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Two in three Australians consider solar power options as energy costs climb

Published 24/09/2024, 12:29 pm
© Reuters.  Two in three Australians consider solar power options as energy costs climb

New research by emerging green energy provider Green has revealed higher energy costs and cost-of-living pressures have pushed more Australians toward alternative energy options, with 68% of respondents saying they would invest in solar to save money on energy bills.

Energy bills are the largest expense for 34% of households after rent or mortgage payments, followed by food and groceries, and car costs.

Costs have largely been rising in recent months, although just how much has differed greatly.

For 51% of Australians, their bills have increased between $100 and $300 per month.

12% have copped an increase of between $301 and $500 per month, and in the top brackets, 17% of people have had to budget for a $501 to $2,000 increase to their monthly power bills.

Investing in solar to reduce energy costs

Green’s research also looked at what options Australians are willing to consider in mitigating increasing energy costs.

With an annual saving of $2,000 on the table, 68% of respondents said they would be willing to fork out an average of $8,000 to $10,000 in solar and battery costs.

The numbers stayed fairly consistent across states, with very high support for solar in South Australia and the ACT (76% and 74%) and strong support across the rest – Victoria was the lowest, at 66%.

Surprisingly, a high number of renters indicated they’d be willing to fork out the money for energy savings at their rented properties, with 65% expressing support for the idea.

Younger people were also distinctly more supportive of green energy options than the older generations, with 74% of 35 to 44-year-olds indicating support compared to just 56% of those 65 and above.

AER policy offers no relief

In April the Australian Energy Regulator (AER) hiked energy prices, allowing providers to increase costs dur to interest rate and inflation pressures.

The decision will increase the cost of electricity from six distributors over the next five years, raising prices between $14 and $39 in New South Wales, $18 a year more in the ACT, $56 per year in Tasmania and $116 a year for the average household in Northern Territory.

With energy costs set to continue rising, it’s likely Australia’s solar power energy share will grow in step as consumers seek cheaper, greener options.

Read more on Proactive Investors AU

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