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STC by system size and zone

What is the maximum solar system size for STCs?

Short answer

Under the long-standing rule, a solar system of up to 100 kW can create STCs; larger systems earn LGCs. For systems installed from 1 October 2026, the Small-scale scheme extends to 1 MW with a fixed five-year deeming period. Above 1 MW remains LGCs.

Written and checked by the Energy Merchants desk · Reviewed 3 October 2026 · For installers and homeowners

For years the answer was simple: 100 kW. A solar installation up to that size was a small generation unit and created STCs at install. Above it, the owner had to accredit a power station and earn large-scale generation certificates (LGCs) over time. That line has been moved. For systems installed from 1 October 2026, the Small-scale Renewable Energy Scheme extends to 1 MW, with a fixed five-year deeming period. Below 100 kW nothing changes, and above 1 MW remains LGCs. The pillar page is mid-scale solar STCs.

How the 100 kW limit is calculated

The limit applies to the total rated capacity of the solar panels in the system, in kW, added up across all panels on the same installation. It is not the inverter rating and it is not what the array will produce on a given day. Panel ratings come from the approved product list. A system with 250 panels at 400 W is 100 kW. The old rules also carried an annual output test for small units, so confirm the current limits with the Clean Energy Regulator (CER) for edge cases. The question of panels versus inverter is covered in panel size or inverter size.

Is a 99 kW system eligible?

Yes, and so is a 100 kW system. A 99 kW system in zone 3 creates about 684 STCs for a 2026 install (99 x 1.382 x 5), worth roughly $26,000 to $27,000 at $38 to $40 per STC. A 100 kW system creates 691. The full table is in STCs by system size.

99 kW versus 100 kW and the LGC line

The “99 kW trick” came from the cliff at 100 kW: just over it, you lost the upfront STC value and gained an LGC income stream instead. LGCs are created per MWh generated, so the money arrives slowly and depends on the LGC price, which has been low in 2026 (roughly $6 to $9 in September after a low near $4 in February). Designers therefore trimmed commercial systems to 99 kW.

Should you still build to 99 kW?

For installs from 1 October 2026, usually not. A 400 kW system now creates about 2,764 STCs in zone 3 rather than registering as a power station. Size the system to the roof and the load. Splitting a single site into several sub-100 kW systems to dodge rules has always attracted CER attention, and the extension removes the incentive to try. Systems installed before 1 October 2026 follow the old rules, so the install date, not the contract date, decides.

STCs or LGCs above the limit

Size Certificate When the value arrives
Up to 100 kW STCs At install, with the deeming period
Above 100 kW to 1 MW, installed from 1 October 2026 STCs (five-year deeming) At install
Above 1 MW LGCs Annually, as you generate

Applications for the extended band are reported to open mid to late November 2026, so confirm the process with the CER before promising customers a figure.

What this means for installers

Treat 100 kW as the old limit and check the install date before designing. If you are quoting a 150 kW or 400 kW system, read what installers need to know about the expansion and the counts for 200 kW to 1 MW.

From the desk: Never carve one project into several 99 kW systems to stay below a threshold. Design to the site, and let the certificate type follow the size.

For settlement on large jobs see STC trading and pricing.

Follow-up questions

People also ask

Is a 100 kW system eligible for STCs?
Yes. The small-scale limit is 100 kW, and from 1 October 2026 systems above that up to 1 MW can also create STCs.
Is the limit on panels or the inverter?
The size is the rated capacity of the panels, with inverter limits applying separately. See the panel versus inverter answer.
Should I design to 99 kW?
Not any more if you are installing after 1 October 2026. The old reason to stay under 100 kW was to avoid LGC registration.

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