Energy Matters

WIND ENERGY & SOLAR POWER AUSTRALIA
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Off grid and remote power system rebates

Being out in the bush doesn't mean you miss out on solar power rebates! While the Renewable Remote Power Generation Program (RRPGP) has ended, new generous incentives are now available!

New Solar Credits incentive from July 1, 2010!

On Thursday, June 24 2010, legislation was passed for Australia's enhanced Renewable Energy Target. As part of this legislation, greatly increased financial incentives are now available for people installing off grid solar power systems.

Households and businesses installing systems on buildings more than a kilometre from the main grid or who have evidence that it would cost in excess of $30,000 to connect to mains power will be eligible to receive the Solar Credits multiplier for the first 20kW of their system installed. Currently the Solar Credits multiplier is a factor of five, so the savings can amount to tens of thousands of dollars for systems rated at the maximum level!

However, there is a cap on the number of systems eligible each year, so if you're considering an off grid solar power system, it would be prudent to act fast!

Under the amendments, off grid systems are eligible for Solar Credit RECs up to the first 20 kW of system capacity if:

• The system is an off-grid small generation unit (as defined below); and
• Was installed after 28 June 2010 and before 1 July 2015; and
• Must be eligible for Solar Credits

Definition of off-grid

Off-grid solar power systems under the Solar Credits scheme are defined as units being 1 kilometre from the nearest main-grid line or less than 1 kilometre where written evidence from the local network service provider states the total cost of connecting the systems to the main-grid is more than $30,000.

Solar Credits off grid guidelines and caps

• The system must be installed and fulfil relevant requirements before RECs can be created.
• If a system is less than 20 kW the RECs can still be multiplied for the rated power output up to 20 kW.
• If the validated RECs reach the cap for the year, the RECs that are created for systems installed in that financial year will be eligible for the solar credits multiplier for the first 1.5 kW of capacity installed. Generation from capacity above 1.5 kW will still be eligible for the 1:1 rate of REC creation.
• The annual caps for off-grid RECs under the Solar Credits scheme are as follows:

Note: Solar Credits are not available for off grid installations if financial assistance under the previous Renewable Remote Power Generation Program (RRPGP).

Further information and guidelines are available from the Office of the Renewable Energy Regulator (ORER) web site. 

Renewable Energy Certificates (RECs)

RECs are issued by the Office of the Renewable Energy Regulator; created to ensure that Australian Government meets its Mandatory Renewable Energy Target (MRET) of 20% by 2020.

Renewable Energy Certificates are provided when an eligible off grid wind energy or solar power system is installed. RECs can be cashed in and the value of the certificates vary. Determining eligibility and calculating the value of RECs for your intended off grid equipment purchase can be somewhat of a complex process, so contact our team for free, no-obligation advice