Solar Credits
The new Solar Credits scheme has now been passed by the senate and will allow solar power system owners to create additional renewable energy certificates which can then be sold or assigned to the installer in return for an up front discount on the system price. The Solar Credits scheme will multiply by 5 the number of RECs which are be produced by systems up to 1.5kW. Systems greater than 1.5kW will receive the multiplier on the first 1.5kW and the standard number of RECs for any additional capacity.
The scheme will apply to all systems installed after the 9th of June 2009 which do not also receive funding from the SCHP rebate. There is no means test and all systems will be eligible including those installed on commercial premises, unlike the previous rebate.
Since the scheme is market based, value of the credits will vary over time. Currently the scheme would add additional credits of approximately $4,000 value for a 1.5kW or greater system installed in Sydney. This is on top of the standard renewable energy credit discount. For up to date information on the value of the additional Solar Credits, please contact us.
NSW Feed in Tariff
NSW has announced the introduction of a net feed in tariff system. The scheme will reward solar power system owners with a premium rate of 60c/kWh for electricity generated by their solar power system in excess of the electricity they are using at any given time. This will significantly reduce the payback period of solar power systems, especially larger systems on efficient premises. The maximum system size eligible under the proposed scheme will be 10kW which is plenty large enough to ensure that a very significant/major proportion of the total electricity generated will counted under the scheme.
Solar Horizon predicts that the payback period for eligible systems could be as low as 8.5 years, depending on the daytime electricity consumption of the site. The system life of a high quality system from Solar Horizon will be many decades so the attraction of this scheme is clear.
Solar Horizon has long promoted the concept of feed in tariffs as a better means of providing an incentive for solar power as it rewards customers who choose high quality, efficient systems which will produce significantly more power over their lifetime than cheaper, lower quality systems. More power means more payback! Please contact us to for more information on how a high quality solar power system from Solar Horizon could provide you with an economically and environmentally superior solar power solution.
The NSW FiT will be available for both residential and commercial premises, although the 'net' nature of the scheme will preclude it from having any effect for larger commercial sites.
ACT Feed in Tariff
The ACT now boasts the nations only gross feed in tariff for solar power systems. This scheme rewards solar power system owners by paying them a significant premium for every kWh of electricity generated. The rate is currently 3.88 times the average ACT electricity rate. Once the system is installed and the FiT approved, this rate is then locked in for 20 years.
The 'gross' nature of the ACT FiT scheme means that it is also highly attractive to commercial property owners as the level of electricity consumption at the site does not effect the return from the system as it does in NSW. Furthermore, the maximum system size of 30kW allows significant system capacity to be installed under the scheme.
For more information on how the feed in tariff will affect the feasibility of installing solar power at your home or facility, please contact us.