The 2026 payback picture
A typical 6.6 kW system costs roughly $5,000 to $9,000 installed after the federal rebate. SolarChoice puts the payback for a well-sized 6.6 kW system at around 2 to 5 years in 2026 depending on your state (roughly 1.9 years in Adelaide to 4.6 in Darwin), and SolarQuotes reaches the same “worth it” verdict for owner-occupiers. The caveat: a badly sized or badly timed system pays back much more slowly.
What it actually costs
Typical residential solar in 2026, owner-occupier, decent roof. Payback range from SolarChoice's state figures for a 6.6 kW system.
| Option | What it includes | Cost |
|---|---|---|
| 6.6 kW panels | The standard residential system, after the federal rebate | ~2–5 yr payback |
| Panels + battery | Storage so you can use daytime solar at night; roughly doubles the upfront cost | longer; depends on price & state rebate |
| No solar, just shift usage | Run big loads by day; free if you already have solar, cheaper on time-of-use | $0 upfront |
Feed-in tariffs are now only a few cents per kWh while you pay ~30 to 40¢ to buy power, so every kWh you use yourself is worth far more than one you export.
The rule that decides your savings
Because feed-in tariffs are low while buying power is dear, solar pays best when your big loads run in daylight: dishwasher, washing machine and dryer in the middle of the day, hot water on a daytime timer, and an EV charged on the sun rather than at night. Do that and a modern system offsets a big chunk of a bill; ignore it, export everything at 5¢ and buy it back at 33¢ after dark, and the payback stretches out.
Where a battery fits (and where it doesn't yet)
A battery lets you use daytime solar at night, but it roughly doubles the upfront cost and pays back more slowly than panels alone. For most homes in 2026, panels first, battery later is still the sensible order, unless a current rebate in your state changes the sum. Either way, start by seeing what your home costs to run now with the electricity cost calculator and what uses the most power; if shifting usage into daylight alone cuts a slice, solar cuts more. Get quotes and a site-specific estimate before you commit.
Two states also run a solar-specific rebate on top of the federal one
The payback figures above already net out the federal STC rebate, which applies nationwide regardless of state. On top of that, Victoria's Solar Homes program pays up to $1,400 off a panel install, plus a matching interest-free loan, for owner-occupiers earning under $150,000 a year with a property under $3 million that hasn't had solar or a solar rebate at the address in the past decade. New South Wales' Home Energy Saver lists rooftop solar on its eligible-upgrade list too, the same discount up to $4,000 or zero-interest loan up to $15,000 already covering ceiling insulation and heat pump hot water elsewhere on this site. The ACT's Home Energy Support Program covers solar as well, 50% of the install cost up to $2,500, restricted to concession-card holders and counted against the same $5,000 total cap as its other eligible products. Queensland, South Australia, Western Australia, Tasmania and the Northern Territory currently have no equivalent state rebate for an owner-occupier buying panels outright: Queensland's own Supercharged Solar for Renters scheme pays landlords, not homeowners; South Australia's REPS doesn't list rooftop solar installation among its eligible activities; and WA's, Tasmania's and the NT's own state programs are battery-only, closed, or limited to apartment blocks.
State and territory top-up schemes
What sits on top of the federal STC rebate above, which applies everywhere in Australia regardless of state.
| State | Scheme | Typical value | Who it’s for |
|---|---|---|---|
| Victoria | Solar Homes solar panel rebate | Up to $1,400, plus a matching interest-free loan (also up to $1,400) | Owner-occupiers, household income under $150,000/yr (tightened from $210,000 on 1 Jul 2026), property under $3m, no solar or solar rebate at the address in the past 10 years |
| New South Wales | Home Energy Saver | Discount up to $4,000, or a zero-interest loan up to $15,000 | Discount: household income up to $80,000/yr or an eligible concession card. Loan: income up to $210,000/yr |
| Australian Capital Territory | Home Energy Support Program | 50% of supply-and-install cost, up to $2,500 (counts toward a $5,000 total cap) | Concession-card holders only (Pensioner Concession, DVA Gold or Health Care Card), property under $750,000 |
| Queensland | , | , | No rebate for owner-occupiers; Supercharged Solar for Renters pays landlords up to $3,500 to add solar to a rented property, not homeowners |
| South Australia | , | , | REPS doesn't list rooftop solar PV installation among its eligible activities (it covers efficiency retrofits, VPP battery connection and demand response) |
| Western Australia | , | , | No state solar panel rebate; the WA Residential Battery Scheme (rebate plus interest-free loan) is battery-only and doesn't cover panels bought alone |
| Tasmania | , | , | No current state scheme; the Energy Saver Loan Scheme, which offered 0% loans covering solar, closed to new applications in Sept 2025 |
| Northern Territory | , | , | No single-dwelling solar rebate; the Home and Business Battery Scheme won't fund panels alone, and a separate grant is limited to apartment/strata buildings |
On top of the federal STC rebate above, which applies nationwide regardless of state. Scheme values verified July 2026: state and territory programs open, close and change value without notice, so confirm the current figure on the linked source before relying on it. Your row is highlighted once you set your location.
Common questions
Is solar still worth it in Australia in 2026?
For most owner-occupiers with a decent roof, yes. SolarChoice and SolarQuotes both put a well-sized 6.6 kW system in worth-it territory, with payback around 2 to 5 years. The key change is that low feed-in tariffs mean the savings come from using your own solar by day, not exporting it.
How long does solar take to pay for itself?
Around 2 to 5 years for a typical 6.6 kW system in 2026, per SolarChoice's state figures, roughly 1.9 years in Adelaide to 4.6 in Darwin. A battery adds cost and a longer payback.
Should I get a battery with my solar?
For most homes in 2026 the sensible order is panels first, battery later. A battery roughly doubles the upfront cost and pays back more slowly than panels alone, unless a current state rebate changes the maths.
Do any states offer a rebate for solar panels on top of the federal one?
Two do, with a fixed dollar figure: Victoria's Solar Homes program (up to $1,400, plus a matching interest-free loan, gated on income, property value and no solar in the past decade) and New South Wales' Home Energy Saver (a discount up to $4,000 or a zero-interest loan up to $15,000, the same program that also covers ceiling insulation and heat pump hot water). The ACT's Home Energy Support Program covers solar too, 50% up to $2,500, but only for concession-card holders. Queensland, South Australia, Western Australia, Tasmania and the Northern Territory currently have no equivalent state rebate for an owner-occupier buying panels outright.
Sources
Solar payback and feed-in tariff context: SolarChoice, Is solar worth it? (2026) and SolarQuotes, Solar payback, both fetched July 2026. Electricity rates: AER Default Market Offer. Victoria's Solar Homes solar panel rebate and loan amount, and its income/property/no-prior-solar eligibility: solar.vic.gov.au, Solar Panel Rebate. New South Wales' Home Energy Saver, rooftop solar's own place on the eligible-upgrade list confirmed directly in the program's Home Energy Saver Loans guidelines (PDF), discount/loan figures per NSW Climate and Energy Action, Home Energy Saver. ACT Home Energy Support Program's solar rebate (50%/$2,500 within a $5,000 total cap, concession-card eligibility): ACT Government, Home Energy Support: Rebates for Homeowners, corroborated by SolarHub, ACT Home Energy Support Program. Queensland's landlord-only Supercharged Solar for Renters rebate: qld.gov.au, Supercharged Solar for Renters. South Australia's REPS not listing rooftop solar PV installation among its eligible activities: ESCOSA, Retailer Energy Productivity Scheme. This guide is general information, not financial advice. All fetched July 2026.