Small-scale Technology Certificates (STCs) are one of Australia’s main incentives for reducing the upfront cost of eligible renewable energy systems. They are created under the Small-scale Renewable Energy Scheme (SRES) and can apply to rooftop solar, eligible solar batteries and other qualifying technologies. Most customers do not create or sell STCs themselves. Instead, they assign the right to create the certificates to a registered agent or retailer and receive the value as an upfront discount on the system price. Eligible solar batteries have also been covered under the SRES since 1 July 2025, alongside solar PV, wind, hydro, solar water heaters and air source heat pumps.

This guide explains how Small-scale Technology Certificates work, how they are calculated in 2026, current eligibility rules and how much value they can provide for eligible solar and battery systems.

What Are The Types Of Small-scale Renewable Energy System

There are now six main types of small-scale renewable energy systems that may qualify for STCs under the SRES:

1. Solar Photovoltaic (PV)
2. Solar battery systems
3. Wind Turbines
4. Hydro Systems
5. Solar Water Heaters
6. Air Source Heat Pump

Small-scale Renewable Energy System Eligibility Requirements

Eligible systems must also meet the relevant product, installation, accreditation and technical requirements under the SRES.

What Are Small-scale Technology Certificates (STCs) ?

Small-scale Technology Certificates are tradable certificates created under the Australian Government’s Small-scale Renewable Energy Scheme. For most eligible renewable energy systems, one STC represents one megawatt-hour (MWh) of renewable electricity generated or displaced.

Rather than working like a traditional cash rebate, STCs have a market value. Eligible system owners can sell the certificates themselves or assign the right to create them to a registered agent, commonly in exchange for an upfront discount.

For solar PV, the number of certificates depends on factors such as system capacity, installation location and installation year. Solar batteries use a different STC calculation based on usable capacity and the applicable battery STC factor.

Who Can Participate in Small-scale Renewable Energy Scheme (SRES)

Australian households and businesses installing an eligible small-scale renewable energy system may be able to participate in the SRES.

Eligibility depends on the type and size of the system, approved equipment, installer accreditation and other scheme requirements. Solar PV systems of up to 100kW and eligible batteries with a nominal capacity of 5–100kWh are currently included.

Small-scale Technology Certificates Creation

Creating and trading STCs yourself can involve several steps, so most customers assign the right to create their certificates to a registered agent in exchange for an upfront discount.

STCs generally need to be created in the REC Registry within 12 months of the installation date.

Before You Create STCs

Check that:

• the system is eligible
• you own the system or hold the right to create the certificates
• STCs have not already been created or assigned
• you have the correct REC Registry account type if creating them yourself
• all required documents and declarations have been completed
• the installer and designer meet the relevant SAA accreditation requirements

Creating STCs Through the REC Registry

System owners who want to create STCs themselves need the appropriate REC Registry account. Alternatively, the right to create STCs can be assigned to a registered agent, which is the approach most residential customers use.

The certificates can then be traded through the open market or STC Clearing House.

Required Documents for STC Creation

The exact documents depend on the type of system. For solar PV installations, these can include:

• installer and designer compliance statements
• retailer statements where required
• electrical safety documentation
• system photographs
• panel and inverter serial-number evidence
• installer onsite-attendance evidence
• other documentation required by the Clean Energy Regulator

Records should be kept in case the Clean Energy Regulator requests supporting evidence after an STC claim has been approved.

Solar PV Systems

• Written compliance statement from designer and installer
• Written statement from solar retailer
• A certificate of electrical safety, WA also needs a Notice of Completion
• Photos showing the solar panel serial numbers on the product matches the listed numbers in the REC Registry
• Photos showing the inverter serial number on the product matches the listed number in the REC Registry
• Photos showing the installer met on-site attendance requirements
• Invoice (optional)

Wind and hydro systems

• Compulsory written statement from installer.
• A certificate of electrical safety, WA also need a Notice of Completion.
• Invoice (optional).

Solar Water Heater or Air Source Heat Pump System

• A certificate of compliance or equivalent from the installer
• An invoice from the installer or a date-stamped photo of the unit
• For solar water heaters with a capacity greater than 700L, a system-owner statutory declaration and a system-size statutory declaration are also required

For solar PV and battery claims, supporting documents can include compliance statements, electrical safety documents, product serial-number photos and evidence that the installer met onsite attendance requirements.

 Solar PV System Eligibility Requirements for STCs

For a rooftop solar system to qualify for STCs, it must meet the current SRES requirements.

The system must generally:

• have a capacity of no more than 100kW
• produce no more than 250MWh of electricity annually
• use PV modules and inverters included on the applicable Clean Energy Council approved-product lists
• be designed and installed by appropriately accredited Solar Accreditation Australia (SAA) professionals
• meet applicable Australian standards and electrical safety requirements.

