What Is Australia's Rooftop Solar Support Scheme?

The Small-scale Renewable Energy Scheme is a federal government initiative that helps reduce the upfront cost of eligible renewable energy installations. It uses small-scale technology certificates, commonly known as STCs, which have a financial value.

For many eligible installations, a solar retailer or installer arranges the certificate process and passes the value to the customer as a discount on the purchase price. The customer generally assigns the right to create and sell the certificates to the retailer or registered agent in exchange for the upfront discount.

Before the 2026 expansion, the SRES supported eligible rooftop solar systems up to 100 kW. The amended rules extend support to qualifying mid-scale solar PV systems above 100 kW and up to 1 MW installed from 1 October 2026.

The expansion aims to help organisations with larger electricity needs access support that was previously more limited for systems above the existing size threshold. It does not mean every commercial solar project automatically qualifies: technical, installation, product and regulatory conditions still apply.

How Much Can a Business Save on Solar Installation?

The Australian Government has described the expanded scheme as capable of reducing the upfront cost of eligible mid-scale rooftop solar installations by around 20 per cent. The actual benefit will depend on the size and design of the system, the location, the relevant certificate calculation and the commercial terms offered by the installer.

A 20 per cent estimate should not be treated as a guaranteed rebate or a promise that every business will receive the same percentage. Each proposal should clearly show the system price before support, the value of the STC discount and the final amount payable.

These figures are examples for understanding a 20 per cent reduction, not official rebate quotations or guaranteed certificate values. They assume the percentage applies to the full illustrated installation price. The actual discount must be calculated from the eligible project and the offer provided by the retailer or installer.

Businesses should request itemised quotes from more than one qualified supplier and compare the equipment, warranties, installation scope, grid connection costs and expected certificate discount before choosing a system.

Which Businesses and Organisations May Benefit?

The expanded support is aimed at organisations that need larger solar installations than the traditional small-scale rooftop market. The relevant system must still meet the scheme's eligibility rules.

The type of organisation alone does not determine eligibility. System capacity, installation date, equipment, installer accreditation and other requirements must be checked for the individual project.

Which Solar System Sizes Are Eligible?

The expanded SRES covers eligible mid-scale solar PV systems above 100 kW and up to 1 MW when installed from 1 October 2026. The existing scheme continues to cover qualifying smaller installations under its applicable rules.

Capacity is only one part of the assessment. Businesses should confirm how the regulator treats the proposed installation, including connected equipment, related systems, extensions and upgrades, rather than relying on the panel rating alone.

How Does the STC Discount Work?

Small-scale technology certificates represent the eligible renewable energy benefit calculated under the SRES. For qualifying solar systems, the number of certificates depends on factors set by the scheme, including the system's eligible capacity and the applicable calculation method.

For mid-scale solar systems above 100 kW and up to 1 MW, the expanded scheme uses a fixed five-year deeming period for calculating the relevant certificate entitlement, subject to the regulations and the Clean Energy Regulator's guidance.

In a typical arrangement, the installer or retailer explains the estimated STC value and offers to apply that value as an upfront discount. The customer assigns the right to create and sell the certificates in exchange for the discount. Other arrangements may be possible under the scheme, but the customer must follow the applicable requirements.

What to check in your solar quote

• Total system price before the STC discount.
• Estimated STC quantity and the value applied to the quote.
• Final price payable after the discount.
• Installer and equipment accreditation details.
• Any separate costs for engineering, switchboards, metering or grid connection.
• Warranty coverage, maintenance and performance assumptions.

Are Applications Open in October 2026?

The Clean Energy Regulator confirms that eligible mid-scale installations from 1 October 2026 fall within the expanded scheme, subject to the applicable conditions. However, its published guidance states that STC applications for mid-scale systems will not open until mid-to-late November 2026, allowing time for the necessary systems and processes to be implemented.

The regulator says assessment of these applications will begin after applications open. Businesses planning installations in October should therefore distinguish between the effective date of eligibility and the date on which the regulator begins accepting applications for the new category.

