Solar Rebate

What “solar rebate” actually means

The term is used loosely in the industry. Most commonly, Australians say “solar rebate” when referring to the Small-scale Technology Certificate (STC) discount that reduces the upfront cost of residential solar. This isn’t a government payment - it’s a certificate scheme where the property owner is entitled to create STCs for their installation and sell them. In practice, the installer handles this and applies the certificate value as a discount on the quoted price.

For a 6.6 kW system installed in Sydney in 2025, the STC discount is roughly $2,400–$3,000 depending on current STC spot prices. For a 10 kW system in Brisbane, it might be $3,500–$4,500.

There is no separate state “rebate” for solar panels in most states - the STC scheme is the primary federal incentive. State programs have historically included:

• Victoria Solar Homes Program: Has provided upfront rebates ($1,400 at various points) and interest-free loans for solar panels; check current status at Solar Victoria
• NSW Empowering Homes: Interest-free loans for solar battery systems, not upfront rebates for solar panels
• SA, QLD, WA: Have offered targeted programs at various points; current state varies

The deeming period reduction

STC values decrease each year until the scheme ends in 2030. The number of STCs a system earns is based on a “deeming period” - the remaining years of the scheme. In 2025, the deeming period is 5 years; in 2026, 4 years. Each year the scheme runs reduces the STC count and therefore the discount.

This is why the solar rebate is declining year-over-year. A system that would have generated $4,000 in STCs in 2022 generates roughly $2,500–$3,000 in 2025. By 2029, the discount will be minimal.

How to verify the STC component in a quote

Quotes from CEC-accredited installers should show:

1. The gross system price (before incentives)
2. The STC assignment value (amount the STCs are worth)
3. The net price (what you pay)

If a quote only shows a net price without breaking out the STC value, ask for the breakdown. The STC value is your entitlement - you’re assigning it to the installer in exchange for the discount. You should know what it’s worth.