The Albanese Labor Government has today released the Solar Sharer Offer (SSO) consultation outcome paper, the next step in introducing a new energy offer for households by requiring retailers to offer optional, free electricity to households for at least three hours in the middle of the day.
The extensive consultation process sought views from market bodies, consumers and retailers on both the design and implementation of the SSO, which found broad support for a scheme to take advantage of Australia's abundant solar power and make our energy system fairer and more reliable.
Informed by the consultation process, the Government has today set out a proposed approach to the design and implementation of the SSO, underpinned by six key design principles, to be implemented through the Electricity Retail Code, supported by the DMO framework.
These six key design principles are:
1.Looks to deliver bill savings for SSO households
2.Considers key market factors and system efficiency
3.Is flexible and aligns to local conditions
4.Considers retailer viability
5.That a reasonable use cap should apply, and;
6.That the scheme is adaptable
The paper reiterates that this proposed retail offer will be opt-in and is best suited to consumers who can shift their energy use into the 3 hour free power period in the middle of the day.
Implementation of the SSO through a reformed DMO framework will allow the Australian Energy Regulator (AER) to ensure customers get a fair deal outside of the free power period.
The AER will now work with industry and Government to implement the offer and determine final regulations ahead of implementation in DMO jurisdictions alongside the new draft DMO for NSW, SA, and SE QLD - in July 2026, while working with other states to potentially extend the offer to other jurisdictions by 2027. The Victorian Government is currently consulting on a similar policy proposal for the Victorian Default Offer (VDO).
ATTRIBUTABLE TO MINISTER FOR CLIMATE CHANGE AND ENERGY CHRIS BOWEN:
"Australia has more rooftop solar capacity than the entire fleet of remaining coal fired power stations across the country.
"The Solar Sharer Offer is about making sure we make the most of our huge solar generation, including by ensuring the benefits of cheap solar can be shared with consumers who don't have solar systems themselves through the offer of free daytime power.
"It will provide direct bill savings for households who sign up and can move their energy use into the zero-cost power period, while also taking pressure off evening peak demand, lowering network and system security costs."
ON BACKGROUND
New analysis from the Department of Climate Change, Energy, the Environment and Water shows the potential bill savings on offer households that sign up to the Albanese Government's new Solar Sharer Offer who are able to shift the time they use household appliances to the middle of the day - such as those working from home, stay at home parents, retirees, students or who have appliances with timers.
• Just moving 10% of your energy from evening peak usage to during the free hour window could save money. A 1 person household currently spends around $150 a year running their dishwasher and other appliances that are not time critical that could be moved to this time, and for a 5 person household this goes up to around $400.
• Homes who can schedule their dishwasher, washing machine and dryer, or hot water heating, representing 20% of their energy, to the free power period could also save. It currently costs from around $300 for a 1 person house, to between $500-$790 for a 5 person house.
• Shifting 25-30% of your energy could save further. Scheduling the timing of your dishwasher, washing machine, dryer and pool pump, and charging your EV currently could save around $400 for a 1 person house, to between $800 to $1100 for a 5 person house.
