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PDRS BESS Clarification on 'Outdoors' Definition and Mixed Use Sites Eligibility

DCCEEW Email received 9 Sep 2026

Question: 

BESS3 Outdoors - the definition remains quite unclear. Can a battery be installed on the outside wall of the apartment block? What if it’s under an awning? Can it be installed on the roof?

Mixed use sites - specifically those with single NMIs that have multiple buildings with separate BCAs (business and residential buildings) and shared power usage. For example, a farm that has the battery installed on a Shed (Class 8A), where the NMI also services a house. Would this qualify for BESS4 and/or BESS5? Is there any particular evidence that would be required - i.e. that the primary energy use is for the business or location of installation? Would battery location make a difference - i.e. if installed on a farm building rather than the residence?

Answer:

For the business setting issue - Where there is evidence of genuine business operations occurring at the premises, the site would be considered a business customer and eligible for a BESS4 or BESS5 installation.

However, batteries shouldn't be installed on a house or any structure attached to a house. If the site is eligible, the battery should instead be installed on a non-residential structure, even if this requires extra cabling. This is a simple way to manage the different safety risks associated with residential buildings.

 

The intent of the outdoor installation requirement is to avoid situations where gases could accumulate in the event of a battery malfunction. Provided the installation is in a well-ventilated outdoor location, that risk is significantly reduced.

This would include installations on the outside wall of an apartment building or under an awning with open sides. A highly prescriptive definition of "outdoors" would be difficult to apply in practice and may exclude installations that achieve the same safety outcome.

This email won't help you much with IPART's interpretation but can hopefully give you an idea of the policy intent behind the requirements.