REBATES - THE TERMINOLOGY EXPLAINED . . .

The Solar Credits scheme

The Solar Credits scheme has been introduced by the government as part of the revised RET (Renewable Energy Target). Solar Credits, also known as the REC multiplier allow 5 times the amount of RECs to be created for the first 1.5kW of eligible small generation units (small-scale solar PV, wind and hydro) for installations on or after 9 June 2009. For systems greater than 1.5kW, Solar Credits are applied to the first 1.5kW then 1:1 RECs are applied thereafter. Credits are not means tested, so anyone who meets the eligibility criteria can claim Solar Credits. The Solar Credit multiplier will decrease over time. The 5x multiplier will exist until 30 June 2012, and then it drops each year to 4x, then 3x, then 2x and ends in June 2015.

WHAT IS A REC?

A Renewable Energy Certificate is just like a share in a Company. The Government grants you a number of RECs for your solar installation as its way of thanking you for helping to tackle Climate Change. These RECs have a market value which fluctuates, if not daily, at least weekly. And you can decide to hold onto them as your rainy day fund or to sell them at the going rate.

If you choose to sell your RECs they will be purchased by industry and offset against their fossil fuel usage or carbon generation . . .

NSW Solar Bonus Scheme
The Solar Bonus Scheme will credit eligible participating customers with a "gross" feed-in tariff rate of 60 cents per kilowatt hour for all the electricity that their eligible solar photovoltaic (PV) system or wind turbine generates.

The key features of NSW Solar Bonus Scheme include:

  • It commenced on 1 January 2010 and will operate for 7 years.
  • It credits eligible customers with a 'gross' feed-in tariff rate of 60 cents per kilowatt hour for all the electricity that their eligible solar photovoltaic (PV) system or wind turbine generates.
  • Small electricity customers (those with an annual electricity consumption of up to 160 megawatt hours) are eligible to participate in the Scheme.
  • Only customers with solar photovoltaic (PV) panels and wind turbines (up to 10 kilowatts in capacity) that connect to the electricity network through an inverter (up to 10 kilowatts in capacity) are eligible to participate in the Scheme.
  • Solar PV systems installed and connected after 1 January 2010 must be installed by a person, who at the time of the installation had a Grid-connect Design & Install accreditation from the Clean Energy Council to be eligible for the Solar Bonus Scheme.
  • Each eligible small electricity customer is entitled to receive the Solar Bonus Scheme credit for one eligible renewable energy generator (solar photovoltaic system or wind turbine) only.
  • The tariff rate of 60 cents per kilowatt hour will be fixed for the life of the Scheme, meaning it will not vary with the time of the day or during the life of the Scheme.
  • The Scheme will be reviewed in 2012 by the Minister for Energy, or when the installed capacity of renewable energy generators participating in the Scheme reaches 50 megawatts, whichever occurs first.

This Scheme is currently the most generous in Australia, however we can not sit back and assume that our politicians are going to continue this scheme after the 7 years, please lobby both your state and federal MP's and let them know of your support for solar power (the clean, green power alternative for Australia)


GENERAL FACTS ABOUT SOLAR

Australia lags behind the rest of the world in its use of solar technology (ironic, isn’t it?!)

Germany is the world leader in solar technology and pioneering strategies for both personal and corporate power generation (they have had solar boats on the Rhine River for over 10 years)

Greece has just agreed to scrap any idea of a nuclear future, bin the fossil fuelled power industries, and commit to ONLY renewable power (amazing!)

There are whole cities in Spain powered by huge solar power stations

Solar is the simplest energy future for Australia - clean, green and abundantly available...