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Feed-in Tariffs: Why a High Export Rate Can Still Be the Wrong Plan

Feed-in tariff (FIT) rates are the headline number solar households focus on when comparing plans — but the FIT cannot be evaluated in isolation. A plan with a 15c/kWh FIT and a 40c/kWh import rate on the same bill may be a worse outcome than a plan with a 10c/kWh FIT and a 28c/kWh import rate, depending on the household's export-to-import ratio. The plan comparison requires both numbers together.

Quick summary
  • FIT is only one variable. A high FIT with a high import rate may cost more overall than a lower FIT with a lower import rate.
  • Your export-to-import ratio determines which combination wins. High exporters value FIT more; high importers value the import rate more.
  • Export volume is dropping for many solar households as time-of-use rates improve self-consumption incentives, EVs absorb daytime generation, and batteries store more.
  • Verify your plan's FIT and import rate on your bill — both must appear there under Australian energy retail rules.

The calculation that matters

To evaluate a plan switch for a solar household:

Annual FIT value: daily export kWh × 365 × FIT rate

Annual import cost: daily import kWh × 365 × import rate

Annual supply charge: daily supply charge × 365

Total annual cost = import cost + supply charge - FIT value

Run this calculation for both the current plan and the alternative. The lower total wins.

Example:

  • Household: exports 8kWh/day, imports 12kWh/day, daily supply charge $1.00
  • Current plan: 8c FIT, 30c import → FIT value $233, import cost $1,314, supply $365Total: $1,446
  • Alternative: 15c FIT, 38c import → FIT value $438, import cost $1,664, supply $365Total: $1,591

The higher FIT plan costs $145 more per year for this household, because the higher import rate adds more than the higher FIT saves.

This example is illustrative. Results depend on your specific export, import and rate numbers.

When a high FIT wins and when it does not

A high FIT is more valuable when:

  • Daily export is high (home unoccupied during peak solar hours, no battery storing the surplus)
  • Daily import is low (efficient home, most consumption covered by self-consumption)
  • The import rate difference between plans is small

A high FIT is less valuable when:

  • Daily export is low (battery, EV, or high daytime household load absorbs most generation)
  • Daily import is high (large household, evening-heavy usage, electric heating)
  • The import rate on the high-FIT plan is significantly higher than the alternative

The shift happening in 2025: many solar households are exporting less than they were 23 years ago because of battery adoption, EV charging during daylight hours, and deliberate load shifting. For these households, the FIT comparison is less important than it used to be — the import rate and supply charge dominate.

Where to find your numbers

Your current plan's FIT: on your electricity bill — look for "solar feed-in" or "solar export credit" on the credits section. The rate per kWh should be stated.

Your export and import volumes: on the bill (monthly or quarterly totals) or in the retailer portal's half-hourly data.

Alternative plan rates: Energy Made Easy or Victorian Energy Compare — enter your postcode, filter for solar plans, and compare the FIT alongside the import rate. Do not sort by FIT alone.

Bottom line

Find your daily export and import kWh from the retailer portal. Calculate the annual FIT value and import cost for both plans. The plan with the lower total wins — not the plan with the higher headline FIT. For most households exporting under 8kWh/day, the import rate matters more than the FIT.

Analyse your bill to find your export and import volumes before comparing solar plans.

Want a practical next step?

Start with your bill. We can help you understand usage, tariffs and the home energy choices worth comparing next.

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