STCs are a form of financial incentive for households and businesses to invest in Solar energy systems. The amount of STCs received is based on the amount of electricity the system is expected to generate over a set period of time (usually 15 years) and is calculated using a formula that takes into account factors such as the size of the system, its location, and the current market price of STCs.
Once the Solar system is installed, the owner can assign the rights to the STCs to a registered agent, who will then sell them on the open market. The value of STCs fluctuates based on supply and demand, but generally, the more Solar systems that are installed, the lower the price of STCs.
By selling STCs, Solar system owners can reduce the upfront cost of installing Solar panels, making renewable energy more affordable and accessible to a wider range of consumers. Additionally, the creation of STCs helps to support the growth of the renewable energy industry and reduce greenhouse gas emissions.
