NSW Solar for Apartment Residents Program: $25 Million Grant to Power-Up Apartment Rooftop Solar in NSW

The Australian Federal Government is championing sustainable and clean energy by offering significant incentives for upgrading properties with rooftop solar and energy-efficient appliances. 

The Solar for Apartment Residents (SoAR) initiative provides funding to install solar panels on eligible apartment buildings and other multi-unit dwellings in NSW. Australia leads the world in rooftop solar adoption, with over four million homes equipped with solar panels. However, one in three households, particularly those in apartments or multi-unit dwellings, cannot benefit from solar energy because the roof areas are usually common property and require a special resolution for solar installation. In NSW, less than 2% of apartment buildings currently have solar panels. Under the Small-Scale Renewable Energy Scheme (SRES), up to 40% of the total cost of installing home rooftop solar and energy-efficient home appliances such as solar hot water systems, solar heat pumps, and solar water heaters can be covered.

In response to rising energy costs and the growing number of apartment dwellers, innovative sustainable solutions are needed. To address this, the NSW Government—supported by the Australian Government—is offering up to 50% funding to eligible owners corporation or strata managers for installing shared solar systems on apartments or multi-unit dwellings. The electricity generated must be distributed among all residential lots in the building in proportion to their share. This initiative has a total funding pool of $25 million, with up to $150,000 available per project, provided through the Australian Government’s Community Solar Banks Program, and administered by the NSW Department of Climate Change, Energy, the Environment and Water.

SoAR Program Key Information

• Application opened on 28 February 2025 and will close at 5:00 PM, 1 December 2025, or until funding is exhausted.
• SoAR grant is targeted towards NSW residential owners corporations managing an eligible building.
• $25 million was allocated to power up apartment rooftop solar.
• Offers 50% of the total cost, up to $150,000, for installing solar photovoltaic (PV) systems in apartment complexes.
• Helps apartment residents save up to $600 annually on energy bills.
• The First-of-its-kind program in NSW, providing co-funding to eligible owners’ corporations and strata managers to install shared rooftop solar systems.
• Covers multi-unit dwellings with 3-55 units that haven’t installed a solar PV system in the last 10 years.
• Funded by the Albanese Labor Government’s Solar Banks Scheme and administered by the NSW Government.
• The NSW Government assesses and approves applications, distributes funding, and oversees project delivery.
• Aims to expand access to renewable technology and reduce power bills for apartment residents.
• The SoAR grant can fund meter board upgrades to accommodate digital meter installations and solar gateway/splitter systems.
• Metering data collected from shared solar gateways must be stored and disclosed to the Owners Corporation (OC) to manage the initiative and resolve any potential disputes.

The Benefits of Solar for Apartment Residents (SoAR) Grant Program In NSW

This Solar for Apartment Residents (SoAR) initiative enables NSW residents living in apartments or multi-unit dwellings to install shared rooftop solar panel systems, providing them with access to solar energy benefits. Funding the transition of these buildings to solar will help households including the renters to reduce both their energy bills and greenhouse gas emissions. The program offers advantages for owners and residents through lower upfront costs for installation of solar panels and ongoing savings from locally generated energy. Additionally, it aims to increase the uptake of solar panel systems across the state by reaching households that were previously unable to install solar. 

Benefits for Owners Corporations:

• Generating clean and renewable energy.
• Enjoying payback for the investment in under 10 years.
• Requiring minimal maintenance.
• Adding value to properties.

Benefits for Apartment Residents:

• Saving money on household electricity bills.
• Reducing household greenhouse gas emissions.
• Protecting against future electricity cost increases.
• Making homes more comfortable in summer and winter.

Who Can Apply For Solar for Apartment Residents (SoAR) Grant Program

Applicants must meet the following eligibility criteria for funding the Solar for Apartment Residents (SoAR) Grant program. Applications that do not meet the eligibility requirements will not be considered for assessment. 

The Applicants Requires:

• The grant is only awarded for the installation of a shared rooftop solar system on an eligible multi-unit dwelling, by an eligible applicant, within NSW.
• A residential owners corporation responsible for management of a strata scheme under the Strata Schemes Management Act 2015.
• A strata managing agent as outlined in the Strata Schemes Management Act 2015, if authorized to do so by the owners corporation.

