The main solar rebate program in Australia is the Small-scale Renewable Energy Scheme (SRES), which provides financial incentives in the form of Small-scale Technology Certificates (STCs) for eligible solar panel installations. The number of STCs earned depends on the size of the solar system and its location. These STCs can be sold to offset the cost of the solar system installation.

February 1, 2024by Luke0

The Small-scale Renewable Energy Scheme (SRES) was introduced in 2011 to encourage the uptake of small-scale Solar panel installations in Australia. It is administered by the Clean Energy Regulator.

Under the SRES, eligible Solar panel systems with a capacity of up to 100 kilowatts (kW) are entitled to create Small-scale Technology Certificates (STCs). The number of STCs generated depends on the system’s capacity, the location where it is installed, and the amount of electricity it is expected to generate over its lifetime.

STCs are a form of currency that can be traded on the open market. The value of each STC fluctuates based on supply and demand. Once a Solar panel system is installed and connected to the grid, the owner can create STCs for the estimated electricity it will generate over a set period, usually 15 years.

The number of STCs that can be created for a system is determined by the Small-scale Technology Percentage (STP), which is set annually by the government. The STP represents the percentage of electricity Australia aims to generate from small-scale renewable sources.

The owner of the Solar panel system can choose to keep the STCs and use them to offset their electricity bills, or they can sell them to an agent or trader in exchange for a financial benefit. The price of STCs can vary, but generally, the value of STCs decreases over time as the government gradually reduces the STP.

It’s important to note that the SRES is only applicable to small-scale Solar panel installations. Large-scale Solar projects, such as Solar farms, are not eligible for STCs and have a separate support mechanism called the Large-scale Renewable Energy Target (LRET).

Overall, the SRES has played a significant role in promoting the adoption of Solar energy in Australia, making it more affordable for households and businesses to invest in Solar panel systems.

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