Commercial solar installation in Sydney
A Sydney energy assessment starts by locating the electricity connection, not by applying one metropolitan tariff. Confirm the distributor, retail contract and the loads behind each meter before comparing system options.
Vitalic delivers commercial and industrial energy systems Australia-wide, bringing solar, battery storage and control into one site assessment.
Sydney at a glance
- Network
- Ausgrid or Endeavour Energy
- STC zone
- Zone 3 (1.382)
- Solar exposure
- 16.3 MJ/m² a day
- Output per kW
- ~1,346 kWh a year*
- Noon sun height
- 33° June · 80° December
- Strongest month
- December
Two distributors serve metro Sydney
The Australian Energy Regulator lists Ausgrid for inner, northern and eastern Sydney, and Endeavour Energy for Greater Western Sydney. Their connection processes and tariffs differ, so a warehouse in Penrith and an office in Chatswood start from different rules. Read the distributor and connection details from the site’s records before modelling anything.
Connection categories set the timeline
Ausgrid automatically approves complying systems up to 30 kW. Above that it has separate categories for systems that limit export to 30 kW across the site, systems up to 200 kVA that export more, and systems from 200 kW to 1 MW, which it lists at 24 business days. Ausgrid also lets a site choose a flexible export connection or a fixed one. Endeavour fast-tracks three-phase systems under 30 kW and gives larger generators a detailed assessment.
Tariffs reward the right export window
Ausgrid groups large business tariffs by annual consumption: EA302 for 100 to 160 MWh, EA305 for 160 to 750 MWh and EA310 above that, with a large business flexible load trial tariff (EA905) from 2026–27. Endeavour places low-voltage business sites using more than 160 MWh a year on its kVA demand tariff, N19, once the metering and consumption history are in place, with a 4pm to 8pm business-day peak and a higher demand charge from November to March. N19 has no export price. Smaller Endeavour sites on its two-way tariff pay 1.86 cents per kWh, excluding GST, for exports between 10am and 2pm above 2,920 kWh a year, and earn a credit for exports between 4pm and 8pm on business days. Either way, a battery that moves midday solar into the late afternoon is working with the network’s price signal.
The NSW business battery discount
The NSW Peak Demand Reduction Scheme gives businesses a discount on batteries commissioned from 1 September 2026, usually applied upfront in the quote by an Accredited Certificate Provider, although larger batteries may need different financial arrangements; the paperwork is signed before installation. Batteries over 20 kWh and up to 200 kWh need a customer payment of at least $5,000 excluding GST; larger batteries, up to 30,000 kWh, need none, and earn certificates on their first 10,000 kWh. The battery must be internet-connectable and controllable by a demand response aggregator, but joining a virtual power plant is not required, and the discount may be higher when the battery goes in within 90 days of new solar. The NSW Government’s indicative figure is about 30 to 40 per cent off the cost of installing the battery when it goes in with new or additional solar, or 20 to 30 per cent for a battery alone, and it can be combined with the federal certificates where the system is eligible for both.
Energy Savings Scheme upgrades in the same project
Rooftop solar is not eligible under the NSW Energy Savings Scheme, but equipment that often goes in alongside it can be: heat pump water heaters, air conditioners of 30 kW and more at large business sites, high-efficiency motors, refrigeration and power factor correction to at least 0.9 lagging. From 1 January 2027 the confidence factor for heat pump water heaters of 10 kW and above falls from 1 to 0.7, so a project completed in 2026 earns more certificates. As with the battery discount, the provider has to be engaged before the work is committed.
Planning rules and City of Sydney programs
Roof-mounted solar on a commercial building is exempt development in NSW, and the planning policy sets no kilowatt limit for it, provided it meets the structural, protrusion and heritage conditions. A battery that stores only on-site solar is exempt up to 20 kWh and, outside residential zones, can be complying development up to 200 kWh; a larger battery, or one that also charges from the grid, needs development consent. In the City of Sydney, development applications lodged from 1 January 2026 for offices of 1,000 m² or more, hotels of 100 rooms or more and shopping centres of 5,000 m² or more must achieve net zero emissions from energy used on-site, through renewable energy generated on site and renewable energy bought from off-site sources for at least five years. The City’s green building grants fund ratings, assessments and upgrade support for commercial buildings more than 10 years old, up to $50,000 a project with at most $10,000 for capital works, and reopen in July 2027, and its CitySwitch program supports office-based businesses free of charge.
Keep access and approvals in the scope
Provide roof information, electrical drawings and any restrictions on shutdowns or delivery access. For a leased warehouse or mixed-use building, establish who pays the bill, who controls the equipment and who can authorise installation. Savings and export assumptions should remain conditional on the verified tariff and connection outcome.
Commercial solar in Sydney: common questions
What is the government rebate on a 100 kW solar system in Sydney?
