The value of the STCs is determined by the market, and it fluctuates over time. The number of STCs generated by a Solar system is calculated using a formula that takes into account the system’s size, location, and the amount of electricity it is expected to generate. The more electricity the system is expected to generate, the more STCs it will create.
Once the STCs are created, homeowners and small businesses can either sell them directly to energy retailers or use them to offset the cost of their Solar system installation. The value of STCs can be significant and can help reduce the upfront cost of installing a Solar system.
It is important to note that the Small-scale Renewable Energy Scheme is separate from any feed-in tariffs or other incentives offered by state or territory governments. These additional incentives can further reduce the cost of installing Solar systems and vary depending on where you live.
Overall, the Small-scale Renewable Energy Scheme provides financial incentives for homeowners and small businesses to invest in Solar power systems, helping to increase the uptake of renewable energy in Australia.