Small Scale Technology Certificates(STC’s)

What are STC’s (Small-scale Technology Certificates)?

Under the Renewable Energy Target, every megawatt hour of qualifying energy generation is eligible for renewable energy certificates (RECs).

These certificates come in two types: large and small. Small-scale technology certificates (STCs) are the ones that apply to residential solar installations.

The Small-scale Renewable Energy Scheme creates a financial incentive for individuals and small businesses to install eligible small-scale renewable energy systems such as solar panel systems, solar water heaters and heat pumps.

Under this program, if you have installed an eligible small-scale renewable energy system within the past 12 months you may be eligible to create small-scale technology certificates.

You can consider an STC as a discount voucher on the cost of installing your solar system. Depending on how big your system is, and where you live, the number of STCs you are eligible for varies and therefore the amount of your rebate varies.

How does the scheme works?

When you buy a solar power systems from Energy Rating Systems, we have already discounted this value for you in your solar quote. That’s because we take over the hassle of registering and selling the STCs on the market from you. We give you a point of sale discount based on your STCs.

On the day of installation, you assign the STCs over to us, then we complete the registration of these certificates with the Renewable Energy Regulator on your behalf and eventually recoup their value. You don’t have to wait for this to happen, we do. You get an immediate deduction in cost.

STC values and ‘zoning’ – How they affect your discount

The amount you get back from the STC scheme is based on three factors:

  • Zoning (where you live)
  • STC $$ value (which fluctuates)
  • The deeming period (which decreases each year)


Australia is divided up into various zones based on how much renewable energy can be generated by a solar panel in a given area. It works by postcode. Look up yours in this table and find out which zone you are in.

Once you have your zone, note down the ‘rating’ number:

Zone 1 – 1.622 rating
Zone 2 – 1.536 rating
Zone 3 – 1.382 rating
Zone 4 – 1.185 rating

What is the value of an STC?

The value of these STCs fluctuates depending on supply and demand. Up to now, STCs had been trading at close to their maximum value of $40 for quite some time; even though there was a consistent oversupply.

The number of years remaining until the scheme is entirely phased out

Here’s how to calculate how many STCs you are eligible for:

Solar system size (kW) x Postcode Zone Rating x Deeming Period (years) = Number of STCs (rounded down).

So, if you install a 5kW system in Adelaide in 2019, you will receive 5 x 1.382 x 12 =  82.92 STCs.

Not following? Use this handy STC calculator.

What is the amount of the “Solar Rebate”?

Using the present value of an STC which is $36.75 (as on June 2019), the rebate you would receive for the 5 kW system described earlier is approximately 82.92 x 36.75 = $3,047.31, which represents 30% – 40% of  the price of a good quality system. We provide an upfront discount on the Solar Panels for all our customers by exchanging their STCs.