As a registered agent, you must comply with legal obligations under the Small-scale Renewable Energy Scheme (SRES), including:

• the Renewable Energy (Electricity) Act 2000
• the Renewable Energy (Electricity) Regulations 2001
  
• the Renewable Energy (Electricity) Amendment (Small-Scale Renewable Energy Scheme Reforms and Other Measures) Regulations 2021, and
  
• any other relevant climate change law as defined in the Clean Energy Regulator Act 2011.

In addition to legal obligations, registered agents are expected to have certain capabilities that make them fit and proper to participate in the scheme.

Fit and proper person (FPP) assessments are a key control to protect the integrity of the schemes administered by the Clean Energy Regulator. They include an assessment of whether the relevant person (or its officers) have the necessary skills, capability and competency, business practices and good character that would reasonably be expected of a participant in our schemes.

Registered agents must also complete SRES Smart, an online program with a series of modules, knowledge checks and a self-assessment tool to show they understand the expected capabilities and standards of practice necessary to participate in the scheme.

For registered agents in the SRES, the below information clarifies what capabilities and practices we consider essential to remain ‘fit’ to participate in the scheme. We may request information from prospective and existing participants regarding these capabilities and practices. Registered agents create a large volume of small-scale technology certificates (STCs) and their suitability to participate in the scheme is of particular interest to the agency.

Expected capabilities and standards of practice for registered agents

Documented procedures and records

Registered agents must have:

1. Documented procedures to prevent the improper creation of STCs. These procedures should include steps to actively verify that:
   • the stated solar photovoltaic panels are valid and relevant system components are on the Clean Energy Council’s (CEC) approved PV module and inverter lists
   • systems are only designed and installed by CEC accredited persons and in accordance with current CEC design guidelines, and install and supervise guidelines for accredited installers
   • the installation meets relevant Australian standards
     
   • the installation occurred at the listed address
     
   • duplicate claims are never made for panels or system components, or for the same address.
     
2. A record keeping system to collect, secure and store (for at least five years) documents that assure the credibility of, and support the creation of each STC.
   
3. A documented procedure to report to the Clean Energy Regulator, within 72 hours, any improper STC creation
4. The ability to provide these procedures and records, on request, to us.

Best practice standards

Registered agents are also expected to apply best practice standards to protect themselves and their customers, including through:

1. Maintaining up-to-date knowledge and ensuring business practices meet their responsibilities under relevant legislation, including (but not limited to):
   • Renewable Energy (Electricity) Act 2000, and associated regulations
   • guidance and policies of the Clean Energy Regulator, including email alerts and updates
   • taxation law and GST treatment of STCs
   • Australian Securities & Investments Commission requirements relating to Australian Financial Services licenses and business practices
     
   • Australian and state and territory consumer protection laws relevant to your business.
2. Providing​ customers and installers with clear information about the scheme, particularly the eligibility requirements for the creation of certificates, and guiding them through the process of assigning the right to create certificates.
   
3. Identifying their business risk and exposure to third party fraud and applying due diligence in checking the background and capabilities of business partners, contractors and clients.
   
4. Maintaining a training and monitoring system that ensures all staff follow procedures to ensure proper creation of STCs.

Useful resources

• The REC Agents Association (RAA) is an industry body dedicated to promoting best practice amongst Australian REC Agents. They have also developed comprehensive information to help agents understand GST and STCs.
• The Australian Taxation Office has issued guidelines on GST and STCs.
• The Australian Securities and Investment Commission has guidance related to requirements for Australian Financial Services Licenses.
• The Australian Competition and Consumer Commission has good starting information on Australian consumer law. You should also check on state and local laws.