As demand for solar energy in Australia continues to rise, so too does the number of solar installation companies entering the market. The Australian government’s ongoing commitment to renewable energy, paired with attractive rebates and long-term electricity savings, has made solar power an increasingly appealing option for homeowners across the country.
But not all solar companies are created equal. While many are reputable, experienced, and genuinely care about customer satisfaction, there’s a darker side to the industry – one filled with operators looking to make a quick buck through misleading sales tactics, poor-quality installations, or even outright scams. In fact, consumer complaints to regulatory bodies like the ACCC and Clean Energy Regulator have grown in recent years, often revolving around unfulfilled promises, faulty systems, or hidden costs.
Whether you’re installing solar for the first time or replacing an outdated system, knowing how to spot a shady solar company can save you thousands of dollars and spare you from major headaches down the road.
We spoke to experts over at Townsville Solar Panels Solutions, who shared some valuable advice on how to avoid sketchy solar companies.
Here are the top red flags to watch out for.
1. Pushy Sales Tactics
If a salesperson is pressuring you to sign a contract on the spot, claiming a “limited time offer” or “exclusive today-only deal,” consider it a big red flag. Ethical solar providers know this is a serious investment – often ranging from $4,000 to $10,000 or more – and will give you adequate time to review your options and ask questions.
Warning signs include:
- Reps refusing to leave brochures or written quotes
- Urging you to commit before speaking to your partner or doing your own research
- Offering “massive discounts” if you sign immediately
Tip: Always get at least 2-3 quotes from different companies. Platforms like GoSolarQuotes allow you to compare vetted local installers in your area, so you’re not relying on just one source.
2. No Physical Address or Online Presence
In the digital age, any company that doesn’t have a website, Google Business listing, or clear physical address should raise suspicion. If the only contact info is a mobile number and a Gmail or Yahoo email, proceed with caution. Many fly-by-night operators appear briefly, close shop after a few jobs, and leave customers stranded with no recourse for repairs or warranty claims.
Do your due diligence:
- Look up their ABN (Australian Business Number) to verify registration
- Search for reviews on multiple platforms
- Check if they’re listed as a Clean Energy Council (CEC) approved installer
A credible solar company will be transparent and easy to find online, with real customer testimonials, a functioning website, and a local presence.
3. Promises That Sound Too Good to Be True
“Free solar systems.” “Zero electricity bills forever.” “Make thousands selling power back to the grid.”
These claims may sound appealing – especially when paired with slick marketing and smiling salespeople – but they’re often misleading. While it’s true that solar panels can drastically reduce your energy bills and some households benefit from feed-in tariffs, nothing in solar is truly “free.”
Most “free” systems are tied to long-term lease agreements, hidden fees, or require you to sign over government rebates and STCs (Small-scale Technology Certificates) that would otherwise benefit you.
Reality check:
- A well-sized solar system should reduce your power bill by 50-80%, not eliminate it
- Feed-in tariffs have decreased in most states over the past few years
- You’ll still rely on grid power during the night unless you also invest in battery storage
Always ask for a full breakdown of costs, expected savings, and system performance – and take the time to compare with what others in your area are experiencing.
4. Poor-Quality Panels or Unclear Product Info
Another common tactic is quoting an attractive price, but installing cheap, unbranded solar panels or inverters that may degrade quickly or fail outright. A good solar company should be upfront about the brand, model, efficiency rating, and warranty terms of every component – from the panels to the inverter and mounting system.
What to look for:
- Recognised panel brands like Jinko, Q Cells, REC, Trina, SunPower
- A minimum 10-year product warranty and 25-year performance warranty
- Inverters from trusted manufacturers like Fronius, SMA, Huawei, Enphase
Be especially wary if the installer avoids giving you this information or downplays your questions about system specs. The performance and lifespan of your solar system depend heavily on the quality of the components used.
5. Subcontracted, Unlicensed Installers
Just because the company itself is CEC-accredited doesn’t mean the installer is. Some companies win your trust with professional sales reps but then subcontract the actual installation to low-cost, less-qualified crews – or worse, workers without the proper licensing.
Why this matters:
- Incorrect installation can damage your roof or void your home insurance
- You may not be eligible for rebates unless a CEC-accredited installer does the job
- Poor workmanship can lead to reduced efficiency or even fire risks
Ask directly: “Will a CEC-accredited installer be onsite during the installation?” Then request their full name and accreditation number for verification.
6. Vague or Missing Paperwork
Legitimate solar companies provide transparent and detailed documentation at every stage: from initial quotes to post-installation warranty information. If you’re not given a formal contract, datasheets, or warranty terms upfront, consider that a serious warning sign.
You should receive:
- A written quote with exact system specs and pricing
- Product datasheets for panels, inverters, and mounting gear
- Warranty documents and terms of service
- A clear explanation of the cooling-off period
- Information on after-sales support and maintenance
Also, check if the contract includes a clause about who is responsible for monitoring and maintaining your system – this can affect your long-term returns.
7. Bad or No Reviews
Before signing any contract, check the company’s reputation. A few negative reviews are normal, especially for larger businesses – but a pattern of poor reviews or unresolved complaints is a major red flag. If you can’t find any reviews at all, that may also indicate the company is new, untested, or trying to hide past issues under a different name.
Where to check:
- Google Reviews
- ProductReview.com.au
- Trustpilot
- GoSolarQuotes (for vetted solar providers)
Take time to read the reviews carefully. Are there recurring themes, such as missed installation dates, system failures, or poor customer service? That’s a strong signal to move on.
Final Thoughts
Going solar is a smart move – both financially and environmentally – but only when done with the right partner. Choosing the right installer is just as important as choosing the right solar panels. Don’t fall for flashy offers or high-pressure sales. Take your time, do your homework, and trust your instincts. If something feels off, it probably is.
The good news? There are hundreds of reliable, experienced solar professionals across Australia who take pride in their work and prioritise your long-term satisfaction. Platforms like GoSolarQuotes
