A good STC trader does five things well: publishes a rate you can hold them to, locks it when you lodge, pays on a stated day, checks your claims before they go in, and puts a person on the phone when something goes wrong. Everything else, including the logo, the platform and the sales pitch, is secondary.
This page is the short list of what to look for, written for installers who are about to assign certificates to someone for the first time or who are reconsidering a trader they have used for years. For the step-by-step comparison method, see how to choose an STC trader.
1. A rate you can see and hold
Look for a rate that is published, updated regularly and locked at a defined point. The strongest position is: published daily, locked when you lodge a complete claim. Weaker positions are “call for today’s rate” and “rate at time of settlement”, because both leave the price open after you have done the work.
At the time of writing the STC spot market has been roughly $38 to $40, with the clearing house ceiling at $40. A published rate should sit in a believable relation to that. Extra conditions attached to a high-looking rate, such as minimum volumes or exclusivity, change what it is worth.
2. Payment you can plan around
Look for a stated day, not a range. “Paid within 24 hours of sign-off” is something you can build a cash plan on. “Up to 10 business days” is a different business model.
Check also what triggers the clock. Is it your submission, their approval, or the registry validation? A trader that says 24 hours but starts counting after validation may be slower in practice than one that says three days from lodgement.
| Term | Better | Worse |
|---|---|---|
| Payment time | Fixed, stated | “Up to” or “typically” |
| Trigger | Complete claim lodged or signed off | After registry validation, undefined |
| First claim | Clear explanation of any verification period | Hidden delays |
3. Fees you can add up
Ask for every charge in writing: processing, admin, registry, subscription, early exit. Then ask what is deducted from each payment. A trader may advertise a rate and deduct a per-certificate fee, which changes the number. If the answer is a clean “none”, that is a differentiator worth noting.
4. A pre-check before lodgement
Rejections cost time, and a trader that reviews photos, forms and serials before the claim goes in saves you that time. Ask what they check, how quickly they come back, and whether the person who checks is a person you can call. The usual traps are in top STC claim rejection reasons, and the photo requirements set the standard.
5. A contract that reads like a contract
Read for:
- Exclusivity and minimum volume. You should be able to try them before committing.
- Clawback. What happens if a certificate is later invalidated? Who pays, and over what period?
- Exit. Notice, and the treatment of claims in progress.
- Invoicing. Most traders issue recipient-created tax invoices. See RCTI, GST and ABN.
6. Real people and real history
Ask how long they have been trading, who stands behind settlement, and who you will deal with. A named account manager and a phone that gets answered during business hours are not luxuries when a claim is stuck on a Friday. Longevity is not a guarantee, but a trader that has been settling certificates for many years has been through several market cycles.
7. Coverage of what you sell
If you do batteries, ask about battery STCs specifically: how the trader handles the factor, the size bands and the stricter evidence rules. If you do heat pumps or VEECs in Victoria, check they handle those too. The battery STC page, hot water STC page and VEEC page explain what each involves.
The one-page checklist
- Is the rate published, and when is it locked?
- How many days to payment, and from what trigger?
- What fees or deductions apply?
- Who checks claims before lodgement?
- What is the clawback position?
- Is there a named contact?
- Can I try them without exclusivity?
Where installers get caught
Three patterns come up repeatedly. The first is the headline rate: a figure quoted for a perfect claim at a volume most installers do not reach. The second is the slow first payment: a verification period that was not explained. The third is the fee in the small print, deducted from the payment rather than invoiced, which leaves you wondering why the bank deposit does not match the rate. Each is avoidable by asking the questions above in writing before the first claim.
Smaller traders and bigger ones
Size is not the point. What matters is whether the trader has a clear process, a rate you can verify against the market, and someone accountable. A small trader with a named contact and a 24-hour pay cycle can serve you better than a large one with an opaque queue. Judge by the answers, not the scale.
Questions to ask on the phone
When you ring a trader, listen to how they answer, not just what they say. Do they give the rate straight away? Do they explain when it is locked without being asked? Can they say who would handle your first claim? A trader that answers cleanly on the phone tends to operate cleanly in the back office. One that deflects to a form probably has a process that deflects too.
Also ask for a reference from an installer of your size, working in your state. A short conversation with a peer is worth more than a page of testimonials.
What to do next
- Put these seven questions to your current trader and any you are considering.
- Compare answers in a table.
- Read the existing certificate trader checklist for the contract-level detail.
Energy Merchants publishes its rate daily, locks it on a complete claim, charges zero fees and gives every partner a named account manager. If you want to hold us to those answers, see the switching page or start trading.