Australia’s rooftop solar sector has reached a new milestone, with 0.5 GW of new capacity added in November 2025. This marks the highest monthly addition in nearly three years. As a result, the total rooftop solar capacity in the National Electricity Market (NEM) now stands at 25.1 GW, up by 8.4% from the previous year.
Australia Rooftop Solar Hits 25.1 GW
Australia’s rooftop solar sector has achieved a remarkable milestone, with the addition of 0.5 GW of new capacity in November 2025. This marks the highest monthly increase in almost three years. Consequently, the total rooftop solar capacity in the National Electricity Market (NEM) now stands at an impressive 25.1 GW, representing an 8.4% increase compared to the previous year.
Official data from the Australian Energy Market Operator (AEMO) indicates that this surge in capacity is a significant boost for the NEM. It brings the installed capacity of small-scale rooftop solar to 25.1 GW. AEMO’s Weekly Electricity Statement of Opportunities (WESOO) highlights that these figures are provisional and will be confirmed when the 2026 Electricity Statement of Opportunities (ESOO) is released.
The growth in rooftop solar capacity is largely attributed to an increase in the number of new connections. In November, 0.5 GW of rooftop solar was installed across homes and businesses. This is the largest monthly addition since December 2022, when 0.55 GW was added, signaling renewed momentum in the sector.
Rooftop Solar Boosts Australia Renewable Energy Share
Rooftop solar is playing an increasingly crucial role in boosting the share of renewable energy in the NEM. This growth is part of a wider trend; in November 2025 alone, Australia generated 5,271 GWh from utility-scale solar and wind, a 28% increase from the same period last year. On any given day, real-time data from sources like Open Electricity shows rooftop solar contributing around 19.3% of the entire NEM electricity mix.
On December 7, this contribution was on full display when rooftop solar and large-scale solar combined to generate 10.6 GW of electricity, meeting a record 45% of the NEM’s demand.
Rooftop solar alone reached a maximum of 8.21 GW, meeting 32% of demand, just shy of the all-time record of 8.23 GW set in November 2025. This increase is also reflected in the average daily generation figures. In November, average daily generation from rooftop solar reached 5.24 GW—the highest figure for any November on record.
This growth is expected to continue. AEMO projects that rooftop solar capacity could reach 53 GW by 2030 and 71 GW by 2050. This expansion will be driven by the continued falling costs of solar panels, increasing consumer awareness, and supportive government policies. Understanding the solar panel manufacturing process reveals how technological advancements and economies of scale contribute to these falling costs. As the Australian Government targets 82% renewable energy in the NEM by 2030, rooftop solar is set to be a cornerstone of this transition.
Rooftop Solar’s Impact on the Australia NEM
The rising capacity of rooftop solar is having a significant and transformative impact on the NEM. As a distributed energy resource, it generates power close to where it is consumed. This model reduces the reliance on expensive long-distance transmission infrastructure and minimizes energy lost during transport, which can help lower overall electricity prices for consumers.
To manage this influx of variable renewable energy and ensure grid stability, large-scale energy storage is becoming vital. The growth of solar is being supported by projects like the recently opened Melbourne Renewable Energy Hub, a battery system with 600 MW of capacity and 1,600 MWh of storage. Such facilities are crucial for absorbing excess solar generation during the day and dispatching it when demand is high, optimizing the grid and enhancing reliability.
Beyond grid benefits, rooftop solar has the potential to drastically reduce greenhouse gas emissions. The Australian Government estimates that rooftop solar could cut emissions by up to 80 million tonnes per year by 2030, making a substantial contribution to Australia’s climate change targets.
The sector’s expansion is also a powerful engine for job creation. The Clean Energy Council estimates that the rooftop solar industry could create up to 50,000 jobs by 2030, spanning installation, maintenance, and manufacturing. The economics behind this growth are detailed in analyses of the solar panel manufacturing plant cost breakdown.
Australia’s rooftop solar sector is experiencing rapid growth, with the addition of 0.5 GW of new capacity in November 2025 pushing the total to 25.1 GW in the NEM. This growth is expected to continue, driven by falling costs, increasing awareness, and supportive policies, contributing to Australia’s renewable energy and climate goals while creating jobs in the sector. To learn more about the fundamentals of this technology, explore our free e-course on solar panel manufacturing.
