Renewable Energy in Australia: Stats & Figures

Wind energy has always reigned supreme in Australia and is the most widely used renewable energy source in the country.

As of 2020, wind energy accounted for over 35% of the clean energy that is generated in Australia and nearly 10% of the total electricity generated in Australia.

Wind energy works by capturing the kinetic (moving) force of the wind with large wind turbines. The wind spins the turbine which uses the spinning process to transform the wind's kinetic energy into electrical energy to be used as electricity on the power grid.

There are some drawbacks to using wind energy, as some of the most profitable areas for wind farms are quite remote and the noise of the large turbines can disrupt the wildlife in the area.

However, technological advancements are making wind energy cheaper, easier, and less disruptive, and as the cost of green energy technology continues to decrease, wind power is expected to grow in Australia.

The sun is arguably one of the most abundant and widely available resources on the planet, and Australia is well-suited for solar power. As of the end of 2020, small-scale solar accounted for 23.5% of all renewable energy generated in Australia, behind wind power and narrowly beating out hydro as the #2 renewable energy in the country.

In 2020 alone, 378,451 Australians had solar PV systems installed, which is the highest number since 2012. Today, 1 in 4 Australian households now have solar panels installed on their roofs.

Solar energy works by harnessing sunlight's photons and utilizing a photovoltaic (PV) system to transform that sunlight into energy for our use. Solar energy is quickly becoming the most common source of renewable energy at the small-scale and residential level thanks to technological advances that have made solar panels cheaper.

As the cost of solar PV systems drops, more households and private businesses are able to purchase and install solar panels on their properties. Many energy providers in Australia are also adding incentives for customers to adopt solar panels, such as solar feed-in-tariffs which allow customers to send energy back to the grid.

A solar feed-in tariff (FiT) is an energy buy-back scheme where households with solar panels and a solar battery can send unused energy back into the grid for extra money. The amount of money you can make from a solar Feed-in tarff can vary widely depending on where you live, who your energy provider is, and which electricity plan you’re on.

What can solar energy be used for? Solar energy has a number of different residential uses. In addition to the classic rooftop solar panels, you frequently see on Australian homes, solar thermal energy can be used to heat water for home use and to heat pools.

Hydropower is the 3rd biggest source of renewable energy in Australia. Australia has over 120 hydroelectric power stations, which contribute 23.3% of all renewable energy generation in the National Electricity Market.

Before 2020, hydropower was the second-biggest source of renewable energy in Australia. However, thanks to the increased uptake of small-scale solar PV systems and an overall increase in capacity, solar power has surpassed hydropower which is now the 3rd biggest source of renewable energy in Australia.

Hydropower, which is energy generated from the movement of water, is another popular renewable energy resource. The use of water to generate energy has been around for a long time, with people harnessing its power for boats, grain mills, and even mining. Hydropower is also one of the largest contributors to renewable energy worldwide, contributing to over 16% of the world’s energy production and over half of all renewable energy produced globally.

Unlike solar, hydropower is often done on a larger scale as it requires the use of vast turbines and generators and the movement of large amounts of water. That’s not to say residential and small-scale hydro isn’t a possibility, just that you need a continuous supply of swiftly moving water in order to generate enough energy to offset the cost of the system and it can be hard to find a fast-enough, large-enough, body of moving water on smaller private property.

Snowy Hydro powerplant, the parent company of Red Energy and Lumo Energy, owns Australia's largest hydroelectric station and contributes to over half of all hydropower within Australia. Currently, there are plans to expand Snowy Hydro, with a plan called Snowy 2.0 in an effort to decrease Australia’s dependence on non-renewable energy sources while implementing renewable energy storage and kWh output.

Geothermal energy takes heat from the Earth, in the form of steam or water, which is transformed into electricity.

According to the Australian Renewable Energy Agency, while Australia has immense geothermal energy potential it is not the most financially viable renewable energy option due to the significant start-up costs for the geothermal system technology needed, as well as the difficulty in identifying and then extracting the geothermal reservoirs.

As such, Geothermal energy accounts for around 0.001% of Australia's total clean energy consumption.

