Solar power in Australia is a relatively recent phenomenon. Currently, it has over 3,200 megawatts (MW) of installed photovoltaic (PV) solar power (February 2014), and 700 MW of PV was installed in the preceding 12 months. At a capacity factor of 14 percent, this would contribute 1.1 percent of Australia's electrical energy. The amount of installed PV capacity in Australia has increased 10-fold between 2009 and 2011. Feed-in tariffs and mandatory renewable energy targets designed to assist renewable energy commercialisation in Australia have largely been responsible for the rapid increase.
In South Australia, Premier Mike Rann introduced a solar feed in tariff for households and an educational program that involved installing photovoltaics on the roofs of major public buildings such as the Adelaide Airport, State Parliament, Museum, Art Gallery and several hundred public schools. In 2008 Premier Rann announced funding for $8 million worth of solar panels on the roof of the new Goyder Pavilion at the Royal Adelaide Showgrounds, the largest roof top solar installation in Australia, qualifying it for official "power station" status. South Australia has the highest per capita take up of household solar power in Australia.
The first commercial-scale PV power plant was opened in 2011, the Uterne Solar Power Station, a 1 MW capacity grid-connected solar photovoltaic system located 5 km south of Alice Springs in the Northern Territory. The second opened in 2012 at Greenough River Solar Farm with a capacity of 10 MW. The price of photovoltaics has been decreasing, and in January 2013, was less than half the cost of using grid electricity in Australia.