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Solar-powered Sunraysia businesses to save thousands in upcoming electricity rate hike

The price of electricity in Victoria is set to rise by up to 31 per cent this July. (ABC Mildura-Swan Hill: Tamara Clark)

Like many business people in semi-arid regional Victoria, Paul Wilton knows all too well the power of the scorching sun.

Trends show Mildura people have leant into solar power as a superpower, cutting their bills and minimising their greenhouse gas emissions.

And with the cost of electricity to rise by up to 31 per cent across the state in the coming months, the owner of Mildura Motor Inn is thanking his past self.

"Our monthly bill is about $2,500 at the moment, without solar it would be probably closer to $3,500," Mr Wilton said.

Mr Wilton says solar has helped cut his business's power bills. (ABC Mildura-Swan Hill: Tamara Clark)

"We've got to obviously embrace solar."

Increase in uptake

Data from the Australian Photovoltaic Institute shows solar uptake is a booming trend in the Mildura region.

The Australian Renewable Energy Agency-funded data map shows 668 kilowatts worth of solar panels were installed in the 3500 postcode in November 2020 alone.

That equated to 17 times as much new solar power as the 40 kilowatts installed in November 2010.

Renew policy and advocacy manager Rob McLeod said a 6.6 kilowatt solar set up would save about $1,100 a year for the average family home in Mildura.

"The up-front cost might be up to around $5,000," he said.

"Once you take into account the various government rebates, including a Victorian government rebate, that means … you'd be looking at a period of four to five years really to pay back that up front cost."

Ingrid Allen says solar panels have taken the sting out of rising costs. (ABC Mildura-Swan Hill: Tamara Clark)

Bushells on Tenth Ye Olde Lolly Shoppe owner Ingrid Allen said solar was helping save energy costs and balance out other increasing expenses.

"We've tried to absorb the cost of deliveries from suppliers and we're fortunate that we put solar panels on the roof," she said.

"So our power bills are quite small and we're very lucky that we did that five years ago.

"We're trying to keep our prices down and be competitive, I think, luxury items like shoe shops, handbag shops and furniture stores would probably be more affected."

Ms Allen says she is getting creative with customer discounts. (ABC Mildura-Swan Hill: Tamara Clark)

High end retailer Doug Haynes said he noticed a decline in custom in Mildura after each rise to the cost of living.

"We are fortunate we put solar in this shop, so that helps a lot with the power, but the power is just one of many costs like wages, added costs, utilities and taxes," he said.

"We're lucky but you have to have money to save money."

He said people were still buying good pieces, but not not as many and as not as regularly.

"And the price of clothing has gone up to quite substantially, by 20 per cent in the past six months, as well which affects everyone," he said.

"The wholesaler, and then the wholesaler passes it on to the the buyers, and then you know, has to be passed on to the consumer.

"Every component really has gone up."

Mildura merchants say rises to the cost of living affect consumer behaviour. (ABC Mildura-Swan Hill: Tamara Clark)

Incentive to change

Acting Minister for Energy and Resources Ingrid Stitt, has launched the fourth round of the state government's Power Saving Bonus, with every Victorian household eligible to receive $250 when they access the Victorian Energy Compare website.

Over 1.8 million households have received the payment since comparing energy rates as part of the first round in July.

"We're making sure that Victorians facing hardship receive the Power Saving Bonus, and get the support they need to access concessions for cheaper power through The Energy Assistance Program," Ms Stitt said.

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