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The Government has brought the Solar Homes and Communities Plan (SHCP) $8000 rebate to an abrupt end and will only accept completed applications sent by Tuesday 9 June 2009. Refer to the joint media release from Peter Garrett and Penny Wong attached.
Click here for the media release.
The rationale for this drastic step is the recent surge in applications for the $8000 grant which will see the Government spend several hundred million dollars more than it had allowed for in the budget. The Government has advised that there are currently more than 63,000 applications in the pipeline that will be progressively installed over the next nine months or so.
The Government has also advised that it will bring forward the new “Solar Credits” scheme which will provide for five times the RECs for PV systems up to 1.5 kW. Only systems installed from Tuesday 9 June 2009 that are not eligible for the SHCP rebate will be eligible for Solar Credits.
The big problem however is that the legislation is still being developed and will not come into effect for some time. The Government has committed to release the legislation today and to introduce it into Parliament next week. However there is no guarantee that the legislation will sail smoothly through the Senate, instead it may get caught up for some time.
On the basis that the legislation does get through Parliament we will still not be able to create RECs for Solar Credits until the regulator has implemented a number of changes to the registry and advised what additional information is required on our assignment forms.
We will still be able to process “normal” RECs as normal for all systems. However, where the installation is eligible for Solar Credits, we can create the single RECs now and when the Solar Credits system is in place we will be able to create the additional RECs.
Key issues:
1. Systems that do not receive government rebates (eg businesses or customers with income of more than $100,000) will now be eligible for solar credits if installed from 9 June 2009.
2. Customers that have missed out on the SHCP rebate will now be eligible for Solar Credits from 9 June 2009.
3. We are still awaiting further details of how the Solar Credits Scheme will work in practice and whether systems installed under the Schools Program and the Remote Renewable Power Generation Program (RRPGP) will be eligible.
How Solar Credits Works
Additional RECs will be available for a PV, wind or hydro system installed on or after 9 June 2009.
· The additional RECs – also referred to as the “REC Multiplier” will be available for the first 1.5 kW and capacity above this will be eligible for the normal 1:1 ratio
· Initially the additional RECs will be 5 times the normal RECs reducing to 4 times for systems installed in 2012/13 and then phase down to no multiplier from 2015/16 onwards
· Solar Credits will only be available for the first system installed at the site and not for upgrades or extensions to existing systems
Our apologies to all those customers who have missed out on the $8000. For all of you the new"Solar Credits" program will be coming into effect after the 1st July pending on the legislation being passed this month by the government.
Click on the link below for more information:
Solar Credits
We have been given reports that Minister Peter Garrett has said that the Australian public has not supported the solar industry enough or shown enough interest. Sun Empire can categorically state with our experience over the last few years, especially the last two months, that the Australian public has overwhelmingly supported solar power in Australia. With Sun Empire's help many solar systems will be installed yet. As more information comes to light we will let you know. |