Solar Rebate NSW 2026: STCs, Empowering Homes Loans, and What's Actually Available

NSW households in 2026 have access to meaningful solar incentives — but the picture is different from Victoria or the ACT, and understanding what is actually available avoids confusion when you start collecting quotes. There is no direct NSW state cash rebate for residential solar panels. What there is: a substantial federal STC discount applied at point of sale, and an interest-free loan program for those who qualify. Here is how each works and what they are worth.

The Federal Solar Rebate in NSW — STCs

The discount every NSW solar buyer receives is through Small-scale Technology Certificates (STCs) — a federal scheme administered by the Clean Energy Regulator. You do not apply for this separately. It is built into every compliant solar quote from a CEC-accredited installer: the STC value is calculated and deducted from the system price before you pay.

How STCs are calculated for NSW

Sydney and most of NSW fall into Zone 3 for STC purposes. The number of certificates your system generates depends on three factors:

• System size in kilowatts
• Your climate zone (Zone 3 for most of NSW)
• The deeming period — the number of full years remaining between installation and 31 December 2030

In April 2026, the deeming period is approximately five years. At current STC prices of around $38 per certificate, a 6.6kW system in Zone 3 generates approximately 63 STCs worth $2,400–$3,000 applied directly off your installation quote.

System Size	Approx STCs (Zone 3, 2026)	Approx Rebate Value
5 kW	~48	~$1,800
6.6 kW	~63	~$2,400–$3,000
8 kW	~76	~$2,900
10 kW	~96	~$3,600
13 kW	~124	~$4,700

Use the STC calculator to get an estimate based on your specific system size and postcode.

The clock is ticking on STC value

The deeming period drops by one year every 1 January and the scheme ends entirely in 2031. A 6.6kW system installed in 2028 generates roughly 40% fewer certificates than the same system installed in 2026. The difference is approximately $800–$1,000 in rebate value — with no difference in what the hardware or labour costs. Installing sooner directly captures more of the federal incentive.

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NSW Empowering Homes Program

The NSW government operates the Empowering Homes Program, which provides interest-free loans to eligible NSW homeowners for solar panel and battery storage installations. This is not a cash rebate — it is zero-interest financing — but for households who would otherwise fund the installation with savings or a commercial loan, the interest saving over the repayment period is significant.

Loan amounts

• Solar panels only: up to $9,000
• Solar and battery combined: up to $14,000

Eligibility requirements

• Household income: under $180,000 per year
• Property value: under $3 million
• Must be the owner-occupier of the property
• Property must be connected to the electricity grid
• System must be installed by an approved installer

How it stacks with STCs

The STC discount is applied at point of sale, reducing the amount your installer invoices. The Empowering Homes loan covers the net cost after the STC discount has already been applied.

For example: a 6.6kW system with an installed price of $7,500 before discounts, after STCs ($2,700 discount) has a net cost of approximately $4,800. The Empowering Homes loan can cover that full amount — meaning your out-of-pocket cost at installation is zero. You then repay the $4,800 interest-free over the loan term.

How to apply

Applications for the Empowering Homes Program are made through the NSW Government’s service portal. Your installer will typically assist with the paperwork. Check current availability and open tranches at the NSW Empowering Homes website before committing to an installer — demand sometimes exceeds available loan allocations.

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What Does Solar Actually Cost in NSW?

After the STC discount, a 6.6kW solar system in NSW typically costs:

Cost Component	Amount
Installed price (before discounts)	$5,500–$8,500
Less: STC rebate	−$2,400–$3,000
Net installed cost	$2,500–$6,100

Prices vary by installer, brand of panels and inverter, roof complexity, and location. Regional NSW may see higher labour costs than metro Sydney. For a full breakdown of what drives system pricing, see our solar panel cost guide.

Compare panel brands and specifications at Gridly’s solar panel comparison.

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Solar Generation in NSW

Sydney sits at approximately 34 degrees south latitude and receives strong solar irradiance across most of the year. A 6.6kW system in Sydney generates approximately 26–28 kWh per day on annual average — higher than Melbourne but lower than Brisbane or Perth.

Seasonal variation matters

• Summer months (December–February): daily output can reach 35–40 kWh on clear days
• Winter months (June–August): output drops to 15–20 kWh per day on typical days

The practical implication for system sizing: if your household runs air conditioning heavily in summer, a larger system (8–10kW) captures more of that seasonal peak and the excess can charge a battery. If your usage is relatively flat year-round, 6.6kW is a strong fit for most NSW metro households.

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Feed-In Tariffs in NSW

Feed-in tariffs (FiTs) are the rates your electricity retailer pays for solar power you export to the grid. In NSW, FiT rates in 2026 range from approximately 3–10 c/kWh, with significant variation between retailers.

