Small-scale Technology Certificates (STCs): These are tradable certificates created for every megawatt-hour of electricity generated by small-scale renewable energy systems, including solar panel systems. The number of STCs received depends on the size of the system and its location. STCs can be sold to electricity retailers or brokers to provide a financial benefit to the system owner.

February 24, 2024by Luke0

STCs were introduced as part of the Australian Government’s Renewable Energy Target (RET) scheme, which aims to increase the generation of electricity from renewable sources. By creating a market for STCs, the scheme incentivizes the installation of small-scale renewable energy systems by providing a financial incentive to system owners.

STCs can be traded on the open market, with their value fluctuating based on supply and demand. Electricity retailers are required to purchase a certain number of STCs each year to meet their obligations under the RET scheme. This creates a demand for STCs, which helps to support the market for small-scale renewable energy systems.

The value of STCs can provide a significant financial benefit to system owners, helping to offset the upfront cost of installing a Solar panel system or other renewable energy system. This can make renewable energy more affordable for homeowners and businesses, encouraging more widespread adoption of clean energy technologies.

Overall, STCs play a key role in incentivizing the growth of small-scale renewable energy systems and reducing greenhouse gas emissions from the electricity sector. By creating a market for STCs, the RET scheme helps to support the transition to a cleaner, more sustainable energy system.

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