Photo Courtesy of: Fair Solar
BRISBANE, Australia, March 05, 2025 (GLOBE NEWSWIRE) -- For many Australian homeowners, investing in solar panels is a big decision. The appeal is obvious—lower electricity bills, reduced reliance on the grid, and a step toward sustainability. However, a lingering question remains: Will the system generate as much energy as promised? With installation costs ranging from AUD $5,000 to $20,000, buyers want assurance that they will see the expected savings.
Fair Solar, an Australian solar provider, is addressing this uncertainty with a performance guarantee designed to hold the company accountable for energy production. Unlike standard warranties that cover hardware defects, this guarantee ensures that each system will generate a specific amount of electricity annually. If it doesn’t, Fair Solar will compensate homeowners for the shortfall.
“The solar industry in Australia has become highly competitive, and not all companies operate with the same level of accountability,” said Robert Nanic, founder of Fair Solar. “We want to change that by making performance guarantees a standard rather than an exception.”
Australia’s Solar Growth and Consumer Skepticism
Solar power has become a major part of Australia’s energy transition, with over 3.92 million small-scale solar PV systems installed nationwide as of September 2024. Government rebates and rising electricity costs have driven demand, making Australia one of the global leaders in residential solar adoption.
However, consumer skepticism persists. Many homeowners report uncertainty over whether their panels will generate the expected savings. According to the Australian Energy Regulator, residential electricity costs increased by 20% in 2023, putting more pressure on households to cut energy expenses. Despite the financial benefits of solar, concerns about installation quality, system reliability, and misleading energy savings estimates have slowed adoption.
Fair Solar’s performance guarantee seeks to bridge this trust gap by making energy production commitments legally binding. Homeowners will know exactly how much electricity their system should generate, and if it falls short, they will receive financial compensation.
How the Performance Guarantee Works
Fair Solar commits to a minimum production level for each installation, outlined in a contract. The company uses remote monitoring technology to track real-time energy output, allowing both homeowners and Fair Solar to measure system performance. If the system does not produce the promised amount of electricity, Fair Solar reimburses the homeowner for the shortfall.
This level of accountability is uncommon in the industry. Many solar retailers provide broad estimates of potential savings but do not offer financial compensation if the system underperforms. Some companies promote similar guarantees, but the terms are often vague or difficult to enforce.
“The difference is that our guarantee isn’t buried in fine print,” said Rob. “Homeowners will know exactly what to expect, and if their system doesn’t deliver, they will be reimbursed. It’s about accountability.”
Challenges and Industry Response
While performance guarantees offer more protection for consumers, they also present challenges for solar providers. Not all companies can afford to compensate customers if energy production falls short, leading some industry experts to question whether such guarantees will become widely adopted.
The Clean Energy Council (CEC), which oversees industry standards, has encouraged solar providers to offer more transparent policies regarding system performance. Consumer advocacy groups have also called for stricter regulations on solar sales practices to prevent misleading claims about energy savings.
Fair Solar’s strategy could push other companies to adopt similar measures. However, ensuring that performance guarantees remain financially viable will require precise energy forecasting, high-quality installations, and long-term customer monitoring.
What This Means for Homeowners
For homeowners, this initiative represents a step toward greater consumer protection. The financial investment in solar can be significant, and with government rebates gradually decreasing, buyers are placing greater emphasis on long-term value. A performance guarantee shifts some of the financial risk away from consumers and onto the provider, making solar a more secure investment.
“Our goal is simple,” said Rob. “We want solar buyers to have confidence in their investment. If a company is selling a system that doesn’t perform, the customer shouldn’t be the one taking the loss.”
With growing consumer demand for accountability, performance guarantees could become a new industry standard. Whether more providers will follow Fair Solar’s lead remains uncertain, but the move signals a shift toward greater transparency in Australia’s renewable energy sector.
Contact Information:
Name: Robert Nanic
Company: Fair Solar
Website: www.fairsolar.com.au
Email: admin@fairsolar.com.au
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/a2eaa0ea-ab51-43fa-bebc-7c24101efc48
