The federal government has raised the Small-scale Renewable Energy Scheme (SRES) eligibility cap from 100 kilowatts to 1 megawatt.
Under the changes, new installations and expansions of existing systems up to 1 MW will be eligible for upfront, deemed certificates rather than the progressively priced Large-scale Generation Certificates that currently apply above 100 kW.
Eligible systems will also retain a five-year deeming rate through to 31 December 2030, rather than facing the annual step-down that applies to smaller systems as the scheme winds down.
Smart Energy Council (SEC) head of policy and advocacy Robert Potter said over 10 million Australians have slashed their power bills with solar, now business can do the same.
“Commercial and industrial solar represents the generation capacity of ten of Australia’s biggest coal-fired power plants,” Potter said.
“For a small or medium business, the difference between an upfront, certain incentive and a progressively priced one can be the difference between a project stacking up and one that doesn’t.”
Previously the commercial and industrial segment between 100 kW and 30 MW – commonly known as the “missing middle” – had been suppressed by a policy gap between the small-scale and large-scale renewable energy schemes.
Solar Citizens senior campaigner Alia Armistead said large commercial, industrial and public roofs had been a massive missing piece in Australia’s renewable energy capacity.
New modelling by Nexa Advisory estimates that commercial and industrial (C&I) consumer energy resources, including rooftop solar and batteries, could deliver up to $39.7 billion in gross energy-system benefits every year.
Nexa Advisory CEO Stephanie Bashir said these commercial and industrial projects can be delivered quickly, on existing buildings, and close to where electricity is consumed.