When it comes to installing an off-grid solar system, we often get asked if there are government grants or subsidies to help with the upfront costs. Unfortunately, there are no direct government grants available for off-grid systems at this time. However, there is a significant way for homeowners and businesses to reduce the cost of their off-grid systems: Small-scale Technology Certificates (STCs). Let's explore what STCs are, how they work for off-grid systems, and the role of accredited installers in the process.
What are Small-scale Technology Certificates (STCs)?
Small-scale Technology Certificates (STCs) are part of the Australian Government's Renewable Energy Target (RET) scheme, designed to encourage the adoption of renewable energy technologies like solar power. The scheme offers financial incentives for installing renewable energy systems such as solar panels, wind turbines, and solar hot water systems.
STCs are available for both grid-connected and off-grid solar systems, and the number of certificates a system can generate is based on the size of the system and its location and years of generation. For off-grid systems, the STC allocation is determined by the total size of the solar system installed, just like grid-connected systems, and the scheme is capped at systems up to 100 kW in size. Once the system exceeds this size, it transitions to creating Large-scale Generation Certificates (LGCs) instead.
How Do STCs Work for Off-Grid Solar Systems?
Although there aren’t any government grants for off-grid systems, STCs provide a way to significantly reduce the upfront cost. The key thing to know is that STCs for off-grid systems are calculated the same way as for grid-connected systems - based on the size of the solar system, location and its expected output.
Here’s how it works:
System Size and STC Eligibility: The size of your solar system plays a direct role in how many STCs you can earn. The larger the system, the more STCs it will generate. For example, a 10 kW solar system will generate more STCs than a 5 kW system. It’s important to note that off-grid systems, just like grid-connected systems, are eligible for STCs up to a size of 100 kW.
Accredited Installers: To claim STCs for an off-grid solar system, the installation must be completed by an accredited installer. Specifically, your installer must be SAA (Stand-Alone Power Systems design and install) accredited. This accreditation ensures the installer is qualified to install standalone systems to required safety and performance standards.
CEC Approved Equipment: The equipment used in your off-grid solar system, such as solar panels and inverters, must be listed on the Clean Energy Council (CEC) approved inverter and panel list. This ensures that the equipment meets high-quality standards and is eligible for STC claims.
STC Calculation: The number of STCs your off-grid solar system is eligible for is calculated based on its size and expected energy generation over time. Factors such as system location, the number of sunlight hours in your area, and the system’s output are all considered in the calculation.
Once the system is installed, the installer will ensure that the necessary documentation is captured. This includes recording serial numbers of the equipment and taking site photos, all of which need to be geo-located and submitted via an app for verification.
At MyEnergy, we ensure the entire process is handled correctly. We don’t claim STCs on your behalf, but we make sure that all the required steps - capturing equipment serial numbers, taking geo-located site photos, and submitting documentation—are completed correctly so that your system qualifies for the maximum number of STCs.
How Installers Claim STCs on Your Job
To claim STCs for your off-grid system, the installer must follow several steps to meet government requirements:
SAA Accreditation: Your installer must be SAA-accredited (Stand-Alone Power Systems Design & Install). This ensures that the installer has the training and qualifications necessary to properly design and install an off-grid solar system.
CEC Approved Equipment: All the equipment used in your system (inverters and panels) must be listed on the CEC-approved list of products. This ensures the quality of the components and that they are eligible for STC claims.
Data Capture: During installation, the installer must scan the serial numbers of all components, including the panels and inverters. They will also take site photos of the installation, ensuring that all angles of the system are documented. These photos must be geo-located (using an app) to verify that they correspond to the actual installation site and meet the requirements for claiming STCs.
Submitting the Claim: Once the system is installed and the necessary data is captured, the installer will submit the required documentation to the Clean Energy Regulator (CER). After approval, the STCs are issued, and are used as a discount on the cost of your installation.
At MyEnergy, we handle the STC process by claiming and trading them, giving you an upfront discount on your system for the value of the STCs. We ensure all necessary data is collected and submitted correctly, making the process seamless and hassle-free for you.
What Are Some Examples of STC Values for Off-Grid Solar Systems?
The number of STCs your off-grid solar system generates is based on its size. Here are some general examples of how many STCs a system might be eligible for, depending on its capacity:
2 kW Off-Grid Solar System: A 2 kW off-grid solar system could generate around 30-40 STCs. Depending on the market rate for STCs, this could save you around $600-$800 off your installation costs.
5 kW Off-Grid Solar System: A 5 kW off-grid solar system might generate around 80-100 STCs, which could mean around $1,600-$2,000 in savings.
10 kW Off-Grid Solar System: With a 10 kW off-grid solar system, you could potentially earn 160-200 STCs, equating to savings of $3,200-$4,000.
It’s important to note that the STC market rate can fluctuate, so the actual value you receive for your STCs will depend on current market conditions. But whether you opt for a small 2 kW system or a larger 10 kW system, you can expect substantial savings through STC claims, as long as the system is within the 100 kW cap.
Why Choose an SAA Accredited Installer?
To ensure your system qualifies for STCs, it’s essential that your off-grid solar system is installed by an SAA-accredited installer. The accreditation guarantees that your installer is trained to meet the rigorous safety and performance standards required for standalone systems. Additionally, an accredited installer will be familiar with the STC process and can ensure that all necessary steps—such as capturing serial numbers and taking geo-located site photos—are completed correctly.
Conclusion
While there are no direct government grants for off-grid solar systems, Small-scale Technology Certificates (STCs) offer a significant way to help reduce the cost of installation. These STCs work the same way as for grid-connected systems, with the number of certificates based on the size of your solar system. Off-grid systems are eligible for STCs up to a system size of 100 kW. Beyond that, Large-scale Generation Certificates (LGCs) come into play.
At MyEnergy, we are fully SAA-accredited and ensure that your off-grid solar system is installed to the highest standards using CEC-approved equipment. We claim and trade STCs, providing you with an upfront discount on your system for their value. To streamline the process, we collect and submit all required documentation, including serial numbers and geo-located site photos, ensuring everything is handled efficiently.
Feel free to reach out to MyEnergy to learn more about off-grid solar systems, how STCs can reduce your costs and how we ensure compliance with all necessary regulations.
