Many Australians can get three free hours of power from today. Here's how

Households in three Australian states can now take advantage of an electricity plan offering three hours of free power every day. The new scheme, called Solar Sharer, started on Wednesday.

The offer has generated significant interest, with nearly half of Australians surveyed saying they are interested in the government-backed plan. However, experts suggest it might not be the best option for everyone.

What is the Solar Sharer offer?

Solar Sharer is a new type of electricity plan that provides free electricity during the middle of the day. Energy companies in Queensland, New South Wales, and South Australia are offering this deal starting from 1 July. A similar offer, known as the Midday Power Saver, will be available in Victoria from 1 October.

According to the energy minister, Chris Bowen, this scheme will allow more households to benefit from Australia's abundant and cheap solar energy, even if they do not have solar panels themselves. He explained that when the sun is at its brightest and electricity is cheapest, consumers should be able to save money, no matter their living situation or whether they own solar panels.

How does Solar Sharer work?

The free power period lasts for three hours daily. In New South Wales, Queensland, and Victoria, this is between 11am and 2pm. In South Australia, it is from noon to 3pm. There is a daily limit of 24 kilowatt-hours (kWh), which is enough for an average five-person household for one day. Any electricity used above this limit will be charged.

The organisation Renew, which supports sustainable living, considers this a generous limit, as most homes use between 10 and 20kWh daily. To use this offer, customers must have a smart meter installed. Homes without one can usually get one installed for free by their energy provider.

However, not all energy retailers are required to offer this deal. Smaller companies with fewer than 1,000 customers do not have to participate. The offer is also unavailable to residents in other states and territories, or those living in apartment buildings with private electricity systems.

Who will benefit from Solar Sharer?

The Australian Energy Council, representing energy companies, believes the Solar Sharer offer is most beneficial for households that have battery storage, electric vehicles, or appliances that use a lot of power and can be scheduled. People who work from home may also find it useful.

The key to benefiting from this offer is to shift as much electricity usage as possible into the free power window. For example, Renew suggests charging home batteries or electric cars during these hours. You could also program your hot water system to heat up between 11am and 2pm (or noon and 3pm in SA).

Running your heating or cooling systems during the free period can pre-heat or pre-cool your home, meaning you will use less energy later. Similarly, if your dishwasher, washing machine, or dryer has a timer, set it to run during the free hours. Electric vehicle charging can also be scheduled, though a fast charger is needed for a significant charge in three hours.

Will Solar Sharer lower my energy bills?

This scheme is not guaranteed to be the cheapest or best energy plan available. It is part of a standard offer system, meaning it sets a benchmark rather than competing on price. Energy companies might charge higher rates for electricity used outside the free hours to cover their costs.

Energy Consumers Australia supports the scheme but stresses that governments and retailers must be clear about the trade-offs. Customers need to understand that while they get free energy during the day, they might pay more at other times. Consumer groups warn that some people might sign up thinking their bills will decrease, when the opposite could happen.

Independent energy consultant Tim Forcey suggests that simply running household appliances during the day might not be enough to see savings. He advises people to check if they can truly get value during the free period, as higher charges later in the day or lower rates for solar energy sent back to the grid could negate any benefits.

However, the regulator points out that if enough people shift their energy use away from peak times to the middle of the day, it could lead to broader cost savings for the entire electricity grid. This shift would reduce the need for expensive new power plants and infrastructure to meet demand during the evening peak, ultimately lowering costs for all consumers.

How else can I save money on energy bills?

Many energy providers already offer plans with free or discounted power periods. For example, GloBird Energy has plans for those with home batteries or electric vehicles, including a 'Four4Free' option for four hours of free electricity daily. AGL also has a 'Three for Free' plan, which started in South Australia in 2025.

Companies say these plans give customers more control to lower their bills by using or selling energy when it is most valuable. The energy regulator advises consumers to compare plans regularly and check their bills to ensure they are on the best deal. Retailers are required to inform customers if a better plan becomes available.

Government websites in Australia and Victoria offer comparison tools to help people find the cheapest energy deals. With many retailers updating their plans after 1 July, it is a good time for consumers to review their options.