• Labor’s Plan for Australia’s Renewable Energy Future
• Renewables contributing to 43% of Electricity Generation

Labor’s Plan for Australia’s Renewable Energy Future.

The re-election of the Labor government has solidified the nation’s commitment to a renewable energy future. As Climate Change and Energy Minister Chris Bowen stated, the election results affirm the public’s desire for continued climate action. This has effectively ended the debate on energy policy, establishing a clear direction:

• Wind and solar energy will be the primary sources, supported by storage.
• Coal and gas will have a rapidly declining role.
• Nuclear energy is not part of the plan.
• Australia is set to become a renewables-driven nation.

This allows the government to pursue key objectives, including achieving a target of over 80% renewables in the national electricity grid by 2030 and expanding renewable energy capacity.

AEMO Quarterly Energy Dynamics Report for Q1 2025.

Australia’s main power grid saw a significant increase in renewable energy generation, primarily from solar and wind, over the past year. According to the Australian Energy Market Operator (AEMO)’s Quarterly Energy Dynamics Report, renewables contributed 43% of electricity generation across the five eastern states between January and March. This marked the highest first-quarter share of renewables in the National Energy Market’s 25-year history, as reported by AEMO.

The report details growth across various renewable sources. Grid-scale solar generation rose by 10% compared to the first quarter of the previous year, and battery generation surged by 86%, reaching record highs. Rooftop solar and wind generation also achieved new first-quarter records, with increases of 16% and 18%, respectively. Consequently, climate pollution from Australia’s electricity sector reached its lowest first-quarter level.

Conversely, gas usage declined by 8.3% amid record-high gas prices on the east coast. Australia’s total electricity demand reached a new first-quarter peak, due to increased air conditioner usage in South Australia and Victoria. However, electricity demand from large generators and farms experienced a slight decrease, reflecting the growing influence of rooftop solar. Australia now has over four million homes with solar energy systems.

AEMO’s report suggests that a recent slowdown in large-scale renewables expansion may be ending. Experts emphasise that accelerated growth is essential for Australia to meet the Albanese government’s target of 82% renewable electricity by the end of the decade.

At Ecovantage, we consistently analyse market activity, policy changes, consultation releases, and creation rates in conjunction with wider landscape activity. This allows us to keep our clients at the forefront of all relevant changes, and to leverage the advantage that this presents. Thank you for your continued support, and please reach out if you have any general or project-specific questions.