If a project has already commenced or its installation timing is affected by the transition, the Clean Energy Regulator has published transitional guidance. Contact the regulator promptly if there is uncertainty about how the rules apply to a particular project.

Do not assume that a system is approved merely because it was installed after 1 October. Confirm the required documentation, timing and application process through the official regulator before relying on a discount in your financial planning.

How Businesses Can Access Rooftop Solar Support

1. Review electricity usage.

   Collect recent electricity bills and assess when your business uses the most power. A system sized to your demand profile may deliver better value than simply installing the largest possible system.

2. Check the roof and site requirements.

   Arrange an assessment of roof condition, available space, structural capacity, shading, electrical infrastructure and network connection requirements.

3. Obtain quotes from qualified suppliers.

   Ask for itemised quotations from reputable retailers and accredited installers. Confirm that the proposed panels and inverters meet the applicable product requirements.

4. Confirm eligibility under the expanded SRES.

   Check the capacity, installation date and technical requirements with the Clean Energy Regulator or a knowledgeable scheme participant.

5. Understand the STC arrangement.

   Ask how certificates will be calculated, who will create and sell them, what discount will be applied and what documentation you must sign.

6. Obtain grid connection and regulatory approvals.

   Check the relevant state or territory requirements, electrical safety rules, planning conditions and distribution network connection arrangements before installation or commissioning.

7. Keep project records.

   Retain the contract, system specifications, invoices, installation documents, approvals and records of any certificate discount.

Can Businesses Combine Solar Support With Battery Incentives?

Australia also operates the Cheaper Home Batteries Program through an expansion of the SRES. The program provides around a 30 per cent discount on eligible small-scale battery systems, subject to the rules in force at the time of installation.

The Clean Energy Regulator states that the battery program can support eligible small-scale battery systems installed alongside new or existing solar, including in association with mid-scale solar PV systems. Battery eligibility is assessed under its own requirements and should not be assumed simply because a rooftop solar installation qualifies.

Businesses considering both solar panels and storage should ask the installer to itemise the solar and battery components separately, explain the applicable support for each and show the final cost. Confirm that the proposed battery, installer and installation arrangement meet the relevant program conditions.

Battery economics depend on electricity tariffs, operating hours, export limits, the business's consumption profile and the value of stored electricity. A discount can reduce the initial investment but does not guarantee a particular payback period.

How Rooftop Solar Can Reduce Business Energy Costs

Solar panels generate electricity during daylight hours. Businesses that use a significant share of their electricity while the panels are producing power may be able to purchase less electricity from the grid.

Potential benefits include lower electricity purchases, reduced exposure to volatile energy markets and better use of available roof space. A suitable battery may allow some solar electricity to be stored for later use, but it adds to the installation cost and requires a separate financial assessment.

Savings are not automatic. They depend on the system design, solar generation, electricity consumption, retail tariffs, export arrangements, maintenance costs, financing costs and the amount of power consumed on site.

Before signing a contract, request a financial estimate that clearly separates projected energy savings from the upfront STC discount. Use realistic assumptions and consider changes to the business's future energy demand.

Important Conditions and Common Mistakes to Avoid

• Do not treat 20 per cent as guaranteed: It is the government's estimate of the potential upfront reduction, not a universal fixed rebate.
• Check the installation date: The expanded mid-scale rules apply to eligible systems installed from 1 October 2026.
• Verify system capacity: The expanded category covers systems above 100 kW and up to 1 MW, subject to scheme requirements.
• Use qualified installers: Installer accreditation and compliant products are important conditions under the scheme.
• Check application timing: Mid-scale STC applications are expected to open in mid-to-late November 2026, according to the regulator.
• Do not ignore connection costs: Network upgrades, switchboards, metering and engineering may affect the total project cost.
• Compare complete quotes: A larger discount does not necessarily mean the best overall deal if the equipment, installation scope or warranty differs.
• Confirm all additional incentives: State and territory programs may have separate rules, funding limits and application windows.

Frequently Asked Questions

Official Government Resources