Solar Rebates & Incentives 101

Australia has had federal government support for residential solar since the early 2000s, and today the primary national incentive is the Small-scale Renewable Energy Scheme (SRES). On top of that, individual states and territories periodically offer their own rebates, interest-free loans, and battery-specific incentives. Understanding the landscape helps you have confident conversations with installers and ensure you're not leaving money on the table.

The Federal Scheme: STCs (Small-scale Technology Certificates)

The backbone of Australian solar rebates is the Small-scale Technology Certificate (STC) system. Under this scheme, when you install a solar system, you're entitled to a number of STCs based on the size of your system, your location (sunnier locations earn more), and the number of years remaining in the scheme (which is set to run until 2030).

Each STC has a dollar value that fluctuates based on market supply and demand. Rather than waiting to sell your own STCs, almost all solar installers offer what's called an 'upfront assignment' — they handle the STC paperwork on your behalf and simply reduce your system price by the equivalent value. This is why solar quotes often show a 'after-STC rebate' or 'net price' — the rebate has already been factored into the price you see.

• STCs are generated based on expected electricity output over the years remaining in the scheme.
• Larger systems in sunnier locations generate more STCs and therefore a larger dollar rebate.
• The STC scheme runs until 31 December 2030, and the number of certificates (and thus the rebate value) decreases each year as the end date approaches.
• You must use a Clean Energy Council (CEC) accredited installer and CEC-approved components to access STCs.
• The rebate is only available for systems up to 100 kW, which comfortably covers all residential installations.

State and Territory Incentives

Beyond the federal STC scheme, various Australian states and territories have introduced their own solar and battery incentive programs. These change frequently — programs open, are oversubscribed, pause, and reopen — but here are the types of programs that have been available at various times:

• Interest-free or subsidised loans for solar and battery systems (available in Victoria, South Australia, and others at various points).
• Battery rebates — direct discounts on the purchase of home batteries, often combined with a loan component.
• Low-income or concession-holder programs — targeted rebates for eligible households who may not otherwise be able to afford solar.
• Solar hot water rebates — separate programs specifically for solar hot water systems or heat pump water heaters.
• Virtual Power Plant (VPP) participation incentives — some programs offer additional rebates in exchange for allowing your battery to contribute to grid stability during peak events.

Because state programs change regularly, the most reliable way to check current availability is through your state government's energy website or the federal government's energy.gov.au portal.

How to Make Sure You Get the Rebates

The most important step is choosing an accredited installer. The Clean Energy Council (CEC) accredits both individual solar installers and the components (panels and inverters) they use. Using a CEC-accredited installer with CEC-approved products is a prerequisite for accessing STCs and most state programs. Ask your installer to confirm in writing that your system qualifies for all available incentives and that they will handle the STC assignment process on your behalf.

What About the GST?

Residential solar systems are not exempt from GST, so the full system cost (including GST) factors into your budget. However, the STC rebate value is typically presented as a GST-inclusive discount, so most quotes you receive will be net of GST and net of the STC rebate — showing you the real out-of-pocket cost. Always confirm this with your installer so you're comparing apples with apples across multiple quotes.

Will Rebates Change in the Future?

The federal STC scheme is legislated to reduce incrementally each year until 2030 and then conclude. This means the rebate value available today is higher than what will be available in 2028 or 2029. It's not a reason to panic or rush, but it is a legitimate factor to consider — waiting several years will mean a modestly smaller rebate. State programs are harder to predict; they depend on state budgets and energy policy priorities and can appear or disappear with relatively little warning.

The rebate landscape in Australia genuinely favours solar adopters right now. With federal STCs still delivering meaningful discounts and many states maintaining their own programs, the total support available to a new solar buyer remains significant. Understanding what's on offer means you can claim everything you're entitled to — and nothing slips through the cracks.