The solar industry has welcomed the recent passing of the renewable energy target (RET) in the senate last week, paving the way for the new solar credits scheme which will replace the previous means tested, $8,000 rebate.

Under the new solar credits program, residential homes can receive solar credits funding of up to $7,000 towards the purchase of a grid connect solar system. The actual amount will depend on the location of the installation which is determined by RECS zones of which there are four (4) within Australia.

For customers who need assistance paying for a grid connect solar power system, the Federal Government are offering through financial institutions, a green loan known as “green loans for aussie homes” for up to $10,000. Under this scheme, home owners organise a free home sustainability assessment paid for by the Government. This report will document the house holders specific environmental impact which is released in the form of a “home sustainability report”. This report is provided to participating financial institutions which entitles the customer to a four (4) year no interest loan. The interest will then be paid to the financial institution by the Government.  The Green Loans For Aussie Homes program is available to 320,000 Australian homes.

The Government expects that the vehicle for delivering the money to solar companies (REC Registry) will be amended to facilitate the solar credits transactions by late September 2009.