Solar Power Systems
Going solar is the smart way to secure a sustainable future for your family or business, and to minimise the impact of ever-increasing electricity costs.Like you, the Australian Federal & State Governments are committed to a cleaner and greener future and they are supporting your efforts to 'go solar' in the following ways:
Federal Government - Renewable Energy Targets (RETs)For Australian home-owners, this scheme assists you in the following ways:The Small-scale Renewable Energy Scheme (SRES):
This is the Government scheme to provide support for small, residential, renewable energy systems such as solar electricity (PV) panels and solar hot water systems. The scheme allows owners of solar installations to create certificates that are eventually purchased by large energy retailers through a 'green' market. These large energy retailers are legally obliged to accumulate a certain amount of certificates per year to ensure a nominated percentage of their energy generation is sourced from renewable energy.Under this scheme the Government has created:
- Small Scale Technology Certificates (STCs)
- Solar Credits
Small Scale Technology Certificates (STCs)Homeowners are eligible to create STCs if they install a solar electricity system that generates renewable energy at their home.Different solar electricity systems will be eligible to create a different numbers of STCs. The bigger and more efficient the system, the more STCs can be created.STCs can be created with the Government regulator by the owner and sold on the STC market, but typically the most practical way is for the home owner to assign the right to create their STCs to the solar power supplier or installer. This option is usually offered to you as an upfront discount on your system, which is a more attractive way to invest in solar.Solar CreditsRebates & incentives updateSolar Credits MultiplierThe Solar Credit scheme was established by the Federal Government for the purpose of providing homes, small businesses and other eligible premises with a further incentive for installing solar electricity systems.On the 16th November the Australian Government made the announcement that it will abolish the multiplier of Solar Credits and will subsequently reduce it from 2 times to no multiplier on the 1st of January 2013.The multiplier for solar credits on solar power systems has been successful in incentivising the adoption of the technology in Australia by reducing the up-front cost of a system; however the abolishment of the multiplier will mean that from the 1st November 2013 the rebate will halve, and the cost of systems may increase significantly.To read more information on the latest change to the solar multiplier click here.
Solar Feed‐in Tariffs (FiT)With a Solar Electricity system your home effectively becomes a mini solar power station. You generate your own electricity, and then sell it back to the power "grid" for use by your neighbours and other power users. The amount your power company pays you is known as a Feed-in Tariff. The state governments regulate the tariffs in their regions based on market conditions and established STC quotas.A Feed-in Tariff will allow you to save even more on your electricity bills, and may significantly reduce your payback period.Feed-in Tariffs vary from state to state within Australia and may be paid on a Net or Gross basis;Gross FiT: In this scheme ALL of the electricity generated from the renewable energy source is purchased from the customer by the power company. The customer buys back any electricity they require from the grid.Net FiT: In this scheme only surplus electricity generated from the renewable energy source is purchased from the customer by the power company.
Feed-in Tariffs may change at any time with little notice from the Government so please check the relevant state government sites or the Clean Energy Council's website for the most current information.