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LGCs, mid-scale and commercial solar

When does the SRES 1 MW expansion start, and are the regulations in place?

Short answer

The Small-scale Renewable Energy Scheme now covers solar above 100 kW up to 1 MW for systems installed from 1 October 2026. The Renewable Energy (Electricity) Regulations have been amended, and the CER says STC applications open in mid to late November 2026.

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

The expansion was announced by the Climate Change and Energy Minister, Chris Bowen, on 5 August 2026 at the National Press Club in Canberra. The headline was that solar systems between 100 kW and 1 MW would be able to create small-scale technology certificates, where previously anything above 100 kW could create only LGCs.

The dates

Date What happened
5 August 2026 Announcement: SRES to extend from 100 kW to 1 MW, with an expected start of 1 October 2026 subject to the regulations being in place
2026 Renewable Energy (Electricity) Regulations amended
1 October 2026 Eligible systems installed from this date create STCs
Mid to late November 2026 CER says applications open

So: yes, the regulations are in place at the time of writing, the start date is 1 October 2026, and the claims process comes later.

What the announcement promised

The government framed it as helping businesses, farms and community organisations, such as manufacturers, farmers, retailers, logistics centres, schools and hospitals, to cut energy costs, and as cutting the cost of a medium-sized system by around 20%. The expansion covers the “missing middle” of the market: bigger than a rooftop home, smaller than a utility farm.

What has not changed

  • Below 100 kW: nothing changes. Small-scale systems keep the existing deeming rules (5 years for 2026, 4 for 2027, down to 1 in 2030).
  • Above 1 MW: systems remain LGC territory.
  • Mid-scale systems use a fixed five-year deeming period.
  • The scheme as a whole still ends on 31 December 2030.

Transition questions

Installation date, system boundaries, upgrades and extensions to existing sites are the practical questions. The CER says it will publish further guidance, and it already provides a mid-scale solar STC calculator and transitional guidance. Existing SRES criteria and processes apply unless the regulations say otherwise. Choose between the STC pathway and other certificates carefully, since CER warns that choosing STCs prevents creating REGO certificates during the deeming period.

From the desk: for a job installed in October, keep the commissioning paperwork and photos exactly as for a smaller system. Nothing is lodged until November, but evidence taken late is hard to recreate.

Why the November opening matters

A claim cannot be lodged before applications open, so installers working in October and early November will hold completed jobs for a few weeks. That affects cash flow on larger projects, and it is worth telling commercial customers up front, particularly when the quote assumes an upfront STC discount.

What this means for you

If you quote commercial solar, say plainly that the STC discount depends on installation date and on applications opening. See the mid-scale solar STCs pillar, the how-many-STCs answer and STC trading. Check pricing for current rates, and the LGC pillar for what stays outside the change.

Follow-up questions

People also ask

Were the regulations in place on 1 October 2026?
Yes. The Renewable Energy (Electricity) Regulations were amended in 2026. The August announcement said the start was subject to the regulations being in place.
Can I lodge a claim now?
Not yet at the time of writing. The CER says applications open mid to late November 2026.
Does the change affect systems of 100 kW or less?
No. Below 100 kW nothing changes.

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