Retailer type	Typical NSW FiT range
Standard market offers	3–6 c/kWh
Premium market offers	6–10 c/kWh
Time-of-use export tariffs	Up to 30+ c/kWh (peak periods)

The self-consumption gap in NSW

NSW grid electricity import rates sit at approximately 31–43 c/kWh depending on your tariff. Solar electricity you consume yourself avoids that import cost. Solar electricity you export earns 3–10 c/kWh.

The difference — six to ten times more valuable to self-consume than to export — means the financial case for solar in NSW is strongest for households who are home during the day, can shift discretionary loads (dishwasher, laundry, EV charging) to solar production hours, or who pair solar with a battery.

Time-of-use tariffs and solar export

Some NSW retailers offer time-of-use export tariffs that pay significantly higher rates for solar exported during evening peak periods (roughly 4pm–8pm). These rates can exceed 30 c/kWh during peaks. A battery system that charges during the solar day and discharges to the grid during the evening peak can materially improve export revenue under these tariffs.

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Adding a Battery in NSW

The federal Cheaper Home Batteries Program (CHBP), introduced in mid-2025, provides approximately $372 per usable kWh off the installed cost of a home battery. On a standard 10–13.5kWh residential battery, this translates to roughly $3,700–$5,000 off the installed price.

The CHBP applies across NSW and stacks with both the solar STC discount and the Empowering Homes loan (up to $14,000 combined for a solar-plus-battery system).

Combined incentives on a typical NSW solar + battery installation in 2026:

• Solar STCs (~6.6kW): ~$2,700
• Battery CHBP (~13.5kWh): ~$5,000
• Total rebates: ~$7,700

For full details on battery rebates available in NSW, see our solar battery rebate guide.

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How to Claim the Solar Rebate in NSW

Step 1: Get quotes from CEC-accredited installers

Only CEC-accredited installers can create STCs on your behalf. CEC accreditation can be verified at the Clean Energy Council website. Aim for at least three quotes to understand the market rate in your area.

Step 2: Confirm STCs are itemised in the quote

Every compliant quote should show the STC value as a line-item discount on the system price. If a quote does not mention STCs, ask the installer to clarify whether it has been included or deducted before the quoted price.

Step 3: Check Empowering Homes eligibility before installing

If you may be eligible for the NSW Empowering Homes loan, confirm this before signing with an installer. Once installed, you cannot access the loan retrospectively. The installer must also be approved under the program.

Step 4: Confirm products are on the CEC approved list

Panels and inverters must be on the Clean Energy Council’s approved products list for the system to qualify for STCs. Reputable installers use approved products as standard, but confirm explicitly if you have product preferences.

Use the solar savings calculator to estimate your payback period and annual savings based on your household usage and roof details.

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NSW vs Victoria: How the Rebates Compare

For a broader picture of how NSW compares with other state incentive programs, see our solar rebate Victoria 2026 guide and the national solar panel rebate Australia guide.

Victoria has a direct state cash rebate of up to $1,400 (Solar Homes Program) that is separate from STCs. NSW does not have an equivalent direct rebate — the Empowering Homes loan is interest-free financing rather than a grant. Whether the NSW or Victorian package is more valuable depends on individual eligibility: a household that qualifies for the NSW Empowering Homes loan on a combined solar-battery installation can access up to $14,000 of zero-interest financing, which is a different structure but potentially a larger benefit than Victoria’s $1,400 rebate.

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Frequently Asked Questions

Is there a solar rebate in NSW in 2026?

NSW does not have a direct state cash rebate for solar panels. The main discount is the federal STC scheme, worth approximately $2,400–$3,000 on a 6.6kW system in Sydney. The NSW Empowering Homes Program provides interest-free loans up to $9,000 for solar (or $14,000 for solar and battery) for eligible households earning under $180,000.

How much is the solar rebate worth in NSW?

The STC discount on a 6.6kW system in Sydney (Zone 3) is approximately $2,400–$3,000 in 2026. This is applied as a point-of-sale discount — you do not receive a cheque or reimbursement. Your installer processes the certificates and quotes you the net price after the discount.

What is the NSW Empowering Homes Program?

The Empowering Homes Program is an interest-free loan scheme for eligible NSW homeowners. It provides up to $9,000 for solar-only installations or up to $14,000 for solar and battery combined. Household income must be under $180,000 and the property must be valued under $3 million.

Can I get the Empowering Homes loan and the STC rebate at the same time?

Yes. STCs reduce your installation cost at point of sale, and the Empowering Homes loan then covers the remaining net cost. The two incentives stack rather than competing with each other.

How much solar does a 6.6kW system generate in Sydney?

A 6.6kW system in Sydney generates approximately 26–28 kWh per day on annual average. Output is higher in summer (35–40 kWh on good days) and lower in winter (15–20 kWh). North-facing roofs at 20–30 degree pitch typically achieve the best annual yield.

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See our solar panel comparison to find the best panel for your roof and budget. For battery rebates that stack with your solar installation in NSW, see our solar battery rebate guide. For a national overview of all available incentives, see our solar panel rebate Australia 2026 guide. For Victoria-specific rebates, see our solar rebate Victoria 2026 guide.