Under the SRES, eligible solar panel installations receive small-scale technology certificates (STCs), which can be traded and sold to offset the upfront cost of the system. The number of STCs received depends on the size of the system and the location, with more STCs awarded for systems in areas with higher solar radiation.

March 21, 2024by Luke0

STCs are created and issued based on the expected generation of renewable energy over a 15-year period. The number of STCs that can be created for a Solar panel system is determined by the Clean Energy Regulator and is based on the system’s capacity, location, installation date, and the amount of electricity generated.

Once the Solar panel system is installed and commissioned, the owner can assign the STCs to a registered agent in exchange for a discount on the cost of the system. The registered agent will then either sell the STCs on the open market or use them to meet their obligations under the Renewable Energy Target scheme.

The price of STCs can vary depending on market conditions, but generally, the value of STCs decreases over time as the Renewable Energy Target requires a certain number of certificates to be surrendered each year. This means that the sooner a Solar panel system is installed and the STCs are claimed, the higher the financial benefit to the system owner.

Overall, the STC system provides a financial incentive for households and businesses to invest in Solar panel systems and helps to support the growth of renewable energy generation in Australia.

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