Australia Renewable Energy Market Overview, 2030

Australia’s market for renewable energy has experienced substantial expansion in recent times, propelled by plentiful natural resources, supportive government policies, and a rising consumer interest in sustainable energy. The nation is recognized for its extensive sunshine and powerful wind resources, making solar and wind energy vital components of its renewable energy industry. Australia is striving to decrease its carbon emissions and transition away from fossil fuels, with a national objective of reaching net-zero emissions by 2050. Australia's journey in renewable energy began in the 20th century with an early emphasis on hydroelectric power. Nevertheless, the country’s strong dependence on coal for electricity generation resulted in renewable energy representing a minor portion of the energy mix for numerous decades. The transition towards renewables commenced earnestly in the 2000s when Australia enacted the Renewable Energy Target (RET) in 2001, which sought to enhance the proportion of renewables in electricity generation. In 2009, the government launched the Renewable Energy Development Plan to facilitate the growth of large-scale renewable projects, especially in solar, wind, and bioenergy. The 2010s witnessed a surge in solar and wind power, fueled by falling technology prices and attractive government incentives, such as the Small-Scale Renewable Energy Scheme (SRES) and the Large-Scale Renewable Energy Target (LRET). Australia emerged as one of the top nations globally in rooftop solar installations, with millions of households opting for solar panels. In the past few years, Australia has achieved notable progress in offshore wind and energy storage solutions, aligning with its broader energy transition ambitions. However, the shift encounters obstacles such as inconsistencies in state-federal policy, infrastructure challenges, and the necessity for expanded energy storage capacity to handle intermittent renewable sources. Australia’s renewable energy market is poised for ongoing growth, driven by government targets, technological advancements, and rising investment in green energy solutions.

According to the research report, ""Australia Renewable Energy Market Overview, 2030,"" published by Bonafide Research, the Australia Renewable Energy market is anticipated to add to more than USD 21.21 Billion by 2025–30. Australia's renewable energy industry offers considerable prospects, especially in solar, wind, and energy storage. With its plentiful sunlight, Australia boasts one of the highest global rates of rooftop solar installations, creating prospects for additional residential and commercial expansion. The nation’s extensive coastline also provides excellent opportunities for offshore wind farms, while large-scale solar initiatives continue to grow in rural regions. Furthermore, green hydrogen production is emerging as a fresh opportunity, with Australia positioning itself aiming to emerge as a global leader in hydrogen exports. Energy storage solutions, including batteries and pumped hydro, present opportunities to tackle the intermittency of renewable sources and enhance grid reliability. In spite of the significant potential, Australia encounters multiple challenges in its renewable energy transition. One major issue is the inconsistency in policies between federal and state governments, which has resulted in market uncertainty. Regulatory and planning obstacles for large-scale renewable projects, like wind and solar farms, further complicate development. The integration of renewable energy into the grid, which depends on outdated infrastructure, additionally poses a challenge, especially in managing the intermittency of solar and wind power. Moreover, while energy storage is deemed crucial for managing renewable energy, high expenses and limited capacity for large-scale storage impede widespread implementation. Australia's renewable energy expansion is propelled by falling technology costs, particularly in solar and wind, along with government backing via renewable energy targets and incentives. Increasing consumer appetite for clean energy, growing corporate sustainability initiatives, and decreasing prices for energy storage solutions further drive growth. The transition toward a low-carbon economy and international obligations for emissions reduction also play a crucial role. Australia’s renewable energy evolution started with hydroelectric power in the 20th century but gained significant momentum in the 2000s due to government targets and incentives.

Australia’s renewable energy sector is varied, with notable input from hydropower, wind power, solar energy, bioenergy, geothermal, and new technologies. Each form of energy is vital for the nation’s shift towards a more sustainable energy framework. Hydropower has traditionally served as a major renewable energy source in Australia, contributing a significant fraction of the country’s electricity output. The largest hydropower facilities in Australia are situated in the southeastern states of New South Wales, Victoria, and Tasmania. Nonetheless, hydropower's expansion potential is restricted due to geographical limitations and environmental issues concerning water management. Regardless of this, small-scale hydro initiatives still generate clean energy, particularly in isolated and rural locations. Wind power ranks among the rapidly expanding segments of renewable energy in Australia, with considerable investments in both land-based and offshore wind farms. The nation possesses extensive wind resources, especially along the southern and southeastern coastlines. Australia’s wind energy capacity has experienced swift growth over the last ten years, and it is anticipated to keep increasing, with the government establishing ambitious wind energy production goals. Offshore wind initiatives, especially near the coasts of Victoria and Tasmania, are also gaining traction. Solar energy stands as Australia's most widely embraced renewable resource. The nation has one of the highest global rates of rooftop solar deployments, with millions of residences and businesses reaping the benefits of solar panels. Large-scale solar installations are also spreading across the country, particularly in rural and arid areas where sunlight is plentiful. The decreasing costs of solar technology and government subsidies have rendered solar energy an appealing choice for both domestic and commercial users. Bioenergy, encompassing biomass, biogas, and waste-to-energy, is essential in Australia’s renewable energy composition. Biomass is frequently utilized in rural sectors for energy production, while biogas from organic waste serves as a critical renewable energy source in metropolitan areas.

Australia’s renewable energy market caters to a range of end-users, including industrial, residential, and commercial sectors. Each of these sectors is vital to the nation’s renewable energy transition, contributing to its comprehensive renewable energy objectives. The industrial sector stands as one of the largest energy consumers in Australia, with numerous industries progressively embracing renewable energy options. Sectors like mining, manufacturing, and agriculture, which consume significant energy, are turning to solar, wind, and bioenergy to lessen their carbon footprint, enhance energy efficiency, and achieve sustainability goals. Large-scale solar installations, whether rooftop or ground-mounted, are favored in industrial settings, while certain industries are looking into bioenergy options for heating and power generation. The Australian government’s Renewable Energy Target (RET) and initiatives such as the Clean Energy Finance Corporation (CEFC) assist industries in shifting to renewable energy sources by offering incentives and financing for clean energy initiatives. Green hydrogen, recognized as a low-emissions fuel, is also gaining popularity in industrial uses, especially for decarbonizing industries like steel and chemicals. The residential sector in Australia acts as a significant driver of the nation’s renewable energy expansion, primarily through solar energy. Australia boasts one of the highest rates of rooftop solar panel installations worldwide, with millions of homes featuring solar systems to lower electricity expenses and promote sustainable living. Besides rooftop solar, residential energy storage solutions (such as batteries) are becoming increasingly prevalent, allowing homeowners to store solar energy for future use. Government incentives, including rebates and feed-in tariffs, further promote residential adoption. The growth of renewable energy in the residential sector is projected to keep increasing as energy costs escalate and environmental consciousness heightens. The commercial sector in Australia, encompassing businesses, offices, retail outlets, and hospitality, is swiftly embracing renewable energy as well. Numerous businesses are implementing rooftop solar systems to cut energy expenses and bolster their sustainability profiles.


Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Renewable Energy Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Hydropower
• Wind Power
• Solar Energy
• Bioenergy
• Geothermal
• Others

By End-User
• Industrial
• Residential
• Commercial

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.