The SRES is a federal government scheme that provides a financial incentive in the form of Small-scale Technology Certificates (STCs). These certificates can be traded and sold to help offset the upfront cost of installing a solar power system. The number of STCs received depends on the size of the system and the location of the installation.

January 19, 2024by Luke0


The Small-scale Renewable Energy Scheme (SRES) is an Australian government initiative aimed at encouraging the adoption of small-scale renewable energy systems, particularly Solar power systems. Under this scheme, individuals and businesses that install eligible small-scale renewable energy systems, such as Solar panels, can create STCs for each megawatt-hour of electricity the system is expected to generate over a set period (usually 15 years).

The number of STCs that can be created depends on several factors, including the size of the system and the location of the installation. The amount of electricity the system is expected to generate is also taken into account. The more renewable energy the system is projected to produce, the greater the number of STCs it can create.

Once the system is installed and operational, the owner can create the STCs associated with the system. These certificates can then be sold or traded on the open market to electricity retailers or other entities with a legal obligation to surrender a certain number of certificates each year. The revenue generated from selling STCs can help offset the upfront cost of installing the Solar power system, making it more financially viable for individuals and businesses.

The value of STCs can fluctuate based on market demand and supply. The market price is determined by factors such as the demand for renewable energy certificates, government policies, and market forces. The price per STC is typically lower than the upfront cost of the Solar power system, but the cumulative value of all the certificates can still significantly contribute to reducing the overall cost of the installation.

In summary, the SRES provides a financial incentive for the installation of small-scale renewable energy systems by issuing STCs for each unit of electricity generated. These certificates can be traded and sold to help offset the upfront cost of installing a Solar power system, making renewable energy more accessible and affordable for individuals and businesses.

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