2026 note: The Australian Government has announced plans to expand SRES support to eligible solar systems above 100kW and up to 1MW from 1 October 2026, subject to the required regulations being in place. Until those arrangements commence, the existing 100kW limit applies.

Financial Impact of Small-Scale Technology Certificates (STCs)

STCs can reduce the upfront cost of an eligible solar installation, but the final discount is not fixed. Two things determine the financial benefit:

Number of STCs: Based on factors such as system size, postcode zone and installation year.

STC Market Value: Certificate prices change with market conditions and commercial arrangements.

Most households receive the benefit directly in their solar quote rather than selling certificates themselves.

What Factors Affect Small-scale Technology Certificates (STCs)?

For rooftop solar, the number of STCs mainly depends on:

• System Size: Larger eligible solar systems generally create more certificates.
• Solar Zone: Different Australian postcodes have different zone ratings based on expected solar generation.
• Installation Year: Solar systems installed in 2026 use a 5-year deeming period.
• Installation Date: The deeming period falls by one year each year until the SRES is scheduled to end in 2030.

Solar batteries work differently and do not use the solar deeming period. Battery STCs depend on usable capacity, installation date and the applicable STC factor.

Calculation Factors

For rooftop solar, the number of Small-scale Technology Certificates (STCs) depends mainly on three factors:

• System Size: Larger eligible solar PV systems generally create more STCs.
• Solar Zone: Each Australian postcode is assigned a solar zone rating based on expected renewable electricity generation.
• Deeming Period: Solar systems installed in 2026 use a 5-year deeming period. This period decreases by one year each year until the SRES is scheduled to end in 2030.

The current solar zone ratings are:

• Zone 1: 1.622
• Zone 2: 1.536
• Zone 3: 1.382
• Zone 4: 1.185

Solar batteries are calculated differently and do not use the solar deeming period. Battery STCs depend on usable capacity, installation date and the applicable battery STC factor.

Small-Scale Technology Certificates Calculation Formula

The number of Small-scale Technology Certificates (STCs) generated by an eligible solar PV system depends on three main factors:

1. System size in kilowatts (kW)
2. Solar zone rating for the installation postcode
3. Deeming period that applies in the installation year

For solar PV systems installed in 2026, the deeming period is 5 years.

The calculation is: Number of STCs = System Size (kW) × Solar Zone Rating × Deeming Period

The result is rounded down to the nearest whole certificate.

STC Rebates Calculation Formula

The estimated dollar value of STCs can be calculated as:

Estimated STC Value = Number of STCs × STC Price

Example: 6.6kW Solar System in Zone 3

For a 6.6kW system installed in 2026: 6.6 × 1.382 × 5 = 45.606 STCs

Rounded down, this gives: 45 STCs

If an illustrative value of $40 per STC is used: 45 × $40 = $1,800

So the example certificate value is around $1,800. The actual upfront discount may vary because open-market STC prices and retailer or registered-agent arrangements can differ.

Solar STC Examples by Australian Solar Zone 

The tables below use the 2026 five-year deeming period and an illustrative value of $40 per STC.

Solar Zone 1 — Rating 1.622

Solar Zone 2 — Rating 1.536

Solar Zone 3 — Rating 1.382

Solar Zone 4 — Rating 1.185

Official zone ratings are 1.622, 1.536, 1.382 and 1.185 for Zones 1–4.

Note: These are example calculations only. The exact number of STCs depends on the installation postcode, system size and current SRES rules. The final dollar discount may also vary depending on the STC market price and how the certificates are assigned or sold.

Solar Battery STCs in 2026

Eligible solar batteries can receive Small-scale Technology Certificates under the SRES. Solar batteries became eligible from 1 July 2025. To qualify, a battery system generally must:

• be new and not previously claimed
• be connected to a new or existing solar PV system of no more than 100kW
• have a nominal capacity between 5kWh and 100kWh
• be listed on the CEC approved battery list
• be installed by an SAA-accredited installer with battery endorsement
• meet the relevant Australian standards and technical requirements

STCs can be claimed on only the first 50kWh of usable battery capacity, and only one eligible solar battery system can receive STCs per premises.

Battery STC Factor for May–December 2026

For installations from 1 May to 31 December 2026, the base STC factor is 6.8 per kWh of usable capacity, with support applied progressively:

For example, an eligible 10kWh usable battery falls entirely within the first tier: 10 × 6.8 = 68 STCs

The final dollar discount depends on the value of the STCs and the retailer or registered-agent arrangement.