Individual apartment residents cannot apply for the Solar for Apartment Residents (SoAR) Grant program. However, they are encouraged to share this information with their owners corporation or strata manager so that they can apply on their behalf.

Who Can’t Apply For SoAR Grant

As defined under the SoAR program guidelines, the following applicants are not eligible for this grant program:

• individual property owners
• government agencies
• private sector businesses and agencies
• educational institutions
• local government authorities
• not for profit organizations
• social housing tenants
• community housing providers.

Which Properties Are Eligible For The Solar for Apartment Residents (SoAR) Grant Program

SoAR grant can only be used for buildings that:

• Be classified as a Class 2 domestic building under the National Construction Code.  
• Contain at least 3 but no more than 55 residential lots.  
• Be a completed development at the time of application.  
• Not having installed a solar PV system in the last 10 years.  
• Be located in NSW.  
• Be registered under the Strata Schemes Development Act 2015.  
• Have an active strata insurance policy.

When SoAR Funded Project Can Start and End

The project should be started as soon as possible after the Funding Deed is signed by both parties, and the project must be completed by 31 March 2026.  All funded projects must be complete and all required documentation provided to the Department prior to 31 March 2026, which includes: the installation of the shared rooftop solar PV system is complete and the system is operational all payments and required reporting has been completed.

The project should be started by 28 February 2025 and the project must be completed by 31 March 2026.

What Costs You Can’t Apply For SoAR Grant

The solar PV system will not be eligible for funding if it:

• is installed through a third-party power purchase agreement
• only provides energy to common areas of the property
• connects to apartments with existing solar PV systems that were installed in the last 10 years
• is for maintenance or replacement of existing solar PV systems.

Associated work that cannot be undertaken using this funding includes:

• waterproofing of the entire roof area
• rewiring of a whole building
• solar batteries 
• EV charging 

Solar Products and Services That Are Covered Under The Solar For Apartment Residents (SoAR) Grant Program

• Solar Panels
• Solar Inverters
• Solar Mounting
• Solar Sharing Technology
• Labor for Solar Installation
• Safety Equipment
• Essential Meter Board upgrade where there is clear evidence that it is required for the Solar System to function effectively
• Wiring upgrade for solar connection purposes only
• Roof Waterproofing only where required due to the solar installation.

The majority of the funding must be allocated to purchasing and installing the solar panel system. Expenses for enabling works, such as meter board upgrades, wiring improvements, or waterproofing, cannot exceed 10% of the total project cost. The NSW Department of Climate Change, Energy, the Environment and Water reserves the right to exclude any expenditure that exceeds this limit.

Eligibility of Solar PV Systems For Solar for Apartment Residents (SoAR) Grant

To be eligible for funding, the proposed solar PV system must:

• Demonstrate the simple payback period (calculated at a strata level) for the total purchase and installation cost of 10 years or less:

1. 1. 1. 1. which is calculated by dividing the cost of the initial purchase and installation of the solar system by the average annual cash flow savings in energy costs the total purchase and installation cost includes the grant funding and the co-funding by the owners corporation.
         2. applicants should assume the default offering (flat tariff)
         3. measuring the payback period can be done via digital meter installations for common area and residential energy usage, which can measure electricity usage and prices. Note: The SoAR grant can fund meter board upgrades to accommodate digital meter installations.

• Limit the estimated average annual electricity supplied to the building’s common area to a maximum of 40% with the remaining proportion allocated to each residential lot, relative to their share of the lot’s contribution to the system cost. This can be calculated through installing 1 of 3 different types of systems:

1. 1. 1. 1. individually connect multiple systems in the strata – involves solar electricity being distributed through individual retail meters of each lot.
         2. allocate generation if there is an existing embedded network – through solar energy being put through one meter reader, which then feeds into child meters of each lot, or
         3. include a solar gateway and splitter system – requires solar energy to go through a splitter which can distribute energy to individual lots.

