Is solar worth it in Australia in 2026? Yes — in every state, with caveats
Nationally a 6.6kW system costs $5,500–$8,000 after the federal STC discount, saves $1,180–$1,640 a year and pays back in 4.1–5.7 yrs — then produces for another 15–20 years. Prices are about 80% below where they were in 2012, electricity is 30–40c/kWh in most states, and the federal battery discount ($252/kWh) has made storage viable for the first time. The caveats are shading, how much power you use in daylight, and how long you will stay in the house.
Payback by state
| State | 6.6kW after STCs | Electricity | Feed-in | Yearly saving | Payback | Score |
|---|---|---|---|---|---|---|
| New South Wales | $5,000–$7,300 | 34c | 4.0c | $1,240–$1,730 | 3.6–5.0 yrs | 76/100 |
| Victoria | $5,100–$7,400 | 29c | 3.0c | $910–$1,260 | 5.0–6.9 yrs | 62/100 |
| Queensland | $5,400–$7,900 | 30c | 5.0c | $1,320–$1,830 | 3.6–5.0 yrs | 76/100 |
| Western Australia | $4,400–$6,400 | 33c | 2.8c | $1,360–$1,880 | 2.9–4.0 yrs | 88/100 |
| South Australia | $4,700–$6,800 | 40c | 3.0c | $1,510–$2,090 | 2.8–3.8 yrs | 88/100 |
| Tasmania | $6,100–$8,900 | 30c | 9.3c | $1,070–$1,490 | 5.0–7.0 yrs | 55/100 |
| ACT | $5,000–$7,300 | 27c | 6.0c | $1,100–$1,520 | 4.0–5.6 yrs | 69/100 |
| Northern Territory | $8,600–$12,600 | 29c | 9.1c | $1,680–$2,330 | 4.5–6.3 yrs | 58/100 |
South Australia pays back fastest (dearest power), Tasmania slowest (least sun, but the best feed-in tariff and an interest-free loan). Click a state for the full verdict, city table and battery maths.
Worth-it questions
Is solar still worth it in 2026 with rebates shrinking?
Yes. The STC discount steps down every January (about $363 less on 6.6kW next year), but hardware is cheap and electricity is not. Waiting costs more in bills than it saves in rebate.
Is solar worth it without a battery?
Yes if someone is home in daylight or you can shift loads (hot water, pool, dishwasher, EV) into the day. Export-only systems pay back slowly at 3–5c feed-in rates.
Is solar worth it if I might move?
Inside three years, usually not — resale uplift is real but smaller than the install cost. Beyond five years, yes.
Which state is solar best in?
By payback: SA, then QLD and NSW. By raw output: NT and QLD. By incentives: ACT, WA and TAS have the best state loans and battery schemes.
Get your own verdict
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