Financial Incentives:  The solar rebate explained

Solar PV systems attract financial incentives based on their size and location as legislated in the RET scheme (Renewable Energy Target). The scheme is available for both commercial and residential customers.

Systems up to 100 kW qualify for Small-scale Technology Certificates (STCs), also commonly referred to as the solar rebate. This is the main incentive for residential and small commercial solar installations. It is a once-off rebate that reduces the out-of-pocket cost for the system owner. Since its introduction in 2010, the STC rebate scheme has been extremely successful and lead to rapid uptake of solar PV in Australia. The rebate is itemised on our quotes and invoices for maximum transparency.

Systems above 100 kW are eligible for Large-scale Technology Certificates (LGCs). To become eligible for LGCs, the system must be registered as a power station with the Clean Energy Regulator. Once the system is online and producing energy, the LGCs are typically traded in regular intervals (monthly, quarterly or yearly) and create a recurring revenue stream for the system owner. The amount of LGCs is depending on the electricity output of the system. A simple rule of thumb is 1 LGC per 1 MWh of solar output. DNX Energy is a registered agent with the Clean Energy Regulator and trades the LGCs for our customer base. The value of the LGCs is determined in a market-based mechanism and spot prices vary from day to day. In the year 2024 the average LGC spot price was ranging from AUD $40 to $58. This equates to an average earning of around AUD 5 cents per kWh of energy produced in addition to the cost savings that the system is generating by offsetting grid energy usage.

How much financial support do I get from STCs?

STC rebate calculatorThe value of the STCs varies depending on supply and demand in the market, just like a stock or commodity. The amount of STCs or the STC entitlement also depends on the geographical location of the installation. For example, the entire area around Perth including Mandurah, Bunbury, Margaret River and in the North up to Lancelin is classified as Zone 3. Geraldton is in Zone 2 and receives more STCs. Less sunny places, such as Melbourne, are in Zone 4 and receive slightly fewer STCs.

At the time of writing, STCs are worth $38 per certificate. By multiplying the STC entitlement with the STC price, the total amount of STC rebate can be calculated.

DNX Energy handles all the STC rebate paperwork electronically on behalf of our clients so they pay a reduced amount for their solar systems.

System size STC price 2024 STC entitlement* Total 2024 STC rebate** 2025 STC entitlement* Total 2025 STC rebate**
3 kW $38 29 $1,102 24 $912
5 kW $38 48 $1,824 41 $1,558
6.6 kW $38 63 $2,394 54 $2,052
10 kW $38 96 $3,648 82 $3,116
15 kW $38 145 $5,510 124 $4,712
20 kW $38 193 $7,334 165 $6,270
30 kW $38 290 $11,020 248 $9,424
40 kW $38 386 $14,668 331 $12,578
60 kW $38 580 $22,040 497 $18,886
100 kW $38 967 $36,746 829 $31,502

*Zone 3: Perth, Mandurah, Bunbury, Margaret River, Augusta, Lancelin etc.

**Please note: STC prices are subject to change. This table only serves illustrative purposes. Please contact us for a quote for current figures.