Hundreds see light with $8000 rebate in Australia
Sunanda Creagh, Urban Affairs Reporter /May 12, 2007
Source: Sydney Morning Herald
http://www.smh.com.au/news/national/hundreds-see-light-with-8000-rebate/2007/05/11/1178390559640.html
SOLAR panel suppliers are reporting a surge in inquiries after the Government announced its $8000 rebate, but say prices will not be driven up by the budget handout. The Government this week announced a doubling of the rebate for solar panels on homes, saying they expected 14,000 households to take up the grants.
But the Treasurer, Peter Costello, warned solar panel manufacturers not to increase their prices. “Now, don’t kill the goose that laid the golden egg,” he told ABC Radio on Wednesday. Australian LPG vehicle industry representatives admit their prices rose soon after the Government’s announcement last October of $2000 rebates for gas conversions or $1000 grants for new LPG powered cars.
The managing director of Solar Shop Australia, Adrian Ferraretto, who says his business is the largest installer of solar panels in Australian homes, said he had been inundated with inquiries. “It has been crazy.” Mr Ferraretto said he expected prices to remain stable because increased interest would inspire more solar panel businesses to open. “It will increase competition which will keep prices down,” he said, while noting the limited supply of high grade silicon required to make the photovoltaic cells might affect prices. “There is a world shortage, which has increased the price of solar over the last two years,” he said.
Stuart Davis, of Coogee, said he would take up the rebate as soon as possible. “A lot of people forget the sun is there. But if you can get your power from the sun with no environmental impact, why wouldn’t you?”
After buying a solar-powered hot water system recently, Mr Davis inquired about the cost of installing photovoltaic cells to power the rest of his home. He estimated that to halve his energy bills he would need to pay between $8000 and $10,000. “You’d be mad not to [take up the rebate]. If they give us $8000 then it’ll almost be free. It will save me about $500 a year on electricity bills,” he said, adding that he was also attracted to Labor’s plan to offer interest-free loans to homeowners wanting solar panels.