Investment in major renewable energy projects in Australia experienced a rebound in the first quarter of 2024, according to a report released by the Clean Energy Council on Friday. However, the report underscored the necessity for further acceleration to reach critical clean energy targets by 2030.
The Clean Energy Council's quarterly report revealed that a total of A$1.1 billion ($733.5 million) was invested in large-scale renewable energy projects in the first quarter of 2024. This influx of investment marked a substantial 73% increase in the 12-month quarterly average, totaling A$659 million.
During the quarter, five projects with a combined capacity of 895 megawatts secured financial commitments. Despite this progress, the report emphasized that Australia must attract investments in 6-7 gigawatts of capacity annually until 2030 to achieve the government's renewables target.
Australia's center-left government aims for 82% of the nation's power supply to be derived from renewables by 2030. However, current levels stand at 40%, highlighting the significant gap that remains to be bridged. The government has committed over A$40 billion to underwrite new wind, solar, and battery projects in an effort to accelerate progress.
Meeting the renewables target is not only crucial for energy sustainability but also aligns with Australia's commitment to the Paris Climate Accord. The government aims to reduce carbon emissions by 43% from 2005 levels by 2030, a goal contingent upon robust renewable energy investment.
Kane Thornton, Chief Executive of the Clean Energy Council, expressed optimism about the trajectory of Australia's clean energy transformation but emphasized the need for continued efforts. He stated, “These results are an encouraging sign that Australia's clean energy transformation is moving in a positive direction and on the road to recovery. Landmark commitments made by the federal government in recent months have been designed to build certainty for renewable energy investors, which we expect will drive a resurgence for the large-scale generation we need.”
