The government isn’t filling you in on an important fact, although government solar panel rebates are over, there are still dozens of great incentives available for you when you switch to solar energy. If you buy a solar system today, it is subsided by a government scheme worth about $700 per kW installed. That's around $3,500 off a typical 5kW system.
But what most people aren't aware of is that the dollar value of this 'solar rebate' could plunge at any time if demand for solar systems suddenly increases and the STC decrease in value..
Affordable Renewable Energy
The rebate that is not officially a rebate!
To make things confusing, the current "Rebate" for anyone buying a solar system of up to 100kW is called the STC program. Which stands for Small-scale Technology Certificate. The government says that this should not be called a "solar rebate".
From the Clean Energy Regulator website:"Under the Small-scale Renewable Energy Scheme the reduction in the cost of your solar panel is not a rebate. You will not qualify for any Government-based financial recompense at the completion of any process relating to STCs."I think what our bureaucratic friends are trying to get across is that the thousands of dollars you get off your solar system price (usually by assigning the rights to its STC certificates to your installer) does not actually come from the government.
Small Scale Technology Certificates
Small Scale Technology Certificates (STC’s – previously known as REC’s) are available and will help to offset the upfront cost of any renewable energy component in your system.
These certificates are essentially carbon-offset shares, meaning that the more renewable energy that is installed, the more carbon is offset, and the more STCs it is eligible for and the larger your rebate will be.
A single STC equates to roughly 1 megawatt hour (MWh) of carbon intensive electricity that has been displaced over the life of your system.This can typically equate to an upfront discount of between $1000 – $13,000 depending on the size of the solar array that is installed as part of your standalone system.
Depending on your location in NSW, you can actually be paid up to 12c kWh for the electricity your solar panels generate. After your grid-connected solar panels have been installed, excess energy produced by them will be fed back into the grid. You can actually receive a credit on your account which is great for business when not using power over the weekend. If you produce more energy than you consume, you’ll actually be paid for it!
Government Rebates (unofficial)
Yes, many programs have changed, but there are still countless ways to take advantage of state-funded renewable energy schemes.
They are designed to help businesses and homeowners get renewable energy by reducing their financial commitments.