As of 2020, biomass energy accounted for 1.4% of total energy production and 5% of renewable energy production in Australia.

Bioenergy utilizes living or once-living organisms to create electricity by burning the biomass to create hot gas.

These organisms can be anything, but wood waste, black liquor (a by-product from paper manufacturing), biogas from landfill or sewage methane, energy crops, commercial crop residue, or household garbage or garden prunings, which are the most common. This hot gas is then generated into steam through a boiler, which is run through a steam engine or turbine to create mechanical or electrical energy.

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The Large-Scale Renewable Energy Target is one half of the Renewable Energy Target set by the Australian government, implemented to encourage more electricity generation through renewable resources, by incentivising investment into renewable energy power stations.

The LRET incentivises investment in renewable energy generation through the legislation and creation of large-scale generation certificates (LGCs) for each megawatt hour of renewable electricity produced.

These LGCs ae sold to entities such as electricity retailers, who then buy and surrender them to the Clean Energy Regulator in order to show their compliance with the Renewable Energy Target scheme. These LGCs, in turn, provide the power station with an additional source of revenue.

The Small-scale Renewable Energy Scheme is the other half of the Renewable Energy Target, which aims to incentivise households, businesses, and communities to install small-scale renewable energy systems.

The Small-scale Renewable Energy Scheme legislates demand for small-scale technology certificates (STCs) which are created, bought, and sold to lower the cost of a small-scale system for the individual or business who purchased it.

What are small-scale renewable energy systems?

Small-scale renewable energy systems are systems too small to be considered a power station, according to the Renewable Energy Target legislation. In terms of residential energy generation, you probably won’t need to worry about whether your system qualifies as large or small scale.

Small-scale renewable energy systems include:

• Rooftop solar PV (the most common)
• Solar water heaters
• Wind turbines
• Air source heat pumps
• Small-scale hydro systems
• solar pool heaters

Small-Scale Certificate (STCs) Price

Small-scale certificates (STCs) are a financial incentive used to promote the use of small-scale and residential renewable energy. STCs are created per system installed, and the amount of STCs you can get depends on a number of factors including geographical location, installation date, and amount of energy it can produce over a period of time, but in general one certificate is approximately equal to one megawatt hour.

With residential renewable systems, STCs are often assigned to the installer or company that provides your renewable energy system, in exchange for a point-of-sale discount. However, it is possible to create and sell them yourself.

STCs can be bought and sold on the open market for an uncapped price, or sold through the STC clearing house (owned by the Clean Energy Council) which currently sets the STC price at a fixed $40.

STC priceDue to the increased number of STCs on the market, the value of these certificates will continue to decrease until they are phased out by 2030. However, as of 2020, the STC price in the open market hovers somewhere around $37 per STC.

If you have a small scale system at your home, you may be able to sell energy back to the grid to help pay for your system. See our article of the solar feed-in tariff for more information.

The Clean Energy Council is in charge of the following:

1. Accrediting solar installers across the country
2. Running Australia's Approved Solar Retailer program
3. Developing and maintaining lists of approved solar and battery storage products
4. Working to develop Australian clean energy baseline standards

As such, the Clean Energy Council has a vast list of approved retailers and CEC accredited installers to help the general public with reputable solar installations.

If you’re considering investing in small-scale solar energy, such as home solar panels, a solar water heater or solar pool heating, you’ll only be able to access government solar rebates if you use products and installers from the CEC approved solar lists below.

The Clean Energy Council maintains lists of:

• CEC accredited solar installers
• CEC approved solar retailers
• CEC approved solar modules
• CEC approved inverters
• CEC approved battery storage systems

The Clean Energy Council Approved Solar Retailer Program allows solar and storage businesses to show they are committed to responsible sales and marketing activities, and maintaining industry best practices.

If you’re considering solar, choosing an approved solar retailer means you’ve chosen a retailer who signed the CEC Solar Retailer Code of Conduct and only uses CEC accredited designers and installers.

