Solar for Perth apartments via embedded networks: how it works

A growing number of new Perth apartment buildings and mixed-use developments are built with solar generation as part of an embedded network, a private electricity network within the building that generates, distributes, and charges for electricity to residents. This is a fundamentally different arrangement from rooftop solar on a house, and it's worth understanding whether you're buying, renting, or already living in an embedded network building.

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What is an embedded network?

An embedded network is a privately operated electricity distribution system within a single property boundary, such as an apartment building, shopping centre, or caravan park. The building has one or more connection points to the main Synergy grid (the "parent meter"), and individual dwellings or tenants are connected to the private network via "child meters."

The embedded network operator (ENO), which might be the body corporate, a specialist energy company, or the building developer, manages the generation (solar), the distribution, and the billing to residents.

Why buildings use embedded networks:

• Allows the building to share rooftop or carpark solar generation across all units
• Allows the ENO to sell electricity to residents at a rate below Synergy's retail rate (while still making a margin above what they pay Synergy)
• Enables common area lighting, lifts, and facilities to benefit from on-site solar
• Can include EV charging infrastructure priced separately

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How pricing works in an embedded network

Residents in an embedded network buy electricity from the ENO, not directly from Synergy. The ENO is subject to regulation, and under the National Electricity Rules and the Australian Energy Regulator (AER), embedded network customers have certain price protections:

• Maximum Rate: The ENO cannot charge embedded network customers more per kWh than Synergy's regulated residential rate. This is called the "standing offer" protection.
• Market offers: ENOs may offer market tariffs that undercut the Synergy rate: this is the core value proposition for residents. Solar generation reduces the ENO's cost of energy purchased from Synergy, and they pass some of that saving to residents.

In practice, many Perth embedded network operators charge 20–30% less per kWh than Synergy's A1 rate. The trade-off: residents don't directly benefit from DEBS export credits (those go to the ENO who operates the metering), and they can't switch retailers (they're locked into the ENO unless they become an exempt embedded network customer with full access rights).

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How solar generation is shared

Solar panels on the roof (or carpark canopy) generate electricity. The embedded network controller allocates that generation across the building's loads:

1. Common areas first (lifts, lighting, air conditioning in common spaces)
2. Participating resident units (typically distributed proportionally or via individual time-of-use allocations)
3. Grid export if generation exceeds building-wide demand (ENO receives DEBS credits)

Different embedded network operators use different allocation models:

• Direct allocation: Solar generation is credited to individual unit meters in real-time
• Virtual allocation: Solar is credited as a discount on the unit's bill based on a proportional share of the building's total generation

In most Perth embedded networks, individual residents don't see a "self-consumption" vs "grid import" split on their bills. They see a single electricity rate that reflects the mix of solar and grid power at the building level.

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What residents should ask before signing

If you're considering buying or renting in a building with an embedded network, ask:

1. Who is the embedded network operator? Is it the body corporate, the developer, or an outsourced energy company?
2. What is the current electricity tariff? Get the per-kWh rate and supply charge in writing.
3. Is the tariff below Synergy's current A1 rate? If not, why are you in an embedded network?
4. What's the contract term? Some embedded networks have residents locked in for 5–25 years under the building's energy services contract.
5. Can you install your own rooftop solar? Usually not possible in apartments, but worth confirming for townhouses or ground-floor units with private outdoor areas.
6. Is there EV charging available? If you have or plan to get an EV, ask about the building's EV charging capacity and pricing.

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Existing embedded network residents

If you're already in an embedded network building:

Check your electricity bill structure: Your bill comes from the ENO, not Synergy. The bill should show your unit's consumption, the rate per kWh, a supply charge, and potentially a solar credit if your building has solar and passes the generation value to residents individually.

Compare the rate: Your ENO rate should be below Synergy's current A1 rate (33.26c/kWh as of 2025–26). If it's higher or similar, you have grounds to raise this with the body corporate or the Australian Energy Regulator.

Request your interval data: Under AER rules, embedded network customers are entitled to request their interval consumption data. This data can be used for tariff comparison or dispute purposes.

Embedded network protections: The AER has strengthened embedded network customer protections in recent years, including requirements for ENOs to offer a "deemed customer" arrangement that provides access to a protected standing offer price.

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Embedded networks vs rooftop solar: key differences

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Perth apartment embedded networks can deliver genuine electricity savings from shared solar, but residents are locked into the ENO as their supplier. Before committing to an embedded network property, confirm the rate is materially below Synergy A1 and understand the contract term. If you're already in an embedded network, verify your rate against Synergy's current A1, and if it's comparable, you may have grounds to seek AER review.