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Rebates & incentives

How much is the solar rebate worth? STCs explained for 2026

How the federal solar rebate works, how many certificates your system earns where you live, what they’re worth, and why it shrinks every year to 2030.

Published 5 min read

Homeowner signing a quote on a tablet held by a consultant
On this page6 sections
  1. How many certificates will your system earn?
  2. Why the rebate shrinks every year
  3. What makes a system eligible
  4. How to check the discount on your quote
  5. Frequently asked questions
  6. Sources

There’s no form to fill in and no income test. When an eligible solar system is installed, it creates certificates, and you usually swap them for a lower price on your quote. The certificates are assigned to the property address, not the owner, and their value depends on three things: how big the system is, where you live, and the year it’s installed.

How many certificates will your system earn?

Each system earns certificates for the electricity it’s expected to generate between installation and the end of 2030. The Clean Energy Regulator’s calculation works like this:

Your zone rating reflects how much sun your area gets. Australia is split into four zones by postcode, and you can look yours up in the regulator’s postcode zone ratings table.

Solar zone ratings
ZoneRating (MWh per kW per year)About the same as, per kW per day
Zone 11.6224.4 kWh
Zone 21.5364.2 kWh
Zone 31.3823.8 kWh
Zone 4 (includes central Melbourne)1.1853.2 kWh

Source: Clean Energy Regulator, as of October 2026

Worked example: a 6.6 kW system installed in 2026

A 6.6 kW system is a common size for homes because it pairs with a 5 kW inverter. Here’s roughly what it earns in each zone, valued at the $33–$38 per certificate the regulator says agents usually pay:

6.6 kW system, installed in 2026
ZoneCertificates (approx.)Value at $33Value at $38
Zone 153$1,750$2,010
Zone 250$1,650$1,900
Zone 345$1,490$1,710
Zone 439$1,290$1,480

For the exact number for your postcode and system, use the REC Registry’s small generation unit STC calculator.

Why the rebate shrinks every year

The deeming period counts the years left until the scheme ends in 2030, so it drops by one every 1 January:

The deeming period (this year is highlighted)
Year installedDeeming years6.6 kW in zone 3 (approx. certificates)
2026545
2027436
2028327
2029218
203019

Source: Clean Energy Regulator, as of October 2026

A system installed in December 2026 earns a quarter more certificates than the same system installed in January 2027. That’s a reason not to drift, but not a reason to rush into a quote you haven’t checked.

What makes a system eligible

According to the Clean Energy Regulator’s rooftop solar rules, a system must:

  • be under 100 kW and produce less than 250 MWh a year
  • use panels and an inverter on the Clean Energy Council’s approved lists, and meet Australian standards
  • be installed by an accredited installer
  • be new: second-hand systems don’t qualify.

One more rule shapes system sizes: the panels can be no more than 33% bigger than the inverter for the certificates to apply. That’s why 6.6 kW of panels on a 5 kW inverter is so common.

Larger systems are changing too: from 1 October 2026, systems of 100 kW to 1 MW can also claim certificates, which mostly matters for businesses and farms.

How to check the discount on your quote

The discount should be a separate line on the quote, so you can check it. Look for:

  • the number of certificates, which should match the calculator for your postcode and system size
  • the price per certificate, usually $33–$38
  • any state rebate on its own line, such as Victoria’s solar panel rebate, which is calculated after the STC discount.

If you’re in Victoria, read our guide to the Solar Victoria solar panel rebate. Batteries and efficient hot water systems also earn certificates: see how the battery discount works and heat pump vs solar hot water.

Frequently asked questions

Is the solar rebate means-tested?

No. STCs aren’t income-tested. Any eligible system installed by an accredited installer creates them. Some state rebates do have income limits.

Do I have to apply for the solar rebate?

No. Your retailer or its registered agent normally claims the certificates and takes their value off your price. You can create and sell the certificates yourself within 12 months of installation, but taking the upfront discount is simpler.

Does a bigger system earn more certificates?

Yes, in proportion to its size, as long as the panels are no more than 33% bigger than the inverter and the system is under 100 kW.

What happens after 2030?

The deeming period reaches 1 year for systems installed in 2030, when the scheme is set to end. Systems installed after that won’t earn certificates under the current rules.

Why do two quotes show different STC discounts for the same system?

Usually because they use a different price per certificate. The number of certificates should be the same for the same size system at the same address.

This guide is general information, not financial or legal advice. Rules, rebates and prices change, so check the linked sources before you decide. Facts checked 18 October 2026.

Sources

  1. Clean Energy Regulator: Rooftop solarcer.gov.au
  2. Clean Energy Regulator: Calculate small-scale technology certificate entitlementscer.gov.au
  3. Clean Energy Regulator: Postcode zone ratings and zones for solar panel systemscer.gov.au
  4. REC Registry: Small generation unit STC calculatorrec-registry.gov.au
  5. Solar Victoria: Finding the right inverter for your systemsolar.vic.gov.au
  6. Clean Energy Regulator: Mid-scale solarcer.gov.au
  7. Clean Energy Regulator: Create small-scale technology certificatescer.gov.au
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About the author

Portrait of Youssef Haddara, CEO of Netrosa

Youssef Haddara

Director of Netrosa, Creator of Solar Retailers Australia

I build systems that help businesses grow.

Youssef on LinkedIn