Renewable energy has an important role to play in reducing Australia’s greenhouse gas emissions, with the Federal Government Renewable Energy Target in place since 2001. By installing renewable energy solutions such as solar, you are contributing to the reduction of greenhouse gas emissions and the ability for Australia to achieve our Renewable Energy Target.
Renewable Energy Certificates & their effect on your solution
In recognition of your contribution to reducing greenhouse gas emissions, the Federal Government entitles you to receive environmental credits called Renewable Energy Certificates (RECs). These certificates have a financial value that can decrease the upfront cost of your ZEN Energy solution, or create an ongoing revenue stream for your business, depending on the type of certificate your solution is entitled to.
Certain organisations in Australia, particularly power and gas companies, must purchase a specified number of these certificates on a quarterly basis to meet their own renewable energy targets. These organisations generate the demand side of the certificates, while Australian residents and businesses like you provide the supply of certificates through installing renewable energy solutions.
RECs are commodities that can be traded like shares and, just like other commodities, it’s important to remember that the REC price is not fixed. It changes based on supply and demand. When demand is high or there is an undersupply of certificates in the market, the REC price goes up. However, if demand is low or there is an oversupply of certificates, the REC price goes down. Your ZEN Energy consultant will be able to tell you about the current value of your certificates at the time of quote.
Renewable Energy Certificates are made up of two types of certificates – Small-scale Technology Certificates (STCs) and Large-scale Generation Certificates (LGCs).
How does ZEN Energy help businesses access these incentives?
ZEN Energy have been working with commercial businesses in the renewable energy industry for more than 10 years. This breadth of experience in navigating different government incentives allows us to help businesses meet obligations and access entitlements.
As your energy partner, ZEN Energy continues to provide high quality customer service and guidance for the life of your system. Our expert consultants can assist businesses taking advantage of Government incentives to:
- ensure eligibility by exclusively using Clean Energy Council accredited installers.
- access an upfront discount on the total cost of the system by purchasing STCs (on eligible systems).
- become an Accredited Power Station by guiding you through the registration process.
- for LGC eligible systems, provide standard metering, aggregating relevant solar production data, and surrendering necessary data to the CER.
- broker a trade to convert LGCs to cash.
- complete required documentation, including Electricity Generation Returns for LGC eligible systems.
Speak to one of our consultants to find out whether your business could be eligible for Government incentives.