Are you looking to switch to solar just like 2 million Aussies? Confused about the basic solar panels or what exactly they are all about? Well, you have come to the right place!
A beginner’s guide to residential solar systems in Australia starts with understanding how much energy your household actually uses. Once you know that, you can choose the right type of system—most homes go for a grid-connected setup because it’s simple, reliable, and cost-effective.
From there, it’s important to pick quality components, especially your solar panels and inverter, as these will directly affect performance and long-term savings. Installation also plays a big role. In Australia, north-facing panels usually generate the most energy throughout the year.
However, east-west layouts can work well too, especially if you tend to use more power in the mornings and afternoons. And in most cases, your existing roof angle will do just fine, unless it’s completely flat, where a slight tilt may be needed.
Guide To Residential Solar Systems in Australia
A guide to residential solar systems in Australia highlights the country’s huge potential for solar power, driven by abundant sunshine and rising electricity costs. Installing a system, which typically consists of solar panels, an inverter, and often a battery for storage, can significantly reduce power bills and a home’s carbon footprint. Key steps involve assessing your energy needs, choosing an accredited installer and quality components, and understanding available government incentives and feed-in tariffs for exporting excess power back to the grid. A properly sized and installed system on a good roof orientation (ideally north-facing) can offer substantial financial returns and increased energy independence.
A residential solar system in Australia is primarily a straightforward setup featuring solar panels that convert sunlight into Direct Current (DC) electricity and an inverter that transforms it into the usable Alternating Current (AC) for your home.
Beginners should focus on sizing the system (e.g., the popular 6.6kW size) to match their daytime energy consumption to maximise immediate savings and ensure the chosen installer is Clean Energy Council (CEC) accredited. By doing this, homeowners can take advantage of the generous Australian sunshine to slash electricity bills and significantly reduce their environmental footprint.
Let us walk through all the basics you need to know about residential solar systems before installing one on your rooftop.
Types of residential solar systems in Australia
Residential solar power in Australia typically involves three main system types. The most common is the On-Grid (or Grid-Tied) System, which feeds excess power back to the public grid via a feed-in tariff but shuts down during blackouts for safety.
A popular evolution is the Hybrid Solar System, which adds battery storage to the grid connection, allowing homeowners to use stored solar energy at night and providing crucial backup power during grid outages. Finally, Off-Grid Systems are fully independent and not connected to the electricity network, requiring substantial battery capacity and often a generator for complete energy self-sufficiency, making them ideal for remote locations.
The most common type is the Grid-Connected System, which links to the public electricity network, allowing homeowners to use solar power during the day and feed excess energy back for a credit. Hybrid Solar Systems are increasingly popular, as they include battery storage to save surplus daytime energy for use at night or during a blackout, while still maintaining the grid connection as a backup.
Finally, Off-Grid Systems are completely independent of the electricity network and require extensive battery storage and often a backup generator, making them the most expensive option, typically reserved for remote locations.
There are three types of solar PV modules used in Australia namely:
On-grid – This type of system permits you to maintain your connection to the grid so you can purchase electricity at night (and during bad weather). Your solar inverter will work together with the grid to efficiently use all solar energy before using any grid power. You can also sell power back to the grid with solar systems that are connected to the grid. Generally speaking, completely cutting off from the grid is not practical nor profitable.
Off-grid – They are free from grid and are a stand-alone power source that combines solar and batteries to deliver a 24 hour power option. These are more frequent in new development projects in rural Australia because it is frequently estimated that homes would cost more than $50,000 only to connect to the grid. In some situations, installing a solar and battery standalone power system to support the new home may be the preferable financial and environmental decision.
Hybrid solar system – They are grid-connected systems with a solar battery to store solar energy for use at night or other times when there is no sunlight. Solar batteries enable you to utilise your solar electricity more effectively and serve as a terrific backup power source.
How solar PV modules help you save money?
Solar power systems offers so many benefits so as to make the switch to sustainable energy easier as it helps to save money. First off, solar systems generate energy from sun, thus drastically lowering the need to buy it from the grid. Homeowners and companies can significantly reduce their monthly power expenses by making use of the endless power of the sun, resulting in significant long-term savings.
Additionally, solar PV modules most often include attractive incentives like net metering or feed-in tariffs, which means any extra power can be sent back into the grid in exchange for credits or cash payments. This further aids in maximising savings and reducing the price of electricity.
Moreover, residential solar systems do not require much maintenance during their lifespan. Once you invest in solar panels, you can expect them to work for around 25-30 years. Thus, you see they are a one time investment whose payback period ranges somewhere between 3 to 4 years.
How to increase self-consumption of residential solar panels?
In Australia, the most effective way to increase solar self-consumption is by “load shifting,” which involves running high-energy appliances like washing machines, dishwashers, and pool pumps during the middle of the day when solar production is at its peak. Investing in a home battery storage system is the ultimate solution, as it stores surplus daytime solar energy for use during the evenings, dramatically increasing the self-consumption rate. Additionally, integrating smart home energy management systems or simple appliance timers can automatically optimise usage to align with solar generation, maximising financial savings.
If you increase the self-consumption of solar panels, you will automatically manage to reduce your electricity bill. You can even install timers on some home appliances to increase your return on investment. These
- appliances include:
- Electric hot water system
- Dishwasher
- Washing machine
- Underfloor heating system
- Swimming pool pump
How much can you expect to save on power bills?
You can expect to save a substantial amount of money on installing solar panels. Let us give you an idea with the help of a chart.
|
Size |
Avg. solar energy produced (kWh) | Avg. use of power in daily life (kWh) | Annual savings | Savings from feed-in-tariff | Annual total savings |
|
3kW |
10.2 | 10 | $360 | $225 | $585 |
|
5kW |
17 | 20 | $692 | $350 | $1,042 |
| 6.6kW | 22.5 | 25 | $876 | $472 | $1,348 |
| 8kW | 27.2 | 30 | $1,053 | $575 | $1,628 |
| 10kW | 34.1 | 40 | $1,384 | $700 | $2,084 |
Assumptions:
- The price of electricity is $0.25 per kWh and the rate of solar-feed-in is $0.07 per kWh.
- The use of electricity is more during hours of 6am to 8am and 4pm to 10pm.
Now, we must remind you that it is important to choose a trusted and reliable solar installer such as Goal Solar. We help you to properly evaluate your needs and requirements and according suggest you a solar system. We first analyse your electricity requirement, your average daily uage, and a proper site assessment before providing you with a recommendation.
In Conclusion :
Understanding the basics of residential solar systems is the first step toward embracing clean and cost-effective energy for your home. With Australia’s generous sunlight, government incentives, and advanced solar technologies, going solar has never been more rewarding.
By learning about system components, installation requirements, and energy-saving potential, homeowners can make informed decisions that lead to long-term savings and a smaller carbon footprint. A well-designed residential solar system is not just an investment in your property, it’s an investment in a sustainable future for you and the planet.
