Albanese Government to Expand Solar Rebate to Commercial Rooftops

The Albanese government plans to expand its solar rebate scheme to cover commercial rooftops, targeting factories and warehouses in major cities. Energy Minister Chris Bowen will announce the change at the National Press Club on Wednesday, extending the rebate to systems up to 1 megawatt, up from the current 100-kilowatt cap. Bowen will also ask the Australian Energy Market Commission to consider a rule change requiring network providers to approve and connect commercial solar faster.

Australia leads the world in household rooftop solar, generating 22 gigawatts, but businesses have installed only about 5.6 gigawatts. Bowen estimates commercial rooftop potential could exceed 80 gigawatts. The added incentives, starting in October, could cut installation costs by about 20 per cent.

For example, a 250kW system on a medium-sized retailer could save about $68,000 upfront and generate 345 megawatt hours annually, saving $50,000 in electricity costs. The Smart Energy Council released a report citing costs and grid connection difficulties as key barriers. Its policy head, Robert Potter, said idle rooftop space could generate as much power as 10 coal-fired plants.