Solar Scam: Lux Solar Under Investigation as Customers Claim Rip-off

Frustration has boiled over for numerous customers of a solar company, who claim they were misled and left in the dark after paying deposits for battery systems that were never delivered.

Bob Emery, a Perth resident, paid a $1,000 deposit last October for a 48kwh system, expecting it to reduce his power bills. However, after waiting a year with no progress, he requested a refund, which was unsuccessful. "There are cowboys out there that are ripping people off and it is just not good enough," Mr Emery said.

Investigation underway

Lux Solar, the company in question, is under investigation by Queensland's Office of Fair Trading. This comes after multiple customers raised concerns about the company's conduct, with some claiming they were charged for deposits to install battery systems under the federal government's Cheaper Home Batteries Program that were never delivered.

The program has led to unprecedented demand, with over 530,000 batteries installed since July 2025, and estimated costs of more than $7.2 billion over four years. However, this surge has also led to a spike in complaints to federal and state watchdogs.

Complaints on the rise

The NSW energy and water ombudsman reported that complaints in their jurisdiction had doubled since last year. The Australian Competition and Consumer Commission has several investigations underway, and South Australia has announced a crackdown on "dodgy solar companies".

Consumer advocate and CEO of the Consumer Policy Research Centre, Erin Turner, has called for greater regulation. "That's really potentially misleading and I hope a regulator looks at it because that's a part of the consumer law where we can see really significant court actions with fines of up to $100 million," Ms Turner said.

Customers left in limbo

Mr Emery is not alone in his frustration. Brisbane man Justin Albin and his Queensland work colleague also waited about a year after paying deposits to Lux Solar last October. Despite assurances from the company, they have yet to receive their solar batteries.

Lux Solar has continued to advertise itself as an "approved seller" on its website, despite the Clean Energy Council requesting that wording be removed. The company was kicked out of the voluntary industry-run consumer protection scheme, the New Energy Tech Consumer Code (NETCC), for "major failures," including continuing to take payments without showing it could deliver the systems.

Regulatory action

Under Australian consumer law, products like solar batteries must be supplied within a reasonable time or customers can seek a refund. Individuals who fail to supply them can be fined a maximum of $2.5 million, while for a company, the penalties can be significantly higher.

Consumer Protection WA said impacted customers should contact them, and this year it had conciliated cases and investigated matters involving solar and battery companies. Lux Solar was also fined $25,000 after a Workcover WA investigation found it had failed to insure and did not comply with an inspector.