Race to the top: Australia’s clean energy momentum

In fewer than five years, Australia has doubled the share of renewable electricity in our main grid and, today, more than 3.6 million Australian households have installed rooftop solar to reduce their power bills and slash climate pollution. 

Nowhere is our rapid shift towards an economy powered by renewable energy more visible than at the state and territory level, where governments, communities and households are leading the charge. Most importantly, the collective result of these efforts is that we are well on the way to meeting Australia’s national climate pollution reduction target of 43% by 2030.

Now, we need to go even further and move even faster. We can seize the decade by accelerating towards a clean economy that creates better health outcomes and good, long-term job opportunities in renewable energy and clean industries for every Australian child alive today, as well as every generation to come.

Our kids’ futures depend on the choices we make now, and there is no time to waste.

New South Wales

On track:

  • NSW is leading the nation in shared transport use, with 13% of travel in Sydney occuring on public transport.
  • The state is also going strong on electric vehicles (EV) registrations and picking up the pace on EV charging infrastructure.
  • In March 2024, NSW became the first state to ban exploration for fossil fuels and minerals in the state’s waters. 
  • NSW is also in the middle of a renewable energy boom and has made significant progress with the rollout of its Renewable Energy Zones.

Needs improvement:

  • There remains significant untapped potential for commercial and industrial rooftop solar in NSW.
  • More transparent renewable energy targets are needed, based on the share of energy generation coming from clean energy. While NSW needs to keep building renewables, it also needs to reduce its reliance on coal and gas – the current target doesn’t measure this.

Victoria

On track:

  • Victoria is leading the way on electrifying homes, making them cheaper to run and more energy efficient, thanks to a landmark decision to phase out gas in new homes from 2024.
  • Victoria is powering ahead with clean energy, getting more of its energy from renewable sources than Australia’s other big states.
  • Victoria’s emissions reduction and renewable energy targets are stronger than Australia’s other heavily populated states. They’re also the only state with a dedicated and legislated offshore wind target, sending a clear message to the energy industry that Victoria is open for business.

Needs improvement:

  • Victoria needs to boost uptake of rooftop solar and battery storage, where it is lagging behind most other jurisdictions.

Queensland

On track:

  • More than half of all Queensland households have installed rooftop solar, adding more energy generation capacity than all of Queensland’s coal-fired power stations combined.
  • Queensland’s $62 billion Energy and Jobs Plan is one of the largest and most comprehensive clean energy investment packages of any Australian state.

Needs improvement:

  • Queensland needs to boost battery storage to match its impressive uptake of rooftop solar. The state lags behind most other jurisdictions on battery installation, despite being the leader on deployment of solar panels.
  • Queensland needs to develop more electric vehicle charging infrastructure to match the strong embrace of electric vehicles.
  • Use of shared transport in Queensland also lags behind other states, creating room for improvement with the right policies and investments that can build on the innovative trial of 50c public transport fares which began in 2024.

Western Australia

On track:

  • The Western Australian Government has committed to transform the state’s energy landscape by closing all state-owned coal-fired power stations by 2030.
  • Almost half of West Australian houses have solar, the third most of all Australian states and territories.

Needs improvement:

  • Western Australia has a low share of clean energy and is being left in the dust by other states.
  • Positive progress is being held back by the lack of state-wide plans for making cuts to climate pollution this decade, and the ongoing expansion of polluting gas projects.
  • Western Australia has significant room to improve when it comes to shared transport.

South Australia

On track:

  • South Australia has not only switched off its last coal fired power station, they now have one of the strongest renewable energy targets in the nation and are on track to source 100% of their electricity from renewable sources by 2030.
  • South Australia leads the nation when it comes to pairing home batteries with rooftop solar.
  • South Australia is forging ahead with plans to establish itself a world leader in clean energy generation.

Needs improvement:

  • Despite leading the way on clean energy, but needs to match this with stronger targets for cutting climate pollution. At the time of writing, the South Australian parliament is considering a bill to set emissions reduction targets of 60% by 2030, and net zero by 2050. The state should also introduce interim targets for 2035, as other states have done.

Tasmania

On track:

  • Tasmania is one of Australia’s clean energy leaders, having achieved 98% renewable electricity generation and setting a target to produce 200% of its electricity needs from renewables (with surplus generation sent to other states).
  • In fact, Tasmania already has the highest share of actual renewable electricity generation across Australia, with more than 75 percent of its electricity generated from hydro.
  • The Apple Isle is already sharing its renewable electricity with the mainland, and its 200% clean energy generation target will see electricity exports increase.

Needs improvement:

  • Hobart ranks second-last of all Australian capitals for uptake of shared transport, with a busload of room for improvement.

Australian Capital Territory

On track:

  • The ACT is a national leader in clean energy. Since 2020, it has been powered by 100% renewable electricity, secured through innovative power purchase agreements (a long-term contract between electricity generator and customer) which have given Canberrans some of the lowest power bills in the country.
  • The ACT has several times more electric vehicles per person than other states and territories.

Needs improvement:

  • Canberra has the lowest shared transport use of any Australian capital, mainly because limited services in its spread-out suburbs leave residents reliant on their cars.

Northern Territory

On track:

  • The Top End is one of the top performers for the rollout of batteries alongside rooftop solar.
  • The territory is making some progress towards clean energy adoption, including progress towards large-scale battery storage projects and positive steps towards establishing a renewable hydrogen industry.

Needs improvement:

  • On current projections, climate pollution in the Northern Territory is set to rise. The Territory needs to move quickly and introduce real plans to cut climate pollution now, including setting interim targets to drive cuts well before 2050.
  • The Northern Territory lags behind the rest of Australia in uptake of clean energy, but its 50 percent renewable energy target by 2030 is an opportunity to catch-up with other states and territories.

Australia’s clean energy revolution has arrived, and momentum is building.

As we accelerate towards a cleaner, more diverse and more prosperous economy, it is important to take stock of how far we’ve come and the acknowledged benefits this is already being enjoyed by millions of Australians. 

Our momentum is huge, and unstoppable. In just six years, we have more than doubled the share of clean electricity in our grid. One in three Aussie homes  has solar on the roof. We are driving more electric vehicles than ever. And, perhaps most importantly, all of our biggest states except Western Australia have set stronger renewable energy and emissions reduction targets which are helping to prioritise resources, drive fastercuts to climate pollution and track progress.
Now is the time to accelerate our efforts. We can go further and faster so that even more Australians benefit.

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The Climate Council acknowledges the Traditional Custodians of the lands on which we live, meet and work. We wish to pay our respects to Elders past and present and recognise the continuous connection of Aboriginal and Torres Strait Islander people to land, water and Country.