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Solar for cold storage in Sydney: export rules, the STC zone and the battery discount (2026)

Yes, solar pays for most cold stores in Sydney, because refrigeration runs all day and soaks up nearly everything a well-sized system makes.

In short

  • A Sydney cold store usually uses 85–90% of the solar it makes, so the return per kW is among the best of any business.
  • Which distributor your site is on, Ausgrid or Endeavour Energy, decides the connection process and any export cap. Check it before sizing.
  • NSW is the one state with a battery discount for business. For a cold store with sharp compressor peaks, run the battery case alongside the solar one.

Yes, solar pays for most cold stores in Sydney, because refrigeration runs all day and soaks up nearly everything a well-sized system makes. What's different here is the network: Sydney is split between two distributors with their own rules, and New South Wales has a battery discount no other state matches. This page covers what changes for a Sydney site. The general case for solar on a cold store, including why the overnight load never goes away, is on solar for cold storage.

Quick facts Cold storage solar in Sydney
Distributor Ausgrid (CBD, inner, north, east) or Endeavour Energy (west, south-west)
STC zone Zone 3, rating 1.382
State help No solar rebate. Battery discount through the Peak Demand Reduction Scheme
Share of solar used on site often 85–90%
What to send one recent bill; we get the interval data from it

What's different in Sydney?

1. Two distributors, two sets of connection rules

Sydney's cold-chain belt sits mostly in the west and south-west: Eastern Creek, Erskine Park, Prestons, Moorebank and around Wetherill Park. Most of that is Endeavour Energy territory. Ausgrid covers the CBD, the inner suburbs, the north and the east, including the older cold stores around Homebush, Botany and Alexandria. The boundary runs through the middle of the metro, and the two networks do not share thresholds or export rules.

  • Up to about 30kW: both networks treat a small system under a simpler connection process.
  • Around 100kW: a full connection application with an export assessment on both networks. Expect the assessment to take weeks, and plan the install date around it.
  • Above 100kW: a negotiated connection. Export limits are common on constrained inner-city feeders and in parts of the outer west; a cold store sized to its own load is rarely troubled by them, one sized to the roof often is.

We check the address against the network boundary before quoting, rather than assuming. The Sydney commercial solar page has more on both networks.

2. STC zone 3

Sydney postcodes sit in STC zone 3, rating 1.382. For a system installed in 2026 the scheme counts five years, so a 100kW system earns 100 × 1.382 × 5 = 691 certificates, rounded down. That is about 17% more certificates than the same system in Melbourne (zone 4), and it is why the after-discount price on a Sydney quote should be lower than a Melbourne quote for identical equipment. The zone table is on the Clean Energy Regulator's site. Since 1 October 2026 the discount covers eligible systems up to 1MW, which matters for the largest distribution centres.

3. No solar rebate, but a battery discount

There is no New South Wales rebate for commercial solar panels. The STC discount is the only upfront reduction. What NSW has, and no other state matches, is the Peak Demand Reduction Scheme: an upfront discount on business batteries from 20 kWh to 30 MWh, larger when new solar goes in within 90 days. For a cold store that sets its demand peak when several compressors restart after a defrost cycle, or when the dock doors are open on a hot afternoon, a battery that trims that peak can pay where overnight storage doesn't. Our commercial solar batteries page has the cold store example.

4. Humid summers and a steady load

Sydney's refrigeration load climbs through January and February when humidity keeps condensers working hard, and that is also when panels make the most. Winter is milder than Melbourne's, so the load never drops far. The result is a flat, high self-use share across the year. As general knowledge, not a figure we can put a number on: Sydney roofs make a little less per kW than Brisbane or Perth because of cloudier summers, so a Sydney system is sized slightly larger for the same output.

A worked example for a Sydney cold store

Here is a worked example with made-up figures. These are example figures, not our prices or a real site. The price is the one our commercial solar cost page uses for a 100kW system.

  • A 100kW system in Sydney, assumed to make about 1,380 kWh per kW a year, so about 138,000 kWh a year.
  • The cold store uses about 90% of that itself, 124,200 kWh, because refrigeration runs around the clock. 13,800 kWh goes to the grid.
  • At $0.28 for each kWh the site no longer buys: 124,200 × $0.28 = $34,776. At $0.05 for exports: 13,800 × $0.05 = $690.
  • Yearly saving $35,466. At an example price of $73,000 after the STC discount, that pays back in about 2.1 years.

Sydney makes less per kW than Brisbane or Perth because of cloudier, more humid summers, so the same roof needs a few more panels for the same output. The saving still comes almost entirely from power the site uses itself.

With a battery added under the Peak Demand Reduction Scheme, the saving above doesn't change; what changes is the demand charge, which is a separate line on the bill and needs your interval data to estimate.

What to send

Just one recent electricity bill, every page. Using the meter number on it, we get your interval data, which shows the day and night split, the summer peaks and the demand charge. You don't need to request anything from your retailer.

If you know them, mention the number of compressors, the defrost schedule and whether the roof is insulated panel. Send a bill and an accredited installer prepares a costed proposal sized to how your site uses power. Already have a quote for the site? Compare it line by line with our checklist, including whether it names the right distributor.

Questions

Questions we get asked

Is solar worth it for a cold store in Sydney?

Usually yes. A Sydney cold store uses most of the solar it makes because refrigeration runs all day, so almost nothing is exported for a small credit. In the example above, a 100kW system saves about $35,466 a year and pays back in about 2.1 years at an example price. Solar only cuts the daytime part of the bill; the overnight load stays.

Which network is my Sydney cold store on?

It depends on the street. Ausgrid covers the CBD, the inner suburbs, the north and the east. Endeavour Energy covers the west and south-west, which is where most of Sydney's newer cold stores are. Your bill names the distributor, and we check it before quoting because the two networks have different connection thresholds and export rules.

Does NSW give a rebate for solar on a cold store?

Not for the panels. The federal STC discount is the only upfront reduction on solar. NSW does give an upfront discount on business batteries through the Peak Demand Reduction Scheme, from 20 kWh to 30 MWh, and it is larger when new solar is installed within 90 days.

Will Ausgrid or Endeavour Energy limit my exports?

Sometimes, on constrained feeders. A cold store sized to its own load exports little, so a cap rarely changes the result. A system sized to the roof can be capped, and the proposal should show the payback with the cap applied rather than assuming full export.

Last updated 20 October 2026.

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