1. 1. 1. In each case, only 40% of the electricity produced can be allocated to the common areas
      2. Metering data registered by shared-solar gateways should be stored and is indicative only. The data should be disclosed to the OC to manage the initiative and potential disputes. Note: The SoAR grant can fund meter board upgrades to accommodate digital meter installations and solar gateway and splitter systems.

• Distribute electricity for use in common areas and residential lots within the building before any excess solar is exported to the electricity grid
• Proportionately share the cost of the installation with all owners of the building, relative to their share in the strata scheme
• Be installed on parts of the roof that are common property
• Use eligible products from the Clean Energy Council approved product list that is current at the time of installation and comply with Australian Standards
• Be designed and installed by a supplier that has accreditation under Solar Accreditation Australia (SAA), as per the “design and install” category of Grid
• Connected Photovoltaic Systems (GCPV)
• Be provided by an approved seller through the New Energy Tech Consumer Code (NETCC)
• Comply with AS/NZS 1170.2 (wind load bearing)
• Be a solar system designed to export an average of no more than 30% of the electricity produced each year.

NSW SoAR Grant Program Additional Info

• Total Funding Pool & Project Limits:
  The initiative has a total funding pool of $25 million, with up to $150,000 available per eligible project. This makes it one of the key programs for boosting shared solar uptake in multi-unit dwellings.
• Cost Sharing & Funding Proportion:
  The grant covers up to 50% of the total installation of solar panels cost. This total cost includes both the solar system and associated components, as well as any co-funding contributions from the Owners Corporation (OC). All owners share the cost proportionately, based on each lot’s contribution to the overall system cost.
• Enabling Works Limit:
  While the majority of the funding is intended for the solar panel system’s purchase and installation, any enabling works (such as meter board or wiring upgrades, waterproofing, etc.) must not exceed 10% of the total project cost. Expenditures above this threshold may be excluded by the Department, ensuring that funds are primarily directed toward the renewable energy system itself.
• Metering and Monitoring Investments:
  The guidelines allow for funding upgrades related to digital metering and solar gateway/splitter systems. These are critical for accurately tracking energy consumption across common areas and individual residential lots, ensuring that the system’s performance and payback period can be effectively monitored.
• Compliance & Quality Assurance:
  The system must use eligible products from the current Clean Energy Council approved list and be installed by suppliers accredited under Solar Accreditation Australia (SAA). This ensures that the installation meets Australian Standards and maximizes the energy and cost-saving benefits for residents.

Application Process Of The Solar for Apartment Residents (SoAR) Grant Program In NSW 

• Submission Through Official Channels:
  Before applying, you must read and understand the SoAR Grant Guidelines. Eligible owners corporation or strata managers must submit their applications and supplementary documents must be submitted through the designated NSW Government grants portal that is Grant Management System (GMS). This online process helps streamline the review and approval process.
• Detailed Documentation Requirements:
  Applicants are required to provide comprehensive information and documentation, which typically includes:
  • Evidence of building eligibility (e.g., strata registration, completed development status).
  • Detailed cost estimates and quotes from accredited solar installation providers.
  • Technical specifications of the proposed solar PV system, including payback period calculations.
  • Documentation verifying that previous solar installations have not occurred in the past 10 years.
  • Proof of an active strata insurance policy.
• Eligibility & Compliance Assessment:
  Once submitted, applications undergo an eligibility assessment where the building’s details, the proposed system design, and the cost breakdown are reviewed against the program’s criteria. This ensures that only projects that meet all requirements, including technical and cost-effectiveness standards, are approved.
• Approval & Funding Disbursement:
  Successful applications are then approved for funding, with up to 50% of the installation of solar panels cost subsidized by the grant. Applicants are notified of their approval, and the funds are disbursed by program guidelines, which may include milestones tied to project progress and completion.
• Project Completion & Monitoring:
  Approved projects must be completed within a specified timeframe. Additionally, the installation must be monitored via digital metering systems, and metering data must be stored and made available to the OC. This helps manage the initiative, verify the system’s performance, and resolve any potential disputes over energy distribution.
• Ongoing Compliance and Reporting:
  After installation, regular reporting may be required to ensure that the solar system continues to meet the guidelines, including performance metrics like the simple payback period and compliance with the maximum export limits.