The Albanese Government has unveiled plans for a significant expansion of renewable energy capacity in Victoria and Tasmania, securing a combined 1.7GW slice of Australia’s largest-ever tender for renewable energy set to commence this month.
These agreements will be formalized under the Albanese Government’s Capacity Investment Scheme, which aims to unlock a total of 32GW of reliable renewables by 2030. The initiative underscores the government’s commitment to accelerating new energy investments across individual states while ensuring grid reliability.
As part of the upcoming Reliable Renewables plans, Tasmania is set to receive a minimum of 300MW of new renewable energy projects in this tender, while Victoria will secure at least 1.4GW, sufficient to power over 700,000 households in the state.
Victoria has welcomed the Commonwealth’s early commitment, signaling a positive step ahead of the final agreement on the full Capacity Investment Scheme program for Victoria.
Today’s announcement follows recent deals across the country aimed at delivering energy where and when needed for households and industries. Initial allocations include:
2.2GW for NSW 300MW for South Australia 500MW for Western Australia These plans with states are designed to ensure reliability and address barriers hindering the timely integration of energy sources as aging coal-fired power stations phase out.
The Albanese Government’s Reliable Renewable Plan, facilitated through the Capacity Investment Scheme, aims to transition Australia’s energy system to a reliable grid comprising 82 percent renewables supported by storage, gas, and transmission infrastructure.
With renewable generation in the National Energy Market witnessing a 25 percent increase since the government’s tenure began, and wholesale prices experiencing a turnaround, there is confidence in the effectiveness of the plan.
Registration for bids for the tender opens on May 16, marking the first in a series of planned six-monthly auctions.
Minister Bowen emphasized the government’s focus on reducing energy prices and enhancing reliability by attracting substantial private investment in reliable renewables nationwide.
Minister D’Ambrosio highlighted Victoria’s efforts in driving more affordable renewables into the grid and welcomed the Commonwealth Government’s collaboration in furthering renewable energy projects in the state.
Minister Duigan underscored Tasmania’s abundant renewable energy resources and expressed optimism about leveraging these resources to deliver cost-effective and reliable electricity to Tasmanian homes and businesses.