How to Become an Approved Solar Retailer

• Here is how to become a CEC approved retailer:
• Prove you've operated in the solar industry for over 12 months
• Prove you adhere to the Approved Solar Retailer Code of Conduct
• Undergo an integrity assessment (includes checking financial integrity)
• Disclose any past or present sanctions from state consumer affairs agencies or the ACCC
• Supply examples of customer documentation
• Meet all the requirements on the application form.

You can apply here to become an approved solar installer with the Clean Energy Council.

If your application is rejected, you can reapply after 1 month of being rejected.

While choosing a Clean Energy Council Approved Solar Retailer is important, it’s equally as important to choose a CEC accredited installer for solar and battery storage.

A CEC accreditation signifies that your installer has undergone the necessary training in solar and battery installation and design and follows renewable energy industry best practices. This accreditation is necessary to ensure safe and reliable solar/battery storage systems.

Not to mention, you must use an accredited installer to be able to access government grants for solar rebates.

How to Get Accredited by the Clean Energy Council

As consumers must use an accredited installer to receive government solar rebates, becoming accredited can bring you extra business as a solar installer.

However, you must go through a series of tests and applications to become a CEC accredited installer.

• Here are the steps to get accredited by the Clean Energy Council:
• Complete training through an RTO (Registered Training Organisation)
• Apply for a provisional CEC accreditation
• Complete online assessments within 30 days
• Complete a practical assessment of a real installation
• Submit full accreditation application
• Receive full CEC accreditation

Once you have received full CEC accreditation, you must remember to renew your accreditation each year (as it only lasts one year).

Once you have been fully accredited, you can also apply to design and install other types of systems and add additional CEC accreditations to your list of skills.

CEC members are generally companies and players in the renewable energy industry looking to support and advocate for the clean energy sector.

Currently, the Clean Energy Council has over 800 members, who have the opportunity to advise and contribute to the Clean Energy Council through special committees.

Benefits of Clean Energy Council members include:

• Receiving the latest industry information
• Engaging in networking opportunities
• Boosting exposure within the clean energy industry
• Being involved and supporting the policy and advocacy of the CEC.

It's important to note that Clean Energy Council members are not the same as CEC Approved Solar Retailers or CEC accredited installers.

How to Become a Clean Energy Council Member

Becoming a member of the Clean Energy Council costs money, but is a very simple process.

• Here is how to apply for Clean Energy Council Membership
• Agree to follow the Member Code of Conduct and the membership terms & conditions
• Submit a membership application
• You will receive an invoice if you are approved
• Pay the Clean Energy Council members fee within 60 days

You can apply for Clean Energy Council membership here.

If you need help submitting your membership application or have a question you can call the CEC at +61 3 9929 4140

Otherwise you can send an email to: [email protected].

The CEC also played an integral role in developing the Green Power system. Green Power is a government-led initiative between the Australian government and businesses whereby consumers can choose to invest in Green Power plans and force Australian energy providers to use more renewable energy.

Consumers interested in solar and battery storage can usually find all the information they need on the Clean Energy Council’s website.

However, if you need to contact the Clean Energy Council you can do so using their online contact form. In addition, the CEC has different phone numbers available for CEC members, retailers, and other industry actors who want to get in touch with the CEC.

Clean Energy Council Complaints Process

If you’ve had a negative experience with a CEC accredited installer or CEC approved solar retailer, you can submit a complaint directly with the Clean Energy Council via their online complaints form.

The CEC can only investigate complaints against its accredited installers and approved solar retailers.

You can submit a complaint against a CEC accredited installer if:

• The system is faulty or installed with poor workmanship
• The installation uses panels or inverters that do not meet Australian Standards

In addition, the Clean Energy Council can only investigate complaints on systems installed within the past five years.

When submitting a complaint to the CEC, you will need to provide as many details as possible including your personal and contact details, information about the installer or retailer you have a complaint against, and as much evidence as possible to show your complaint is valid.

Report a product fault with the CECYou can also choose to report a faulty product, if applicable. If possible, include as much information about the system or product as possible including brand and model number. If you have any photos of the product, label, or serial number, you can email them to [email protected]