Free solar power for Australians: 3-hour daily offer for all homes
Australia is set to offer households in three states at least three hours of free solar power daily from next year, regardless of whether they have rooftop panels.
The federal government announced on Tuesday that the Solar Sharer program will commence in July 2026, providing residents in New South Wales, South Australia, and south-east Queensland with free electricity during sunny hours.
Free power for homes across three states
The offer will be available to homes with smart meters, which comprise the majority of the country’s households. During the free period, residents can operate washing machines, dishwashers, and air conditioners, or charge electric vehicles and home batteries without incurring electricity costs.
Energy Minister Chris Bowen said the scheme would ensure “every last ray of sunshine was powering our homes.”
He added that free solar energy in the middle of the day is “proof that what’s good for the planet is good for your pocket.”
The plan could later expand to other regions by 2027. It will be implemented through a change in the default market offer — the regulation that caps the electricity prices retailers can charge in parts of Australia.
Tackling peak prices and wasted power
Australia has more than four million rooftop solar systems, often generating excess power during sunny afternoons. This surplus can even drive electricity prices into negative territory. However, the high demand that follows at night puts a strain on the grid.
The Solar Sharer program aims to shift energy use to coincide with periods of highest solar generation. “People who are able to move electricity use into the zero-cost power period will benefit directly, whether they have solar panels or not and whether they own or rent,” the energy minister mentioned.
“And the more people take up the offer and move their use, the greater the system benefits that lower costs for all electricity users will be.”
By encouraging midday electricity use, the initiative could help stabilize the power grid, reduce peak-hour prices, and minimize the need for costly infrastructure upgrades.
Industry divided over sudden rollout
While some industry groups welcomed the plan, others criticized the lack of consultation. The Australian Energy Council, which represents energy generators and retailers, said it was “disappointed” that the government had announced the change without prior notice.
Chief executive Louisa Kinnear warned that it risked “damaging industry confidence, as well as creating the potential for unintended consequences.”
She added, “Failing to consult with the industry prior to making announcements such as this could have an enduring impact on product innovation that can further support the energy transition and customers.”
Despite concerns, some retailers such as AGL and Red Energy already offer free solar energy periods. The new nationwide scheme will standardize access to this.
Support from clean energy advocates
The Smart Energy Council welcomed the move, stating that it could help ease the cost of living for many Australians. David McElrea, the group’s chief advocacy officer, noted that the initiative would “actually help people get access to free power, because the sun doesn’t send you a bill.”
Bowen confirmed that the Australian Energy Regulator will oversee the rollout to ensure customers “get a fair deal” outside the free power hours. He also stated the government will consult with other states to extend the scheme nationwide after 2026.
The announcement comes as the Albanese government faces scrutiny over rising energy prices. With this policy, Australia is moving closer to its goal of reaching 82 percent renewable electricity by 2030, while providing a direct benefit to households that embrace cleaner energy habits.