Means Test Dropped for Rebates on Solar Panels

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Source: The Australian
Date 18/12/2008

The Howard government introduced a subsidy for solar installations, but the Rudd Government imposed a means test making households with an income of more than $100,000 a year ineligible for the solar panel rebate of $8000.

From July 1, a "solar credits" policy will be introduced. It will not be means tested and will be available to all households, small businesses and community groups. It will be worth up to $7500 for those who install 1.5kilowatt solar power systems, which cost about $15,000 before the rebate. The rebate for smaller 1kW systems will be about $5000.

Owners of solar panels will earn five credits, or renewable energy certificates (RECs), for each mega-watt hour of energy produced.

Announcing the policy, federal Environment Minister Peter Garrett said the renewable energy target draft legislation released yesterday would provide a strong foundation for the renewable energy industries.

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