Feed-in Tariffs (FiTs): FiTs are payments made by electricity retailers to solar system owners for excess electricity generated and fed back into the grid. The rate at which electricity is purchased by retailers varies between states and territories and can be either a fixed rate or a variable rate linked to the market price of electricity.

Feed-in Tariffs are a way to incentivize Solar system owners to generate their own electricity and contribute to the overall renewable energy supply. By receiving payments for the excess electricity they generate, Solar system owners can offset their electricity costs and potentially even make a profit.

FiTs can help to make Solar energy more financially viable for homeowners and businesses, as it provides a guaranteed income stream for the electricity they generate. This can help to accelerate the uptake of Solar energy and reduce reliance on fossil fuels.

While FiTs can vary between states and territories, they are generally designed to be fair and equitable, taking into account factors such as the size of the Solar system, the time of day the electricity is generated, and the overall market price of electricity.

Overall, Feed-in Tariffs are an important policy mechanism for promoting renewable energy generation and reducing greenhouse gas emissions. By rewarding Solar system owners for their contribution to the grid, FiTs play a key role in the transition to a more sustainable energy system.