What Is Community Solar?
Community solar allows multiple individuals or households to share the benefits of a single solar energy system — without needing panels on their own rooftops. Instead of installing your own solar system, you can subscribe to a portion of a shared solar farm, usually located nearby.
This model is ideal for:
- Renters
- Apartment residents
- Households with shaded roofs
- People with limited budgets for solar installation
Community solar is growing fast in Australia because it offers fairer access to renewable energy, especially in urban or high-density areas.
How Does Community Solar Work?
When you join a community solar project, you’re essentially buying into a share of a larger, centralised solar system. That system is connected to the grid, and the energy it generates is fed directly into the local network.
Here’s what typically happens:
- The solar project produces electricity and sends it to the grid.
- Based on your subscription or investment share, you receive credits on your electricity bill.
- These credits reduce how much you pay your retailer each billing cycle — without needing your own panels.
There are two common models:
- Ownership Model: You own a specific number of panels or kilowatts.
- Subscription Model: You pay a monthly fee and receive bill credits based on performance.
This setup makes clean energy more flexible, affordable, and inclusive.
Benefits of Community Solar
Community solar projects come with a long list of advantages — both for individuals and the broader community:
✅ Accessibility
You don’t need to own a home or have the perfect roof to participate. Even if you move, some projects let you transfer your subscription or continue receiving credits.
✅ Cost Savings
Because you benefit from energy generated by a large-scale solar array, your electricity bill can go down without the upfront cost of buying panels.
Some programs even offer no-upfront-cost subscription models — making solar accessible to low-income households.
✅ Environmental Impact
You’ll reduce your carbon footprint by using clean, renewable energy instead of fossil fuels. Every kilowatt counts in fighting climate change.
✅ Local Job Creation and Economic Impact
Community solar farms often bring jobs to local trades, keep profits within the community, and support small-scale developers.
✅ Shared Ownership & Community Engagement
Being part of a shared energy system encourages a sense of local empowerment, especially when the project is community-led.
Community Solar in Australia
Australia has been a global leader in rooftop solar, but community solar is quickly gaining ground — especially as housing diversity increases.
Notable projects include:
- Goulburn Community Solar Farm (NSW) – One of Australia’s first fully community-owned solar farms
- Repower Shoalhaven (NSW) – Focused on local investment and clean energy education
- Mount Alexander Community Enterprise (VIC) – Combines solar, education, and economic inclusion
These projects are often supported by local councils, community groups, and private investors, showing that community solar is a truly collaborative effort.
Challenges and Considerations
Like any energy project, community solar isn’t without challenges. Here are a few key considerations:
📜 Regulatory Framework
In some states, regulations make it harder to share solar credits or connect large community systems to the grid. Supportive policy changes can unlock faster growth.
💰 Upfront Investment
Although community solar can be cheaper than rooftop systems, some projects still require a modest initial contribution — which may be a barrier for low-income participants unless subsidies are in place.
🤝 Stakeholder Coordination
Setting up a community solar project involves many parties: local councils, retailers, developers, and community members. Successful projects require strong governance and long-term commitment.
Joining Steps
Thinking about joining or starting a community solar project? Here’s how:
- Look for existing programs in your area by checking with local councils, community energy groups, or your electricity retailer.
- Sign up for updates from national initiatives like Community Power Agency or Solar Citizens, who support community-led energy across Australia.
- Consider forming or joining a cooperative. If there’s no project in your area, community solar co-ops are a great way to start small and grow interest locally.
- Talk to your network. Many successful community solar farms started with neighbours sharing an idea at a BBQ!
FAQ: Community Solar Projects
Q: Do I need to install anything on my home to join a community solar project?
A: No — the solar panels are installed at a shared location. You don’t need to modify your home in any way.
Q: How much can I save?
A: It depends on your location, share size, and energy usage, but many participants save 5–25% on their electricity bills.
Q: What happens if I move?
A: Some projects allow you to transfer your subscription or credits to your new address (as long as it’s in the same electricity network).
Q: Is community solar the same as a Virtual Power Plant (VPP)?
A: Not quite. A VPP connects home batteries into a central system to trade energy. Community solar is focused on shared solar generation, though some hybrid projects are emerging.