Following extensive consultation with industry, the Clean Energy Regulator has developed the below framework to help potential participants determine the scheme that suits their proposed solar system. The framework will be used in assessing applications for solar PV systems that may be eligible as a small generation unit or power station. The framework does not apply if:
For clarity, if the primary purpose of generation from a facility (such as solar farms) with an aggregated solar PV over 100 kW capacity, or if the system is for the commercial sale of electricity only, then it may be eligible as a power station but is not eligible as a small generation unit.
An important element in deciding which scheme your system may be eligible for is understanding the boundaries of your system or device.
Renewable Energy (Electricity) Act 2000 defines a small generation unit (including solar PV systems) as a ‘device’. The Clean Energy Regulator considers the boundaries of the device to be:
Depending on the configuration of a system, there may be different ways to determine the device boundary, including:
Any solar PV device with a kilowatt rating of not more than 100 kW may be eligible to participate in the Small-scale Renewable Energy Scheme.
A device with a kilowatt rating more than 100 kW may only be considered eligible for accreditation as a power station in the Large-scale Renewable Energy Target.
Where a system is sized under 100 kW, claims STCs and additional capacity is installed taking the total installed capacity behind a NMI to over 100 kW, the additional capacity will not be eligible for STCs. However, the electricity generated by the additional capacity may be eligible for LGCs if the system is accredited as a power station.
scenario examples to help you determine your eligibility.
This guidance only addresses system capacity, however additional eligibility requirements exist and must be met to participate in either the Large-scale Renewable Energy Target or the Small-scale Renewable Energy Scheme. Please refer to
How to participate in the Renewable Energy Target for further eligibility requirements.
The default position of the Clean Energy Regulator will be to apply this framework when assessing applications for solar PV systems as Small Generation Units and power stations.
If an applicant is aware of any technical or contractual arrangements that result in a proposed system not fitting the framework, then the applicant must provide full details of the proposed system to the Clean Energy Regulator, outlining why the system does not fit the framework and why it is eligible for the scheme the applicant wants to register for.
The Clean Energy Regulator will review this guidance if it becomes aware of information that substantially affects the operation of the scheme.
Participants who have previously received advice from the Clean Energy Regulator which is contrary to this framework are encouraged to
contact the Clean Energy Regulator prior to system installation to clarify scheme eligibility.
This information is for general use only and does not represent a statement of the policy of the Commonwealth of Australia. The Commonwealth of Australia and all persons acting for the Commonwealth preparing this information accept no liability for the accuracy of, or inferences from, the information, or for any action as a result of any person’s or group’s interpretations, deductions, conclusions, or actions in relying on this information.
This information should be read in conjunction with the
Renewable Energy (Electricity) Act 2000, and supporting regulations. Changes to the legislation may affect this information.
This information is not intended to provide legal advice. Entities are responsible for determining their obligations under the law and for applying the law to their individual circumstances. Entities should seek independent professional advice if they have any concerns.
This information provides examples of how the
Boundaries of a solar photovoltaic (PV) device framework may be applied. Please review the examples along with the framework.
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