Rebates

What is the Solar Credits Scheme?

The federal government’s Solar Credits Scheme was introduced in July 2009 to provide generous subsidies to reduce the upfront cost of grid-connected solar power systems for everyone!

How does the Solar Credits Scheme work?

The Solar Credits Scheme provides support to households, businesses and community groups that install solar power, by multiplying the value of renewable energy certificates allocated to the solar system.

Renewable energy certificates (known as STCs, which stands for Small-scale Technology Certificates) work in the same way as share certificates, representing a specific unit of value. Electricity retailers are obligated to purchase the renewable energy certificates from small-scale systems.

The number of STCs attributed to a system is dependant on the zone - the area of Australia where the system is to be installed. In areas where there is more sunlight (and therefore more electricity produced by a solar power system), the system is allocated more STCs.

When you decide to install a solar power system, you can assign your STCs to Captain Green Solar. Captain Green then discounts the price of your system by the total value of the STCs (effectively buying them from you).

The Solar Credits Scheme was introduced to multiply the value of STCs (up to the first 1.5kW of the system’s capacity only). Therefore, the government effectively subsidises your system by ensuring that up to three times the value is deducted from the upfront cost.

For more information about Solar Credits, visit the Australian Government Office of Renewable Energy Regulator website.

How will STCs be multiplied?

Originally, the scheme was to multiply the total STC value by 5 from July 2009 to July 2012, and then decrease by one each year until by July 2015 there would be no multiplier.

However, changes announced by the government on 1 December 2010 (view media release) and again on 5 May 2011 (view media release) mean that the multiplier has been reduced 2 years earlier than previously planned.

Installation period Multiplier

1 July 2009 – 30 June 2011      Multiplied by 5
1 July 2011 – 30 June 2012     Multiplies by 3 (current)
1 July 2012 – 30 June 2013      Multiplies by 2
1 July 2013                                 No multiplier

What are installation zones?

Australia is divided into four zones based on climate. The number of STCs allocated to any solar system depends on the zone where it will be installed. This system aims to recognise locations that provide great sunlight, and therefore greater green energy capacity. Australia's major cities fall into the following zones.

Zone 1: Alice Springs
Zone 2: Darwin
Zone 3: Sydney, Adelaide, Perth, Brisbane, Cairns and Canberra
Zone 4: Melbourne and Hobart

However, a zone can include regions from numerous states.

What are Feed-in tariffs?

Feed-in tariffs may further assist the payback of your system. A feed-in tariff is a premium rate your electricity provider pays you for any surplus solar power you feed back into the grid.
The structure and rate differs between states.