STC financial incentives for solar power systems will not be quite as generous in the future

As a matter of fact, they are gradually reducing every year until they drop out altogether in 2030. Why?

Small-scale Technology Certificates (STC) are currently used to reduce the purchase price of your new Solahart system, and can often save you thousands of dollars. The number of certificates created will vary based on:

  • the size and model of the solar water heater or PV system you choose
  • the location of the installation (or zones)
  • the amount of electricity in megawatt-hours (MWh) the system will generate over what is known as a deeming period (15 years for PV and 10 Years for Solar Hot Water) or 2030 – whichever comes first:

    • For a solar hot water system, each STC represents 1 megawatt-hour (MWh) of electricity displaced over a 10 year period or until 2030.
    • For a solar power system, each STC represents 1 megawatt-hour (MWh) of renewable electricity produced over 15 years or until 2030.


The STCs produced by the installation of a Solahart system can be traded and sold on the open market, or your local dealer can exchange them at a discounted price of your system to the current value of STCs. This saves you the hassle of dealing with the certificates post-purchase and reduces the initial capital outlay required.

Solahart Solar Power Systems

The deeming period for certificates is 15 years or 2030, whichever occurs first

This means that the deeming period will be reduced each year until we reach 0 in 2030.

For example, a 6kW Solahart solar power system installed in zone 3, is currently entitled to 82 certificates. The current rate of STCs is $36 per STC, which means that until 31st December 2021, the cost of the purchase of the system is reduced by $2,952 – which is a great incentive.

After 1 January 2022, this amount will reduce to $2,664.

If you are still unsure if now is the time to go solar, the following table should help you understand what will happen over the next few years and how it will affect the overall cost of making the switch to solar.

Going solar is a decision that perhaps shouldn’t be left until the last moment, also considering that the value of STCs may also change in the future. (Currently $36). 

 System Size

Deeming Period

Example
6kW System (zone 3)
Total STC Certificates

@$36/STC
(Zone 3)

Example
6.6kW System (zone 3)
Total STC Certificates

@$36/STC
(Zone 3)

From 01 /01/2021

10 Years

82

$2,952

92

$3,312

From 01/01/2022

9 Years

74

$2,664

82

$2,952

From 01/01/2023

8 Years

66

$2,376

73

$2,628

From 01/01/2024

7 Years

58

$2,088

64

$2,304

From 01/01/2025

6 Years

49

$1,764

55

$1,980

From 01/01/2026

5 Years

41

$1,476

46

$1,656

From 01/01/2027

4 Years

33

$1,188

36

$1,296

From 01/01/2028

3 Years

24

$ 864

27

$ 972

From 01/01/2029

2 Years

16

$ 576

18

$ 648

From 01/01/2030

1 Year

8

$ 288

9

$ 324

After 31/12/2030

Nil

0

$ 0

0

$ 0

These are indicative figures based on the number of certificates @ $36 per certificate.  STCs are variable and subject to change and correct as at 1/11/2021.

Solahart Solar Water Heaters

The deeming period for certificates is 10 years or 2030, whichever occurs first.

This means customers wanting to purchase either solar water heaters or heat pumps can still get full STC incentives until 2022.