Australia’s renewable energy sector is set for significant growth with the announcement of 19 new projects under the Capacity Investment Scheme (CIS) Tender 1.
The projects will contribute 6.4GW of clean energy to the national electricity market, sufficient to power three million homes.
Spread across New South Wales, Victoria, South Australia and Queensland, they represent a significant step towards achieving Australia’s target of 82% renewable electricity by 2030.
The projects include solar, wind and hybrid technologies, with 40% incorporating battery storage to ensure energy reliability.
In New South Wales, seven projects will generate 3.7GW, including 900 megawatt hours (MWh) of battery storage. Victoria will see seven projects producing 1.6GW, along with an additional 1,500MWh of storage.
South Australia will have two projects generating 574MW, and Queensland will host three projects contributing 550MW with 1,200MWh of storage.
The selection process for the projects was competitive, with 84 bids submitted, offering four and a half times more capacity than tendered.
This indicates a robust pipeline of investors eager to build and operate renewable energy projects in Australia.
Further tenders are underway, with bids for the third and fourth rounds of the CIS now being received. These rounds are expected to deliver one and a half times more energy than the first tender.
Beyond clean energy, the projects will provide economic and social benefits, including A$660m ($422m) for community development, A$280m for First Nations benefits, A$14bn invested in local suppliers and $60m for local employment and new jobs and training programmes.
Most projects will commence operations between 2026 and 2028, contributing to emissions reduction and energy reliability.
Minister for Climate Change and Energy Chris Bowen said: “The former coalition government ignored the experts and refused to take advantage of our abundant sun and wind, leaving households paying the price of having a grid that’s too reliant on expensive, unreliable, ageing coal and exposed to international price shocks.
“The Albanese Labor Government is delivering Australian households and businesses an energy system that is lowest cost, more reliable and better equipped to power Australian homes and businesses, now and into the future.
“We are also making sure that the communities who host these projects see the benefits of them – with strong commitment to use Australian manufacturing and hire local people.”
The outcomes of Tender 1 and the previous SA-Vic Pilot Tender underscore the growing interest in Australia’s renewable energy future.
“19 Australian renewable projects add 6.4GW to national electricity market” was originally created and published by Power Technology, a GlobalData owned brand.
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