
As a Cairns local, a business owner, and someone who lives and breathes solar every day, I know exactly what’s on your mind.
That first Ergon Energy bill since 1 July has either arrived or is just around the corner — and for many of us, it’s going to deliver a bit of a jolt.
Believe me, I’m right there with you. My own solar setup has been impacted by the same rule changes affecting homes across Far North Queensland. So when I talk about the solar squeeze, or the shifting economics of solar power, I’m not just speaking as a solar expert — I’m speaking as your neighbour.
But here’s the good news: these changes, while frustrating, are also a wake-up call — and an opportunity to take back control of your energy future.
Let’s unpack what’s changed, why it matters for Cairns households, and how you can use solar batteries (with the help of generous government rebates) to stay ahead.
What Changed on 1 July 2025? The Double Whammy
The Queensland Competition Authority (QCA) brought in new electricity pricing for Ergon Energy customers from 1 July. Unfortunately, it wasn’t good news for most of us.
And yes, you can read about it! In this comprehensive final determination which also acts as a heavy sedative at times, especially by page 15. (so to say)
QCA Regulated retail electricity prices 2025-26
Tariff 11 | |
---|---|
Tariff 11 is a general supply tariff, where you pay for what you use at a flat rate throughout the day and night, plus a daily supply charge. All rates include GST. | |
From 1 July 2025 – Current Rate | |
All usage per kWh | $0.32973 |
Supply charge per day | $1.68842 |
From 1 July 2024 – Previous Rate | |
All usage per kWh | $0.34069 |
Supply charge per day | $1.36667 |
Reference: Ergon Energy – Price Changes from 1 July
1. Standard Electricity Rates Increased
If you’re on Ergon’s Tariff 11 (the standard residential plan), your average daily rate jumped around 3.8%. It may sound minor on paper, but here in the tropics — where air conditioning runs almost year-round — that cost adds up fast.
2. Solar Feed-in Tariffs (FiTs) Dropped Dramatically
Here’s the real sting: the rate Ergon pays you for exporting your excess solar has dropped from 12.377 cents per kWh to just 8.66 cents. That’s nearly a 30% reduction.
So while you’re still generating clean power, you’re now earning far less for any solar you send back to the grid.
Why Did the Solar Feed-in Tariff Drop So Much?
It’s frustrating, absolutely. But there are some logical reasons behind the changes — and understanding them helps us pivot toward a smarter strategy.
🔌 Rising Network Costs
Part of your energy bill goes toward maintaining poles, wires, and substations — and in regional areas like Cairns, these infrastructure costs are rising. This pushes base electricity prices up, regardless of how much solar is on the system.
☀️ Too Much Solar, Not Enough Demand
Here’s the irony: solar has been too successful. During peak sunny hours, the wholesale market is flooded with solar power — pushing prices down, sometimes even into negative territory. Since the Feed-in Tariff is tied to these wholesale prices, your exported solar is now worth less to the grid.
So in a way, solar has become a victim of its own success.

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From “Solar Saver” to “Solar Squeeze” in Cairns
If you installed solar in the last 5–10 years, you probably enjoyed high FiTs, low bills, and great returns. But with these new rules?
That dynamic has flipped.
Let’s say your solar system generates lots of power during the day, while you’re at work. You send that unused energy to the grid and get paid just 8.66c/kWh. Then, when you get home and turn on the air-con, you’re buying power back at 34c+ per kWh.
That’s like selling oranges for $1 and buying them back later for $4.
This growing imbalance means your next Ergon bill — even if you’ve got solar — could be higher than expected.
The Solution: Store More, Export Less with a Solar Battery
This is where the opportunity lies.
The value of solar hasn’t disappeared — it’s just shifted from exporting to self-consumption. And that means it’s time to talk seriously about solar battery storage.
Why Cairns Homes Need a Battery in 2025
✅ Keep Your Solar Power for When You Need It Most
Instead of selling solar at 8.66 cents, a battery stores that energy for use in the evening — when grid prices soar. This means you’re consuming your own power, not buying it back at inflated rates.
✅ Enjoy Blackout Protection During Storms
Cairns is no stranger to severe weather. A battery system with backup capability can keep your essential circuits (fridge, lighting, communications) running during a power outage — something a regular solar system can’t do.
✅ Maximise Cairns’ Sunshine
We enjoy some of the best solar conditions in Australia. A battery helps you tap into that resource more fully — storing your daytime generation and using it to power your home well into the evening.
✅ Future-Proof Against Further Tariff Changes
Feed-in tariffs aren’t going back up anytime soon. But battery tech is more affordable than ever — especially thanks to the Cheaper Solar Batteries rebates now in effect for Queensland homeowners.
Did You Know? Battery Rebates Are Now Available in Queensland
The Cheaper Solar Batteries program, launched mid-2025, offers generous government rebates for eligible homeowners. If you’ve been waiting for the right time to install a battery, this is it.
These rebates can significantly reduce your upfront costs — and combined with the new energy pricing structure, they’ve made batteries a smarter investment than ever.
Why Choose Hielscher Electrical for Your Battery System?
I know that deciding on a solar battery can feel overwhelming. That’s where my team at Hielscher Electrical comes in. We’re not just installers — we’re locals who understand what works in Cairns.
Here’s what sets us apart:
- ✅ Decades of Tropical Solar Experience
We design systems that thrive in Cairns’ hot, humid, and storm-prone conditions — using only components proven to last. - ✅ No Sales Gimmicks — Just Real Advice
We’ll assess your actual bills, listen to your energy goals, and help you understand the real return on investment. - ✅ Quality Installs, Top-Tier Support
From paperwork to performance monitoring, we handle it all — so you can enjoy hassle-free, long-term savings.
Next Steps: Beat the Tariff, Own Your Energy
Don’t wait for another bill shock to make a change. The energy market is evolving fast — and those who adapt now will reap the rewards for years to come.
At Hielscher Electrical, we’re ready to help you:
- ✓ Slash your power bills
- ✓ Increase your self-sufficiency
- ✓ Take advantage of available rebates
- ✓ Protect your home from outages
Get Started Today with a Free Solar Battery Consultation
Fill out our online enquiry form, give us a call, or swing by the shop. Let’s talk about what a tailored battery system can do for your home, your budget, and your peace of mind.
📞 Call Brenton and the team on 07 4033 0521
📍 Serving Cairns, Port Douglas, Mission Beach and the Tablelands
🌞 In Cairns, the sun is your greatest asset — make the most of it.