Here’s the deal
You have a contract for a 6.5kW solar PV system.
The contract lists 134 STCs for a credit of $5,400.00 (rounded up). This credit comes off the cost of your solar PV system.
What is the STC calculation?
kW x location x 15 years
6.5 x 1.382 x 15 = 134.74 STCs (you then times the STC number by the market value of the STCs)
kW: The size of the solar power system.
Location: This figure is 1.382 for Perth
15 years: STC deeming period
You just need to add the market price for each certificate (we pay $40.00)
See a detailed example of the calculations here: Rebates and incentives for residential solar power
What changes in 2017?
The deeming period will start to reduce.
2017 = 14 year STC deeming period
2018 = 13 year STC deeming period
2019 = 12 year STC deeming period … etc.
For 2017, the calculation will look like this:
kW x location x 14 years x STC $$ value
Residential solar STCs
A 1.56kW system created 32 STCs in 2016. It will create 30 STCs in 2017.
The $1,280.00 discount will reduce to $1,200.00 in 2017.
A 3.12kW system created 64 STCs in 2016. In 2017, it will create 60 STCs.
The $2,560.00 discount will reduce to $2,400.00 in 2017.
A 5.2kW system created 107 STCs in 2016. In 2017, it will create 100 STCs.
The $4,280.00 discount will reduce to $4,000.00 in 2017.
A 6.5kW system created 134 STCs in 2016. In 2017, it will create 125 STCs.
The $5,360.00 discount will reduce to $5,000.00 in 2017.
All solar power systems between 1 and 100kW will be affected by the cut in STC value.
Commercial solar STCs
A solar PV system on a commercial business:
A 10.4kW system created 215 STCs in 2016. It will create 201 STCs in 2017
The $8,600.00 discount will reduce to $8,040.00 in 2017
A 31.2kW system created 646 STCs in 2016. It will create 603 STCs in 2017
The $25,840.00 discount will reduce to $24,120.00 in 2017
The Sun is setting slowly
As you can see, it’s a slow and steady reduction in the STC monetary value.
If you want to install a solar power system before January 2017, you will need to get your skates on.
The Sunday Energy Team