Benefits of Small-Scale Technology Certificates

The main Benefits of Small-Scale Technology Certificates are straightforward:

• Lower Upfront Cost: Assigning STCs can reduce the amount you pay for an eligible solar or battery system.
• Immediate Benefit: Most customers receive the value directly through their quote rather than waiting for a later payment.
• Support for Renewable Energy: The scheme encourages households and businesses to invest in eligible renewable energy technologies.
• Flexible STC Trading: Eligible system owners can assign their certificates to a registered agent or choose to create and trade them themselves.
• Available Nationwide: SRES support applies across Australia, although certificate numbers vary by system type, location and installation date.

How Do Small-Scale Technology Certificates (STCs) Lower Your Solar Costs?

1. Reducing Upfront Costs: When you install a solar system, you typically pay a higher initial amount. However, by earning  Small-scale Technology Certificates (STCs) and selling them on the market, the funds you receive help to offset these costs.
2. Improving Return on Investment (ROI): With lower initial costs and ongoing savings on your electricity bills, the time it takes for your solar system to “pay for itself” is shortened.
3. Boosting Overall Value: The additional financial incentive makes solar installations more attractive, potentially increasing the value of your property and contributing to long-term energy savings.

Can You Claim STCs More Than Once?

You cannot claim STCs twice for the same eligible equipment. However, an eligible expansion or upgrade may qualify for additional STCs in some circumstances. For example, new panels added to an existing solar system may qualify where the expanded system continues to meet current SRES requirements. Panels that previously received STCs generally cannot receive another STC benefit simply because they are removed and reinstalled or replaced.

For solar batteries, only one battery system per eligible premises can receive STCs under the current battery program.

What Should You Consider Before Relying on Small-Scale Technology Certificates (STCs)?

Before including STCs in your solar budget, consider:

• Eligibility: Make sure the system, products and installation meet the current SRES rules.
• STC Market Price: The dollar value of certificates can change.
• Installation Year: Solar STC entitlements decline as the deeming period falls toward 2030.
• Accreditation: Solar and battery systems must be designed and installed by appropriately SAA-accredited professionals where required.
• Product Approval: Check that relevant panels, inverters and batteries are on the applicable approved-product lists.
• Quote Details: Make sure any STC discount and certificate assignment are clearly shown before signing.

Getting Started with Small-Scale Technology Certificates (STCs)

• Check Eligibility: Confirm that your proposed solar, battery or other renewable energy system meets current SRES requirements.
• Choose Approved Equipment: Use eligible products that meet the relevant scheme requirements.
• Use an Accredited Installer: Check the installer holds the appropriate SAA accreditation.
• Review Your Quote: Confirm how many STCs are estimated and how their value will be applied.
• Assign or Create the STCs: Most customers assign their STCs to a registered agent for an upfront discount, although eligible owners can create and trade certificates themselves.

In Summary

Small-scale Technology Certificates remain an important way to reduce the upfront cost of eligible renewable energy systems in Australia. For rooftop solar installed in 2026, the deeming period is 5 years, so the number of available STCs is lower than in previous years and will continue to decline toward 2030. Solar batteries are also now part of the SRES. From May to December 2026, eligible battery systems use a base factor of 6.8, with support tapering as usable capacity increases. For most homeowners, the simplest option is to have the STC value included directly in the quote through a registered agent or retailer. Before proceeding, check the system eligibility, approved products, installer accreditation and current STC value.

FAQs About Small-scale Technology Certificates

What are Small-scale Technology Certificates?

Small-scale Technology Certificates are tradable certificates created under Australia’s Small-scale Renewable Energy Scheme. Eligible solar, battery and other small-scale renewable energy systems can generate STCs, which are commonly assigned to a registered agent for an upfront discount.

How many STCs does a 6.6kW solar system get in 2026?

A typical 6.6kW solar system in Zone 3 may generate around 45 STCs in 2026. The exact number depends on the installation postcode, system size and current deeming period.

How is the STC rebate calculated?

The STC Rebates Calculation Formula for solar uses the number of certificates generated multiplied by the current STC market value. Because certificate prices can change, the final dollar discount may vary between quotes.

Can solar batteries receive STCs in 2026?

Yes. Eligible solar batteries can receive STCs under the SRES. Batteries must generally have 5–100kWh nominal capacity, while STCs can be claimed on only the first 50kWh of usable capacity. From May to December 2026, the base factor is 6.8, with support tapering for capacity above 14kWh and 28kWh.

Can I claim STCs more than once?

You cannot claim STCs twice for the same eligible equipment. New eligible solar PV capacity may qualify in some upgrade situations, but previously claimed panels cannot simply be claimed again. For solar batteries, only one battery system per eligible premises can receive STCs under the current rules.