Overview
- The Albanese government announced on Tuesday that the Small-scale Renewable Energy Scheme cap will rise from 100 kilowatts to 1 megawatt, with the expanded incentives due to start on October 1.
- Ministers say the new incentives should cut the up-front cost of medium-scale commercial systems by about 20 percent and immediately lower businesses' energy bills.
- Government examples show a 250 kW system could save roughly $68,000 on installation and about $50,000 a year in bills, while an 850 kW system could get about $232,000 up front and save about $175,000 a year.
- Energy Minister Chris Bowen will ask the Australian Energy Market Commission to require faster, clearer network approvals because slow and inconsistent connection processes have blocked many business projects.
- Industry and environment groups broadly welcomed the move as a major boost for the 'missing middle', but they warned that reaching the 82% renewables-by-2030 goal will also need firming capacity, faster generator closures, and further policy action.