STC prices set to drop with surplus in clearing house.

Small Scale Technology Certificates (STCs) trading value is centred around the Renewable Energy Target that enforces 20% of Australia’s Energy generation to come from clean energy by the year 2020, the Small-scale Renewable Energy Scheme (SRES) works in conjunction with the Large-scale Renewable Energy Target (LRET) to encourage investment in renewable forms of power.

STCs are assigned to all Solar and Wind systems under 100kW of generating capacity. The amount of certificates awarded to each system differs around the country, with 5 zones mapped out based on the differing amount of sunlight across Australia. So a system installed in Queensland will receive slightly more certificates than that of its counterpart in Victoria.

Whilst STCs are currently trading between $38.00 and $39.00 per certificate it is highly likely that prices will be dropping within the next few weeks.  

The Small-scale Technology Percentage has dropped from 9.02% to 7.01%, meaning that there are far less STC submissions required to meet the 2020 Renewable Energy Target. This, coupled with the clearinghouse going into surplus, has resulted in a fluctuation in pricing across the STC market.

What does this mean for you........? Not much if you act now.

However, predictions are set that the value of a traded STC will drop meaning that less of a discount may be applied to overall cost of installing Solar PV on either your business or residence.

For a no obligation, free quote or for further information please contact the CB Energy team on 07 5552 5222 or www.cb.com.au