The Victorian Government has legislated an ongoing "fair" feed-in tariff for micro-generation from solar, wind, hydro and biomass up to an installed capacity of 100kW. The rate of the tariffs is a rate not less than the rate the customer pays to buy electricity from the retailer. The Victorian Government has also introduced a premium feed-in tariff, which began in the second half of 2009. It is available to households, community groups & small businesses with electricity consumption up to 100 MWh per year, for small-scale solar photovoltaic systems with a capacity of up to 5 kW.
The scheme will run for 15 years, but will be closed to new applicants when 100MW (approximately 50,000 systems) have been installed or when average cost per customer is greater than USD10 per year.
The tariff is net and is to be set at AUD 0.60/kWh.