Learn about the government's Solar Sharer scheme and other free electricity plans in Australia. Find out if you're eligible and what to consider.
Published on 04/12/2025
By Pallav Verma
Electricity Comparison
The idea of getting something for free always sounds appealing, and when it comes to a major household expense like electricity, it's even more enticing. The federal government has proposed a scheme, and some retailers currently offer plans that include periods of free electricity. But how do these plans work, and are they really as good as they sound?
This article will explain the proposed "Solar Sharer" scheme and other free electricity plans currently available. We'll break down who is eligible, how to sign up, and what you need to consider before making the switch. By understanding the details, you can determine if one of these plans could help you reduce your energy bills.
Australia is a world leader in rooftop solar, which means that on sunny days, our energy grid often has a surplus of solar power, especially during the middle of the day. This abundance can drive wholesale electricity prices down to very low, sometimes even negative, levels.
To make use of this excess energy and help stabilise the grid, some electricity providers are offering plans with free power periods. The goal is to encourage households to shift their energy-intensive activities—like running the washing machine, dishwasher, or air conditioner—to these off-peak times.
From July 2026, the federal government has proposed to retailers in certain states to offer a "Solar Sharer" plan. This scheme is designed to give more Australians access to cheap renewable energy, regardless of whether they have solar panels themselves.
The proposal includes a requirement that retailers offer customers a plan that includes at least three hours of free electricity per day. This free period will occur during the middle of the day when solar power generation is at its peak. minister.dcceew.gov.au
By encouraging energy consumption during these hours, this is intended to help reduce strain on the grid during evening peak times and minimise the need for expensive network upgrades.
The initial rollout of the Solar Sharer scheme will be available to households in:
These regions are regulated by the Australian Energy Regulator (AER) under the Default Market Offer (DMO). The government has indicated it will consult with other states to potentially extend the offer to other areas by 2027. dcceew.gov.au
To be eligible, you will need to have a smart meter installed at your property (Exact eligibility criteria may change once the scheme is finalised). You must also proactively sign up for a Solar Sharer plan with your electricity provider; it won't be automatically applied to your account.
Yes, several electricity providers already offer plans with free electricity periods, independent of the government's upcoming scheme (Plans vary by location and availability). These plans can be a great way to start saving now if you're eligible. Here are a few examples:
OVO Energy offers a plan called "The Free 3," which provides customers with three hours of free electricity every day. This free period is from 11 a.m. to 2 p.m. and is available to customers with a communicating smart meter. (based on publicly available information)
AGL’s ‘Three for Free’ offer has included plans that give customers in South Australia the option to enjoy three hours of free electricity on a selected day each week. These plans generally require a compatible smart meter, and the specific features can differ depending on the plan details and availability in the area.
EnergyAustralia has trialled offers such as ‘Free Saturdays,’ giving customers in New South Wales the chance to use electricity at no charge for the full day on Saturdays. This was a trial program and may not be available at the moment. Eligibility has typically included being on a participating plan and having a compatible smart meter.
For the most up-to-date details, it’s best to check the retailer’s current Energy Fact Sheet.
Free electricity sounds like a straightforward benefit, but there are important factors to consider before you switch to one of these plans. Making an informed decision will help you maximise potential savings and avoid any unexpected costs.
To get the most value from these plans, you must be able to shift a significant portion of your energy consumption to the free period. This means running appliances like your dishwasher, washing machine, clothes dryer, and pool pump during the designated hours. If your lifestyle doesn't allow for this flexibility, you may not see substantial savings.
Some energy experts caution that the cost of the "free" electricity might be shifted to other times of the day. Retailers could potentially charge higher rates during morning and evening peak periods to offset the free midday power. It’s essential to compare electricity rates for all time periods, not just focus on the free offer. Always check the plan's Energy Fact Sheet for a detailed breakdown of the electricity tariffs.
Even when your electricity usage is free, you will still need to pay a daily supply charge. This is a fixed daily fee that covers the cost of connecting your property to the electricity network. These charges are not covered by free usage offers and will appear on your bill regardless of when you use power.
All free electricity plans require a smart meter. A smart meter is a digital device that records your electricity usage in 30-minute intervals, allowing your provider to bill you accurately for different time-of-use tariffs. If you don't have one, you can request an upgrade from your retailer, though a fee may apply.
A free electricity plan could be a great fit if you can be flexible with your energy use. Households with stay-at-home workers, retirees, or those who can program their appliances to run during the day are likely to benefit the most.
However, if you're primarily at home in the evenings and on weekends, a standard plan with a lower overall usage rate might be a more cost-effective option. The key is to compare power prices and plans based on your specific usage patterns.
With electricity prices constantly changing, it's wise to review your options regularly. Whether you're interested in a free electricity plan or simply want to ensure you're on a competitive rate, comparing providers is the first step.
At electricityprovider.com.au, you can compare electricity plans available in your area from our panel of participating retailers. While we don’t list every free-energy offer on the market, OVO Energy is the only retailer on our platform currently offering a free-energy plan (as of Nov 2025).
Our comparison tool gives you clear, easy-to-understand options so you can review what’s available and decide which plan aligns with your needs.
Disclaimer: This information is general only and not financial advice. Plan availability and eligibility vary by retailer and location. Plan details are based on information available at the time of writing and may change. Always refer to the retailer’s Energy Fact Sheet. Savings depend on your energy usage and may not apply to all households.
