South Korea and Australia expand renewable energy trading and incentives

South Korea and Australia are implementing regulatory changes to expand the commercial viability of small and mid-scale renewable energy systems.

In South Korea, the Ministry of Climate, Energy and Environment announced plans to allow residential and small commercial entities with renewable facilities of 10kW or less to trade surplus electricity. Currently classified as general electrical installations, these assets will be reclassified as dedicated private electrical installations for transaction purposes. This change aims to allow small-scale producers to monetize excess capacity by feeding it back into the grid.

In Australia, federal renewable energy regulations have been amended to include mid-scale solar systems in the Small-scale Renewable Energy Scheme (SRES). Starting October 1, 2026, commercial and industrial solar photovoltaic systems with capacities between 100kW and 1MW will be eligible to generate small-scale technology certificates (STCs). This expansion provides larger installations with upfront financial incentives and a fixed five-year deeming period.