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Commercial Solar Just Got More Attractive: Federal Incentive Expands to 1 MW

Australia’s Small-scale Renewable Energy Scheme (SRES) has played a pivotal role in making rooftop solar more affordable for households since 2011. Now, this successful initiative is set to open a new chapter for Australia’s commercial solar sector, paving the way for larger rooftop solar installations to benefit from similar upfront financial incentives that helped drive the nation’s household solar revolution.

In a significant step towards accelerating commercial solar adoption, the Federal Government has officially announced the expansion of the SRES, increasing the eligibility threshold for Small-scale Technology Certificates (STCs) from 100 kW to 1 MW, effective 1 October 2026. This expansion is expected to create new opportunities for businesses to invest in larger rooftop solar systems, reduce upfront installation costs and embrace cleaner, more affordable energy.

Whether the Commercial Rebate Is Worth or Not:

The expansion of the Small-scale Renewable Energy Scheme (SRES) could reduce the upfront cost of commercial solar panel installations by around 20%, making renewable energy more accessible for warehouses, factories, schools, shopping centers, medium-sized businesses, farms, community organizations agricultural operations, and other large commercial facilities. For businesses considering solar, this could represent one of the most significant commercial solar rebate opportunities Australia has ever seen.

Why SRES Is Pivotal for Your Business Growth:

Most businesses consume much of their electricity between 9 am and 5 pm, coinciding with peak solar generation hours. This natural alignment allows a well-designed and appropriately sized commercial solar system to offset costly grid electricity directly, rather than exporting surplus power for relatively low feed-in tariffs. This is where commercial solar delivers its greatest financial value, helping businesses reduce electricity bills and maximize their return on investment. The grid benefits as well. More solar generating where daytime demand is, on factory and warehouse roofs, reduces strain on the network without needing new transmission.

Grappling Towards the Missing Middle:

Australia has set a benchmark of becoming a global leader in residential rooftop solar now it’s grappling to become a commercial rooftop solar leader remain an enormous, untapped resource as the large-scale solar farms continue to grow rapidly across the country. Medium-scale commercial solar systems generally range from 30 kW to 100 kW in capacity where in Australia there are countless warehouses, distribution centers, schools, factories, office buildings, and farm sheds feature expansive roof space that receives excellent sunlight every day but currently generates no electricity.

“Missing middle”, a segment caught between two better-supported markets such as commercial and industrial. Household solar has benefited from simple incentives and a mature installation industry, while large-scale renewable projects attract institutional investment and dedicated government support. Mid-sized commercial, industrial and agricultural projects, however, have often been too large for the traditional small-scale framework yet too small to justify the costs and complexity of utility-scale development. Expanding the Small-scale Renewable Energy Scheme (SRES) from 100 kW to 1 MW helps close this gap, bringing more projects into an accessible support framework and reducing the upfront cost of eligible solar installations.

Who Is Eligible:

While more than one in three Australian households have already embraced rooftop solar, adoption across commercial and industrial buildings has lagged behind. According to the Institute for Energy Economics and Financial Analysis (IEEFA), Australia has more than 80 GW of potential commercial rooftop solar capacity, yet only 5.6 GW has been installed to date. Expanding the Small-scale Renewable Energy Scheme (SRES) could help bridge this significant gap by giving businesses access to the same proven upfront incentive model that has enabled millions of Australian households to invest in rooftop solar. By extending these incentives to commercial rooftops, Australia could unlock an enormous untapped solar opportunity, helping businesses lessen energy costs while accelerating the nation’s clean energy transition.

Electrifying Australia - Helping NSW Businesses Access Commercial Solar Incentives:

For NSW businesses looking to take advantage of the solar, opting the right installer can make the process much easier. Electrifying Australia supports businesses throughout the journey from understanding the incentive and eligibility requirements to selecting suitable battery solutions and completing the installation.

Electrifying Australia is not only a trusted, renowned solar retail company but also a reliable partner of leading manufacturers and suppliers of clean energy solutions comprising highly experienced professionals comprising engineers, installers, and operational staffs.

Electrifying Australia has successfully deployed 3,000 clean energy installations across New South Wales and delivers products that are vetted and listed by the Clean Energy Council (CEC) and go through rigorous inspection before delivering to customers. The company won the SunWiz Award in 2026, being recognized among Australia’s top 50 most popular solar panel installers and top 10 for customer ratings in New South Wales.

Moreover, Electrifying Australia won the Smart Installer Award at the Smart Energy Excellence Awards 2026, presented by the Smart Energy Council.

Get A Free Solar Assessment:

The commercial rooftop solar panel rebate can make this convenient for commercial businesses to install a solar panel system and lessen their reliance on grid electricity.

Contact Electrifying Australia today for a free, no-obligation solar panel and battery assessment. Our team can review your energy usage and recommend a system tailored to your NSW commercial space or property about how you can take advantage of the rebate or discuss partnership opportunities.

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Electrifying Australia acknowledges Aboriginal and Torres Strait Islander peoples as the Traditional Custodians of the land on which we operate. We pay our respects to Aboriginal and Torres Strait Islander Elders past, present, and emerging.