight, savings, and benefits with solar energy.
If you’re considering solar panels in Sydney, there’s no better time than the present to get started. We recommend contacting any of the reputable companies recommended in this guide. They’re all experts in solar panel installation in Sydney and can help point you in the right direction.