• New Activities & Updates to the NSW PDRS
• Game On: $17.6M energy upgrades for Community Sport Clubs Now Open
• Certificate Market Prices & Commentary

NSW PDRS Updates: New Battery (BESS) Activity, HVAC Updates and Other Potential Activities.

New activities have been released by the NSW government under the PDRS scheme. 

Peak Demand Reduction Scheme (PDRS) Battery Updates

Effective 1st of July 2026:

• • BESS1 (Residential & Government): Reintroduced for single-dwelling residential and small business sites, explicitly limited to government-owned/managed buildings and approved Exempt Energy Programs.
  • BESS2 (Residential VPP): Continues as normal for grid-connected VPP batteries; updates allow client nomination forms to be signed within 90 days of onboarding alongside minor adjustments to certificate calculations.

Commencing 1st of September 2026:

• • BESS3 (Apartments): A new activity targeting apartment complexes, with a minimum site requirement of at least 4 dwellings.
  • BESS4 (Small & Medium Business): Co-covers systems ranging from 20 to 200kWh in capacity; notably, the first 100kWh can be stacked alongside the Commonwealth Cheaper Home Batteries Program (CHBP).
  • BESS5 (Commercial & Industrial): Supports large-scale installations between 200kWh and 30MWh, with certificate eligibility capped at the first 10MWh of capacity.

Read out Feature: ESS & PDRS Changes: Big Batteries for EPCs & OEMs

 

Air Conditioning – Residential & Small Business (HVAC1)

• • System Inclusion: Multi-split systems are now officially included under HVAC1.
  • Minimum Co-payments:
    • Under 10kW: Increased to a minimum of $500 (ex GST).
    • Multi-Split & Ducted Systems: Minimum co-payment ranges from $1,000 to $3,000 (ex GST).
  • Certificate Caps (Multi-Split Systems):
    • Cold Zones: Capped at 90 ESCs and 500 PRCs.
    • Average & Hot Zones: Capped at 70 ESCs and 500 PRCs.

 

Air Conditioning – Commercial Systems

• • PRC Eligibility: Systems greater than 65kW are now eligible for PRCs, with a minimum capacity threshold of 30kW.

> Read our Feature: ESS & PDRS Changes: Air Conditioning & HVAC

 

For further details on new V2G and insulation activities, read the ESS & PDRS Changes: Upcoming Activities Feature.

Game On: $17.6M Energy Upgrades for Sports Clubs Now Open.

Round 1 of the Game On: Teaming Up for Climate Action program is now open, offering $17.6 million in funding to help up to 500 community sports clubs slash operating costs by upgrading to energy-efficient technologies. Clubs may be eligible to access funding for projects that:

• • upgrade facilities with energy efficient technologies (Like Energy Audits, PV and Batteries, HVAC and Lighting Upgrades)
  • improve their shade and drainage systems
  • enhance their resilience to extreme weather events

Administered alongside the Clean Energy Finance Corporation and the Cheaper Home Batteries program, the initiative is supported by Sport Forever (led by Cricket for Climate) to ensure clubs maximise their return on investment.

 

Applications are open via GrantConnect and will close on 28 July 2026 (or earlier if funds are exhausted); for those who missed the live 2 July briefing, a webinar recording is available online, and ongoing application support can be reached at support@communitygrants.gov.au.

 

See DCCEEW Sports Club Energy and Climate Upgrades for more details. 

Weekly Market Update | 29 June – 3 July 2026.

Large-Scale Generation Certificates (LGCs)

The LGC spot market experienced significant volatility and high trading volumes this week with a mid-week dip followed by a steady recovery. The week opened on Monday with prices starting at a high of $8.75 before sliding down to $7.75 across multiple 10k and 25k parcels. This downward momentum accelerated into Tuesday, to a weekly low of $5.85 before rebounding back to $6.90 and $7.00 by end of the day. By Wednesday and Thursday, the market stabilised with a firm floor around $6.00 and steadily climbing upward to a mid-week high of $7.25. The market then consolidated on Friday, closing out the week at $7.00.

LGC’s future market mirrored the frenzy of the spot. Monday kicked off with strong demand across the nearer terms, with CAL 26 peaking at $8.75, CAL 27 to $8.50 and CAL 28 trading down to $7.75. Tuesday saw a decline with both CAL 26 and CAL 27 dragged down to lows of $6.25 and $6.00 during the day, while CAL 27 rose back up to $7.00. Wednesday and Thursday saw trades towards later terms, with CAL 29 and CAL 30 seeing trades settling at $5.50 and $5.75. By Friday, the week closed with the last CAL 26 at $7.00 in a final 25k trade.

Victorian Energy Efficiency Certificates (VEECs)

VEEC spot market saw little activity this week, trading seeing a marginal increase of 0.8%. VEECs opened on Tuesday at $81.30 before marginally increasing to $81.50 on Wednesday and settling at a high of $82 by Thursday.

 

This is reflected by the forward market seeing positive forwards trading at a higher of $82.25 for Jan- 27 and $81.75 for Oct-26.

Energy Saving Certificates (ESCs)

As the month of June wrapped up, creation levels of ESCs increased by fourfolds compared to its volume in the previous months as 2025 vintages are rushed in. Bringing a total of 945k ESCs registered for this quarter- a 24% decrease in creation levels compared to the first quarter of 2026.

The ESC spot market saw high trading throughout the week. Monday opened with steady activity as prices traded between $29.50 and $29.75. Trades continued on Wednesday reaching a floor of $28.75, before the market rallied later in the day back up to $29.75.This upward momentum continued into Thursday, lifting the market to a weekly high of $30.50 before easing back to $29.50 by noon.

The week drew to a soft close on Friday, settling to $29.10 and $29.25 in smaller trades.

Peak Reduction Certificates (PRCs)

PRC creations in June jumped to 1.4mil, just a bit over two folds in comparison to those created in May. This brings the total PRC created for the quarter to 2.6mil, an 8% increase compared to the first quarter of the year.

PRC spot market experienced a 17% decline from last week, with the majority of the action seen on Thursday through a single $3.00 spot trade and a Nov26 forward contract at $3.20, each moving 50k parcels. This subdued activity comes on the heels of the recent ESS ruling announcing the introduction of the latest Commercial Battery rules starting September 1st. Consequently, participants are taking time to digest the regulatory changes, and the market is expected to react as the newly released activity begins to impact supply and demand dynamics.

As one of the top PRC creators in 2026, Ecovantage is looking forward to working with our partners under these new activities. If you’re interested in learning more, please do not hesitate to reach out or visit our website: Ecovantage Website PRCs

Australian Carbon Credit Units (ACCUs)

The ACCU spot market saw moderate activity this week with a marginal increase. Spot No AD opened the week at $37.98 on Monday and declined to a resistance level of $37.85 midweek before closing the week at a high of $38.00.

ACCU Generics only saw one trade, with a 5k parcel at $37.95 and no other trades reported.

Small-Scale Technology Certificates (STCs)

STC market saw limited activity this week with only one trade going ahead at $39.80 at a 7k parcel firming up its resistance. No forward activity is reported for the week.

Certificates spot prices & graphs available at Market Update >

At Ecovantage, we consistently analyse market activity, policy changes, consultation releases, and creation rates in conjunction with wider landscape activity. This allows us to keep our clients at the forefront of all relevant changes, and to leverage the advantage that this presents. Thank you for your continued support, and please reach out if you have any general or project-specific questions.