Commercial solar policy update
Commercial solar rebates are expanding to systems up to 1MW
The Australian Government has announced plans to extend the STC scheme beyond 100kW. Eligible businesses could materially reduce the upfront cost of larger commercial solar projects.
Important: this is an announced scheme expansion, not a confirmed entitlement for every project. Final legislation, commencement arrangements, eligibility rules and regulator guidance should be checked before relying on the incentive.
What has changed
The 100kW rebate ceiling has limited many commercial projects
Under the current Small scale Renewable Energy Scheme, solar systems must be below 100kW to create upfront Small scale Technology Certificates. That has suited homes and smaller businesses, but it has left warehouses, factories, farms, schools, retail sites and larger commercial properties outside the simpler STC pathway.
The Australian Government has now announced an expansion of the scheme to eligible solar systems up to 1MW. The policy is intended to address the commercial solar “missing middle” by making larger rooftop projects easier to justify and fund.
For a business with significant daytime electricity use, the opportunity is not only the certificate value. A well designed system can also reduce exposure to grid electricity prices, improve long term cost certainty and free capital for other priorities.
Discuss your site with a specialistIndicative certificate value
What could the expanded STC support be worth?
The table below is designed to show the potential scale of the incentive, not provide a quotation or confirm eligibility.
| Solar system size | Indicative STCs | Indicative value at $38 per STC |
|---|---|---|
| 100 kW | 691 | $26,258 |
| 200 kW | 1,382 | $52,516 |
| 500 kW | 3,455 | $131,290 |
| 750 kW | 5,183 | $196,935 |
| 1 MW (1,000 kW) | 6,910 | $262,580 |
All STC quantities and dollar values shown in this table are approximate and provided for illustration only. Actual STC entitlement and value may vary with location, installation date, deeming rules, final legislation, equipment eligibility, system configuration and the STC market price. The certificate benefit is commonly reflected as an upfront project discount after STCs are assigned to a registered agent.
Want to understand the likely value for your site?
A commercial solar assessment should consider the rebate, energy use, roof, network, tariff and project timing together.
Who may benefit
Large daytime energy users with suitable roof or ground space
The expansion is designed to make mid scale solar more accessible across a broad range of businesses and organisations.
Factories and manufacturing
Strong daytime loads can create a close match between solar generation and operational electricity demand.
Warehouses and logistics
Large roof areas may support substantial systems, including projects serving refrigeration, automation and vehicle charging.
Farms and agribusiness
Sheds, irrigation, cold storage, processing and pumping loads can create compelling opportunities where network and site conditions suit.
Retail and shopping centres
Daytime trading, air conditioning and refrigeration can support high onsite solar consumption across single or multi tenant assets.
Schools and community facilities
Large campuses can use solar to reduce operating costs and support long term sustainability goals.
Commercial property portfolios
Owners and asset managers may be able to improve operating costs, tenant value and portfolio energy performance across suitable sites.
Commercial decision framework
The rebate is only one part of a bankable solar project
A high quality commercial solar proposal should explain not only how many panels fit, but how the system supports the financial and operational goals of the business.
- Interval energy data: how much electricity is used and when it is used
- Roof and structural suitability: available area, condition, access, loading and future roof plans
- Network connection: export limits, protection requirements, approvals and likely timeframes
- Tariffs and procurement: how solar changes demand charges, contract structure and grid purchases
- Capital priorities: ownership, finance, tax treatment and internal hurdle rates
- Operational risk: installation staging, shutdown planning, equipment support and monitoring
- Future energy needs: batteries, EV charging, electrification, expansion and multi site strategy
A better project sequence
From energy data to long term performance
What businesses should do now
Prepare early without assuming the announcement guarantees eligibility
Collect energy information
Gather recent bills, interval data where available, operating hours and planned changes to electricity use.
Review site constraints
Identify roof age, structural information, access, switchboards, tenancy arrangements and upcoming building works.
Start network discussions
Larger systems can require detailed approval. Early connection work can protect the project timeline.
Compare the complete business case
Assess the STC value alongside grid savings, tariffs, finance, risk, maintenance and long term support.
Why GI Energy
A commercial energy partner, not just a panel installer
GI Energy has traded since 2011 and brings more than 15 years of industry experience across commercial solar, batteries and energy strategy. Our role is to help decision makers understand the complete commercial case and deliver a system that remains useful after installation.
Relevant commercial experience includes work associated with recognised organisations such as Snap Fitness, Jetts, Puma, John Deere, FoodWorks and Frasers Property.
Commercial solar rebate questions
Frequently asked questions
What is changing for commercial solar rebates?
The Australian Government has announced that the Small scale Renewable Energy Scheme will be expanded so eligible solar systems up to 1MW can create Small scale Technology Certificates. Until the change takes effect, the current 100kW limit continues to apply.
When will commercial solar systems up to 1MW become eligible for STCs?
Media reporting indicates an intended commencement from 1 October 2026. Final legislation, regulator guidance, eligibility rules and administrative processes should be confirmed before a business relies on that date.
How much could the STC benefit be for a commercial solar system?
It depends on the final scheme rules, system size, installation date, location, deeming period and the market value of STCs. Using 691 STCs per 100kW and an illustrative price of $38 per STC, a 1MW system has an indicative certificate value of about $262,580.
Is the STC benefit paid as cash to the business?
STCs are tradeable certificates. In many solar transactions they are assigned to a registered agent and reflected as an upfront reduction in the project price. The final contract should show exactly how the certificate value is treated.
Will every commercial solar project up to 1MW qualify?
No. Eligibility will depend on the final rules and the technical and administrative requirements for the project. Network approval, equipment, installer accreditation, metering, system boundaries and installation timing may all matter.
Should a business delay a solar project until the new rules begin?
Not automatically. Delaying can also mean continuing to buy more grid electricity. The right decision depends on current energy costs, project timing, network approvals, site constraints and the likely value of the expanded incentive.
Next step
Understand what the expanded STC scheme could mean for your site
Every project is different. A specialist discussion can help you assess likely incentive value, system size, network requirements, energy savings and the practical next steps for your business.
Queensland, most of New South Wales and metropolitan Victoria.
