Confused about the changes to the Solar Bonus Scheme?
Solar Australia can help.
Government incentives still exist and you still have plenty of viable options for solar power.
What do these changes mean for new customers?
Customers who are looking to invest in solar for the first time are encouraged to call Solar Australia because despite the closure of the Scheme, there are still Net metering options available.
Change to the Federal Government upfront discount
It was also announced last week that the upfront discount provided by the Federal Government through the RECs will now have a multiplier of 3 rather than 4 from July 1, 2011. This means your upfront discount will be slightly reduced. We encourage you to get a free quote and be pleasantly surprised by our prices!
Solar is still available and viable!
Solar power with Nett metering is a great way to beat your power bill and we look forward to showing you how to get started! For further details click here to visit the Government’s FAQ.
Pricing – Solar Credits
READ ON TO FIND OUT HOW RECS can work for you.
If the system is installed between 9 June 2009 and 30 June 2011, the home owner will receive five times as many RECs as under the deeming arrangements for the existing Renewable Energy Target Scheme.
The multiplier reduces to three for systems installed from 1 July 2011 and continues to reduce each year until it has phased out to the standard multiple of 1 from 1 July 2013.
Under the existing Renewable Energy Target Scheme. System owners can receive RECs for the lifetime generation of the system either upfront or over longer time periods of one, five or (in the case of solar PV systems) fifteen years (“the so-called ‘deeming period”).
To assist with administrative efficiency and for maximum upfront assistance, the additional Solar Credits will only apply in the first time period that certificates are created for a system.
This means that home owners can receive the full lifetime benefit of the solar system upfont at point of sale, helping with the upfront costs of installing the system.
RECs Defined
A renewable energy certificate (REC) is a commodity in the REC market. RECs are created by eligible parties and sold to liable parties via the REC Registry to meet their liability under the Renewable Energy Target (RET). More information about Australia’s RET and the RECs market is available at the Office of Renewable Energy Regulator.
The level of subsidy will depend on a number of factors, including the price of Renewable Energy Certificates (RECs), the deeming period chosen by the applicant, the location of the solar PV system and the size of the system.
A solar PV system in Sydney, Perth, Adelaide, Brisbane or Canberra will receive a higher rate of RECs than a system installed in Melbourne or Hobart that will receive fewer RECs as these areas have less sunshine so less renewable energy is produced.
RECs Example
The RECs multiplier of x3 is limited to systems up to 1.5kW & for every level above 1.5kW you will receive a multiplier of x1. This does not include GST.
For example a 2.1kW system receives 43 RECs calculated as follows:
| 1.5kw = 31 RECs x $40 x 3 = | $3720 |
| Remaining = 12 RECs x $40 x 3 = | $1440 |
| $5160 |