The federal incentive is small-scale technology certificates (STCs), which installers usually take as an upfront discount. For the example postcode 2000 (Sydney, Zone 3), a new 100 kW system installed in 2026 creates 691 STCs (100 kW × 1.382 × 5 years). At the Clean Energy Regulator’s reported spot price of $39.85 that is about $27,500. This is a postcode example, not a site eligibility check. Confirm your own site’s postcode and eligibility. The figure for a 100 kW system falls each year as the scheme approaches its 2030 end.
Which distributor serves my Sydney business?
Ausgrid covers inner, northern and eastern Sydney; Endeavour Energy covers Greater Western Sydney. Ausgrid has an online network-area check, and the distributor is named on your bill.
How long does Ausgrid take to approve a commercial solar connection?
Complying systems up to 30 kW are approved automatically. Ausgrid lists 10 business days for systems up to 200 kVA that limit export to 30 kW, and 24 business days for systems from 200 kW to 1 MW. Systems above 1 MW are assessed individually.
Are there NSW incentives for business batteries?
Yes. The Peak Demand Reduction Scheme discounts business batteries over 20 kWh commissioned from 1 September 2026, usually upfront in the quote through an Accredited Certificate Provider. The NSW Government’s indicative figure is about 30 to 40 per cent off the cost of installing the battery with new or additional solar, or 20 to 30 per cent for a battery alone, and it can be combined with the federal certificates where the system is eligible for both.
More on commercial battery storage and what makes a battery a strategic asset.
Does commercial rooftop solar need council approval in Sydney?
Usually not. Roof-mounted solar on a commercial building is exempt development in NSW if it meets the structural, protrusion and heritage conditions. A battery that stores only on-site solar is exempt up to 20 kWh and can be complying development up to 200 kWh outside residential zones; a larger battery, or one that also charges from the grid, needs development consent.
What STC zone is Sydney in?
Sydney postcodes fall within 1001 to 2355, which is Zone 3 under the 2019 zone-ratings instrument, with a rating of 1.382.
Can a Sydney business claim certificates on a system larger than 100 kW?
From 1 October 2026, new solar systems above 100 kW and up to 1 MW can create small-scale technology certificates (STCs), with a fixed deeming period to 2030. The Clean Energy Regulator says applications for these systems open in mid to late November 2026, and evidence of network connection approval is required. Only capacity installed on or after 1 October 2026 is eligible, so an extension earns certificates on the added panels only.
Sources
- Australian Energy Regulator — who is my distributor
- Ausgrid — solar connection charges and categories
- Ausgrid — network area check
- Endeavour Energy — connect online
- Ausgrid 2026–27 pricing proposal overview (AER)
- Endeavour Energy 2026–27 pricing proposal (AER)
- Endeavour Energy — network price list 2026–27
- NSW Government — batteries for businesses incentive
- IPART — Peak Demand Reduction Scheme Rule (7 September 2026)
- IPART — PDRS Method Guide v3.1
- IPART — Energy Savings Scheme excluded activities
- IPART — Energy Savings Scheme activities for businesses
- IPART — Energy Savings Scheme rule and changes
- IPART — new ESS and PDRS rules commenced 1 July 2026
- NSW legislation — State Environmental Planning Policy (Transport and Infrastructure) 2021
- City of Sydney — green building grants
- City of Sydney — CitySwitch
- NSW legislation — Sydney Local Environmental Plan 2012, clause 7.33
- City of Sydney — Sydney Development Control Plan 2012, section 3
- Solar (PV) zone ratings instrument 2019 (F2019L01583)
- Clean Energy Regulator — mid-scale solar (100 kW to 1 MW)
- Bureau of Meteorology — Sydney (Observatory Hill) station 066062 climate statistics
- PVGIS 5.3, EU Joint Research Centre
- Clean Energy Regulator — calculate STC entitlements (deeming periods)
- Clean Energy Regulator — quarterly carbon market report, June quarter 2026 (STC prices)
- Australia Post — Sydney postcode
Confirm requirements for your specific connection with the distributor named on your bill.
Compare the options for your site
Explore commercial solar, battery storage, intelligent control and EV charging, or read how they work together. For a starting estimate from your annual electricity use, try the solar sizing calculator.
Nearby service areas
* Illustrative. Output is modelled with PVGIS 5.3, EU Joint Research Centre for 1 kW laid flat, 14% system losses and 2005–2023 weather; a real system depends on its roof, shading and equipment. Panels tilted 34° to the north would give the most generation, about 16% more (1,565 kWh per kW), but need frames that usually cost more than the extra output earns. Solar exposure is the Bureau of Meteorology’s long-term station mean. The 100 kW certificate example uses postcode 2000, its statutory zone rating and 5 deeming years, with the count rounded down. The displayed value is floored to $100 at the Clean Energy Regulator’s reported spot price; installers usually take certificates as an upfront discount. A site’s postcode and eligibility require confirmation.