Markets

As the deployment of renewable energy continues to expand around the world, driven by various inputs, such as capital allocation and investment, falling capital costs, competitive LCOE and various policy mechanisms, we are now moving towards a new era for renewable energy. ‘Renewables 2.0’ will have significant, wide-ranging consequences for all market players, as regulators reduce their support and power producers seek new revenue models. In this article, Duncan Ritchie, partner at Apricum – The Cleantech Advisory, will look at the key market developments for renewables, explode the myth of grid parity, highlight the need for flexibility and explain the importance of new financing solutions that are capable of meeting the new complexities brought about by ‘Renewables 2.0’.

With its license to sell electricity in Victoria still at risk after failing to provide performance data to the state energy regulator, AGL Energy has been hit with a record penalty for breaching its obligations under Victoria’s energy efficiency scheme.

U.S. firm SolarReserve is moving on its massive solar thermal plant project in South Australia having signed a memorandum of understanding with local outfit Heliostat SA.

With enough large-scale projects under construction or already built to meet the 2020 Renewable Energy Target, the Clean Energy Regulator keeps tracking the progress across the market, as the development pipeline nears the 9 GW threshold.

Marubeni has revealed plans to halve its 3 GW global coal-fired power portfolio by 2030, and double its holdings of renewable energy within the next five years.

Renewable energy set a new record level in August with 25.6% of electricity supplied across the NEM, according to a new report by a progressive think-tank, The Australia Institute. This volume of new generation is likely to significantly increase competition in the wholesale market, thereby putting downward pressure on prices, the report finds.

Renewable energy sources, notably solar and wind, are reaching price and performance parity on and off the grid, shows a new Deloitte Global report, highlighting seven trends that are driving this transformation.

Applications have officially opened for 50% rebates on rooftop solar installations under the Victorian government’s Solar Homes program, announced just weeks ago. The subsidies will be available until 30 June next year.

Australia’s policy maker for the energy markets has approved the establishment a national register of small-scale distributed energy resources, which will give AEMO and distribution network businesses more data to help in planning and operating the power system as it transforms.

The developers that emerged as winners in the Victorian government’s first renewable energy auction have confirmed receiving support agreements from the state to ensure revenue certainty for the projects. The companies have also outlined their construction plans, some of which even include batteries.