---
title: Energy Oversupply Could Cut Feed-in Tariffs
description: Solar panel growth could lead to a cut back in feed-in tarrifs due to oversupply issues during low demand periods reports The Guardian. Clean Energy Regulator reported a record 3.5 million solar panels installed on rooftops on Australia last year. Increase in supply to the grid could force state governments to cut feed-in tariffs because there […]
---

[Solar Trust Centre | Solar and Renewable Energy News ](https://www.solartrustcentre.com/blog)

# [Energy Oversupply Could Cut Feed-in Tariffs](https://www.solartrustcentre.com/blog/energy-oversupply-could-cut-feed-in-tariffs)

 Written by [Solar Trust Centre Team](https://www.solartrustcentre.com/blog/author/solar-trust-centre-team) | Apr 9, 2018 12:35:04 PM

Solar panel growth could lead to a cut back in feed-in tarrifs due to oversupply issues during low demand periods [reports The Guardian](https://www.theguardian.com/australia-news/2018/mar/07/feed-in-tariffs-could-be-cut-back-from-high-take-up-of-solar-power).

Clean Energy Regulator reported a record 3.5 million solar panels installed on rooftops on Australia last year. Increase in supply to the grid could force state governments to cut feed-in tariffs because there the oversupply makes this extra power “worthless”.

Here are the key takeaways:

- If the government determines that the subsidies on oversupply to the grid has no value they may cut feed-in tariffs.
- Other parties believe it would be more appropriate for the government to reform how the tariffs work to make them more cost effective.
- Another solution could be to limit output to the grid during low demand periods.

[Click here to read the full story on The Guardian](https://www.theguardian.com/australia-news/2018/mar/07/feed-in-tariffs-could-be-cut-back-from-high-take-up-of-solar-power)

[View full post](https://www.solartrustcentre.com/blog/energy-oversupply-could-cut-feed-in-tariffs)

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