2018 is an important year in the solar market for two main reasons:
- The subsidy will decline in 2018
- The subsidy will no longer be available for replacement solar panels
Now is the best time to install solar for the subsidy. Selecting a good quality solar panel is increasingly important because the subsidy will no longer be available if any solar panel needs replaced.
Subsidy Decline in 2018
The total amount of subsidy you can receive for an eligible system is based on the size and location of the system, as well as the “Deeming Period”. In simple terms the Deeming Period value is how many years between the current year and 2031. So, 2031 – 2017 = 14 years, which is the current Deeming Period.
For Perth the calculation may look like the below:
*STC values are subject to fluctuation and subsidies may vary per individual install and depending on processing fees etc.
The Deeming Period will decrease by 1 each year until 2031, which is when the current Small-scale Renewable Energy Scheme will end. In dollar terms this represents a decrease of around $325 per year for a 6.5kW system in the Perth area. Below are indicative subsidies for a 6.5kW system
* The above are general examples only. An accredited desinger should assess the eligible subsidy for your individual system.
SOURCES:
Replacement Panels
The Australian Government’s Clean Energy Regulator has announced they will no longer be issuing STCs for replacement panels installed on existing systems.
The reasons are mostly related to unethical solar companies who:
- take chances installing very cheap low-quality panels, knowing that they could claim the subsidies on replacement panels if the original panel started failing DURING the warranty period
2. install cheap panels, knowing that they could claim the subsidies if the panel started failing AFTER the warranty period. (sometimes even making a profit from the owner)
3. convincing owners to replace good quality panels with low quality panels, and taking the “old” panel away and claiming the STCs, then charging another customer for the “old” solar panel and claiming the subsidy again
Eligibility scenarios
The scenario examples below will help you to determine your system’s eligibility for small-scale technology certificates. These scenarios cover the most common types of installations.
Original system installed
Eligible – The system must have a rating of no more than 100 kW. Panels and inverter must be on the Clean Energy Council approved products list at the time of installation. All components (including electrical elements and fixtures) must meet the current relevant standards.
Additional capacity/upgrade
Eligible – The system must have a rating of no more than 100 kW. The new panels and existing inverter must be on the Clean Energy Council approved products list, and the inverter must have sufficient capacity. All components (including electrical elements and fixtures) must meet the current relevant standards.
Additional, separate system
Eligible – The system must have a rating of no more than 100 kW. The new panels and inverter must be on the Clean Energy Council approved products list. All components (including electrical elements and fixtures) must meet the current relevant standards.
Original system replaced
Eligible – The system must have a rating of no more than 100 kW. All system components (i.e. panels and inverter) must be new (no previous claims), recorded on the Clean Energy Council approved products list at the time of installation and meet the current relevant standards (including electrical elements and fixtures).
One, some or all panels replaced
Not eligible – This scenario is ineligible because at least one major component (i.e. panel or inverter) has been used to previously claim small-scale technology certificates in the entitlement period. Applications involving one, some or all panels being replaced will still be considered for small-scale technology certificates for installations up to 31 January 2018, subject to all other requirements being satisfied.
SOURCES:
https://www.solaraccreditation.com.au/consumers/avoiding-solar-scams.html
https://www.solarquotes.com.au/blog/stc-solar-panels-mb0230/
https://www.infiniteenergy.com.au/stcs-scrapped-replacement-solar-panels/
