Should I go solar or switch electricity plans first?

In most cases, switch first. Moving to a cheaper plan is free and takes effect in days, so it captures savings immediately. Solar is a larger long-term saving but needs upfront capital and pays back over years. The smart play is usually to switch now and add solar when it suits — they stack.

How do you compare the two fairly?

We line up the annual saving from switching (the gap between your plan and the cheapest on the market, from the Reference Price Index) against the annual saving from solar (self-consumption value minus forgone exports, from the payback calculator). Where the live per-zone price or feed-in figure isn’t verified yet, we show a being-verified state rather than a made-up comparison.

Can switching plans actually beat solar?

In year one, often yes — because switching is instant and costs nothing, while solar is still paying back its install cost. Over the full life of a system, solar typically delivers the larger total saving for suitable homes. The point is you don’t have to choose: switch for the quick win, then invest in solar.

Does this work if I rent?

Switching plans works whether you own or rent. Solar generally needs owner approval, so for renters the immediate lever is almost always the plan switch — start there.

Solar vs switching electricity plans

Before you spend thousands on solar, it’s worth knowing what a free plan switch would save. This page weighs both honestly — the instant, zero-cost saving from switching against the larger, slower payback from solar — using our electricity Reference Price Index alongside solar payback maths.

Check what you’re overpaying now

Compare your current rate against the regulated reference price and the cheapest plan on the market. If you’re well above it, switching is free money you can capture this week.

Estimate what switching would save

The gap between your plan and the cheapest available — annualised — is your switching saving. It takes effect almost immediately, with no upfront cost.

Estimate what solar would save

Solar saves by offsetting power you’d otherwise buy, minus the export you give up at your feed-in tariff. It has an upfront cost and a payback period measured in years.

Sequence them — they’re not either/or

For most homes the order is: switch first (instant, free), then add solar (bigger long-run saving). Doing both beats doing either alone.

The live, side-by-side comparison

The honest version of this comparison uses verified per-zone reference prices and feed-in tariffs. We’re confirming those before publishing live dollar figures here — so rather than hypothetical numbers, here’s where each input comes from:

Switching saving (vs reference price)Being verifiedReference Price Index
Solar saving (self-consumption − export)Being verifiedpayback calculator

The usual answer: do both, in order

Switching and solar aren’t rivals. Switch to a competitive plan today to stop overpaying immediately — it’s free and reversible — then invest in solar when it suits, knowing your usage and export patterns. You can compare plans now and estimate your solar rebate on the STC calculator.

Common questions

Should I go solar or switch electricity plans first?: In most cases, switch first. Moving to a cheaper plan is free and takes effect in days, so it captures savings immediately. Solar is a larger long-term saving but needs upfront capital and pays back over years. The smart play is usually to switch now and add solar when it suits — they stack.
How do you compare the two fairly?: We line up the annual saving from switching (the gap between your plan and the cheapest on the market, from the Reference Price Index) against the annual saving from solar (self-consumption value minus forgone exports, from the payback calculator). Where the live per-zone price or feed-in figure isn’t verified yet, we show a being-verified state rather than a made-up comparison.
Can switching plans actually beat solar?: In year one, often yes — because switching is instant and costs nothing, while solar is still paying back its install cost. Over the full life of a system, solar typically delivers the larger total saving for suitable homes. The point is you don’t have to choose: switch for the quick win, then invest in solar.
Does this work if I rent?: Switching plans works whether you own or rent. Solar generally needs owner approval, so for renters the immediate lever is almost always the plan switch — start there.

Leaning towards solar?

Get a no-obligation quote sized to your usage — then weigh it against a plan switch with the numbers in front of you.

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Keep reading

Electricity Reference Price Index — how far your plan sits above the cheapest.
Is solar worth it in your state?
Back to the solar hub

Reviewed by James Baker, Founder, EnergyPlans.com.au. Source data is being verified. Methodology.