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C&I Solar Incentives Increased: STC Cap Expanded to 1MW

Ecovantage welcomes the announcement from Minister Chris Bowen to expand the Solar STC cap from 100kW to 1,000kW (1MW) – a massive a massive gamechanger for the Commercial & Industrial (C&I) sector.

For years, Australia’s energy transition had a clear gap. Residential solar boomed under STCs, and massive utility scale projects had direct federal investment or underwriting, but mid-sized commercial solar got stuck in the middle. Falling LGC prices meant larger rooftop systems on factories, shopping centres, and warehouses could not compete in world of rising capital costs.
 

This reform changes the game completely.

 
Mid-scale C&I projects will now get upfront certificate value, slashing installation costs by ~20% and removing complex administrative hurdles.
 

What this means for your next project:

  • Stackability with other incentives: Combined with state incentives like PRCs (Batteries in NSW) and VEECs (PV Solar in VIC), the business case for C&I solar has never been stronger.
  • Upfront Economics: Guaranteed, upfront certificate value for systems up to 1MW, lowering capital expenditure by ~20% at the point of sale, rather than waiting years to monetise LGCs.
  • Expected Discount size: A 250kW medium solar system will have an estimated discount will be about $68,000 or a $136,00 off a 500kW system. 
 
As one of the most proven and experienced certificate creators in the C&I solar space, Ecovantage is ready to help you navigate these complexities. 
 
If you have a commercial project in the pipeline or want to see how these SRES changes affect your upcoming builds, let’s chat!
Nancy Sanjoto

Nancy Sanjoto | Account Manager, Energy & Carbon Services
Nancy specialises in the federal battery & solar schemes (STCs & PRCs), LGCs under the federal Renewable Energy Target, as well as HEER & IHEAB activities under the NSW ESS program,

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