Federal Solar Rebate Australia (2026)

Written by Jacob, Last reviewed 2026. This guide is for informational purposes only. See methodology.

The federal solar rebate isn't a lump sum you apply for. It's a discount baked into the price you pay your installer, created by the Australian Government's Small-scale Renewable Energy Scheme (SRES)^[1]. Most people don't realise it's there, visible as a line item on their quote.

In 2026, a typical 6.6kW home installation in Sydney earns about 45 STCs, worth $1,800 at the $40 STC clearing house price. Exactly how much you save depends on your postcode, system size, installation date, and the net rate your installer applies.

How the Federal Solar Rebate Actually Works

The SRES creates Small-scale Technology Certificates (STCs) for eligible solar installations. One STC represents one megawatt-hour of renewable electricity your system is expected to generate (or displace) over the scheme's deemed period. These certificates trade on an open market. The STC clearing house price is $40 (ex. GST)^[4], and spot prices held near $39.85–$39.90 through 2025^[5]. Some quotes apply a net value below the market rate after the installer deducts fees. Ask your installer to explain the per-STC rate used on your quote.

Your installer or registered agent usually handles the STC registration and sale after you assign the STC rights, often as part of your purchase contract.

But the number of certificates your system earns depends on three things.

The Three Factors That Determine Your Rebate Amount

1. System size

Larger systems earn more STCs. A 6.6kW system earns roughly double the certificates of a 3.3kW system, though the zone rating and deeming period apply equally to both.

2. Your location

Australia is split into postcode-based solar zones defined by the CER. Zones 1 and 2 cover northern Australia. Darwin CBD falls in zone 2, not zone 1. Sydney and Perth CBD postcodes are zone 3, Brisbane CBD is also zone 3, and Melbourne and Hobart are zone 4. The exact rating depends on the installation postcode, not just the city. Two suburbs in the same city can fall in different zones^[2].

3. Installation year (deeming period)

Your installation year matters because the rebate shrinks every year until 2030. The deeming period drops by one year annually until the SRES ends in 2030^[2]. It represents how many future years of generation the scheme accounts for. Here's the schedule:

• 2021: 10 years
• 2023: 8 years
• 2025: 6 years
• 2026: 5 years
• 2028: 3 years
• 2030: 1 year

The later you install, the fewer STCs you get. Installing in 2026 instead of 2025 costs you roughly one year's worth of certificates. By 2030, the discount will be minimal. This is deliberate. The scheme is winding down.

A Worked Example

Take a Sydney home installing a common 6.6kW system in mid-2026. Sydney sits in zone 3. The calculation looks like this:

6.6 kW × 5 years (deeming) × 1.382 (zone 3 rating) = 45.6 STCs

Rounded down, that's 45 certificates. At the $40 STC clearing house price, the gross value is $1,800 before any installer margin. The same system in Brisbane (also zone 3 for most postcodes) earns roughly the same. In Melbourne (zone 4, rating 1.185), you'd get 39 STCs, worth $1,560 at the $40 clearing house price before installer fees.

That discount sits on top of any state rebates you qualify for. The two don't conflict. The federal STC discount and a state rebate like the Victorian Solar Homes program apply independently. Our Victoria solar rebate guide covers the state side.

Eligibility: Who Can Get It

The federal rebate is available to any Australian household or small business installing an eligible system no larger than 100 kW with an annual output under 250 MWh. There's no means testing, income cap, or property value limit at the federal level. The main requirements^[1]:

• Use approved components from the Clean Energy Council (CEC) approved products list
• Have the installation done by a Solar Accreditation Australia (SAA) accredited designer or installer
• Install the system at your premises (new or existing home)
• Create STCs within 12 months of installation

That last point matters. If you sit on the paperwork too long, the ability to create STCs for that installation is lost, and the discount doesn't happen. Installers handle this as part of their process, but it's worth knowing about.

When the Scheme Ends

The SRES closes at the end of 2030. No new STCs can be created after that date. The deeming period drops each year: 5 years in 2026, down to 4 in 2027, all the way to just 1 year in 2030^[2]. If you're planning solar, installing sooner rather than later locks in a larger discount.

The Renewable Electricity Guarantee of Origin (REGO) scheme formally commenced on 3 November 2025^[7] and operates alongside the RET. REGO is a certificate-tracking scheme that continues after 2030^[6], but it does not replace the SRES upfront rooftop solar discount. There is no replacement for the STC discount announced yet.

How to Check the STC Discount on Your Quote

Your solar quote should show the STC discount as a separate line item. It usually looks something like this:

If your quote doesn't separate the STC value, ask the installer to itemise it. You want to see the number of certificates, the per-STC rate applied, and the resulting discount. Some installers deduct fees before passing on the STC value. Ask them to explain the rate.

Common Misconceptions

"I need to apply for the rebate myself." You don't. The installer handles everything. Just check the discount is itemised on your quote.

"The rebate is a fixed dollar amount." It varies by location, system size, and installation year. There's no single "federal rebate amount." It's always a calculation.

"I can claim STCs and a state rebate." Yes. They're independent programs. Just make sure your installer accounts for both.

This guide is for informational purposes only. STC prices vary based on market conditions. The deeming period and scheme rules are set by the Australian Government and may be subject to change.