5 August 2026 — The Australian Government has announced a significant expansion of the Small-scale Renewable Energy Scheme (SRES) for large scale rooftop solar: solar PV systems with total onsite capacity between 100 kW and 1 MW will become eligible to create Small-scale Technology Certificates (STCs), with the changes intended to apply to systems installed from 1 October 2026, subject to regulations being finalised.
For decades, this “missing middle” of Australian solar — commercial, industrial and agricultural systems too big for the residential scheme but too small for the large-scale market — fell into a gap. Systems over 100 kW could only create Large-scale Generation Certificates (LGCs), an annual, compliance-heavy arrangement designed for utility-scale generators. Elsons welcomes this decision: it is a genuine step towards unlocking large-scale rooftop solar for the commercial and industrial businesses that power Australia.
What large scale rooftop solar means for business owners
Under the proposed arrangements, a mid-scale solar system can create STCs upfront, based on its deemed lifetime generation — the same point-of-sale incentive that drove Australia’s rooftop solar boom. This changes the economics of business solar in two ways:
Option 1 — Upfront investment
For businesses ready to own their large scale rooftop solar system, STCs deliver a significant discount at the point of sale. On a large installation this can be worth tens of thousands of dollars off the upfront cost — shortening payback periods and improving ROI from day one.
Option 2 — $0 capex PPA
For businesses that want the savings of solar without tying up capital, Elsons’ $0 capex Power Purchase Agreement remains a compelling path: Elsons invests in, installs, owns and operates the system; the business simply buys power at an agreed rate. The STC uplift strengthens the economics of the asset Elsons carries — meaning more competitive PPA pricing and stronger savings for the customer, with no balance-sheet impact.
Introducing the next step: C&I battery storage, invested in and owned by Elsons
Elsons is also exploring a top-up to this offer: commercial & industrial (C&I) battery energy storage, invested in and owned by Elsons, bundled in when a business decides to install large-scale solar at the same time.
The logic is simple. Solar handles the daytime; a BESS captures excess generation for the evening peak, slashes demand charges, hedges against rising network tariffs and adds resilience. Because Elsons carries the investment and ownership, businesses get the full benefit of solar-plus-storage — lower bills, better energy independence — without the capital outlay. Bundling both into one project also means one design, one grid connection and one point of accountability.
What happens next
The changes are proposed to apply to systems installed from 1 October 2026, subject to regulations being in place. The Government is still finalising design, installation and compliance requirements for mid-scale systems — Elsons will keep customers updated as guidance is released. Existing arrangements are unaffected: accredited large-scale systems stay under the Large-scale Renewable Energy Target (LGCs), and systems under 100 kW continue under SRES as before.
If you’re a business owner considering large scale rooftop solar — with a site in the 100 kW–1 MW range, or planning to grow into it — this is the moment to model what solar (and solar-plus-storage) looks like under the new rules.
Talk to Elsons today to find out whether your site qualifies, and which path suits you best: outright purchase with the STC discount, a $0 capex PPA, or the full solar + BESS package — invested and owned by Elsons.
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