Australia Renewable Energy - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026 - 2031)
Market Report I 2026-02-09 I 95 Pages I Mordor Intelligence
Australia Renewable Energy Market Analysis
The Australia Renewable Energy Market was valued at 74.83 gigawatt in 2025 and estimated to grow from 85.65 gigawatt in 2026 to reach 168.14 gigawatt by 2031, at a CAGR of 14.46% during the forecast period (2026-2031).
A supportive policy mix, rising corporate decarbonization goals, and rapid cost declines in utility-scale storage underpin this expansion. Grid-scale solar continues to lead capacity additions, yet wind power records the steepest growth trajectory as developers accelerate onshore and early-stage offshore pipelines. Investment flows favor projects sited inside designated renewable-energy zones, where streamlined approvals and pre-built transmission capacity shorten development cycles. Long-duration batteries now clear financial close alongside generation assets, allowing higher instantaneous penetration of variable renewables. Simultaneously, miners and data-center operators lock in long-term power purchase agreements that de-risk giga-scale builds and diversify revenue streams for generators.
Australia Renewable Energy Market Trends and Insights
Rising Utility-Scale Solar PV Capex Inflows
Committed investment in grid-scale solar reached AUD 12 billion (USD 7.9 billion) across 47 projects during 2024, confirming solar's cost leadership and bankability in the Australian renewable energy market.Liquidity from pension funds and infrastructure investors now pairs equity with concessional Australian Renewable Energy Agency grants, stretching tenor and trimming weighted-average cost of capital. Developers bundle batteries or synchronous condensers into the same balance sheet to meet new grid strength standards, a structure that accelerates interconnection approval. Competition has intensified for prime sites within the New England, Central Queensland, and Murray River zones where transmission headroom and high irradiance co-exist.
Federal & State-Level Renewable Energy Targets Extension
The federal commitment to 82% renewable electricity by 2030 removes revenue-signal ambiguity and cements confidence in the Australian renewable energy market. State ambitions go further: Victoria targets 95% by 2035, Queensland 70% by 2032, ensuring a multi-decade build queue. Updated Large-Scale Generation Certificates underpin forward-offtake structures, while AEMO's Integrated System Plan prioritizes corridors such as HumeLink and VNI West, embedding a renewable-first grid expansion.
Transmission Congestion & Weak Grid Hosting Capacity
AEMO flagged 23 constraint points where renewable output is curtailed by up to 15% during midday peaks, eroding the project's internal rate of return and diluting the short-run marginal cost advantage over thermal plants. Developers increasingly layer AUD 50-100 million (USD 33-66 million) of bespoke transmission upgrades into feasibility budgets, narrowing site selection to zones with pre-built backbone lines.
Other drivers and restraints analyzed in the detailed report include:
Corporates' RE-Powered Mining & Data-Center CommitmentsSurge in Long-Duration Battery Projects Unlocking Additional RE CapacityTransformer & HV Component Import Lead-Time Spikes
For complete list of drivers and restraints, kindly check the Table Of Contents.
Segment Analysis
Solar accounted for 59.85% of the Australian renewable energy market share in 2025, driven by sub-AUD 40/MWh (USD 26/MWh) levelized costs in the eastern seaboard's high-irradiance belts. The Australian renewable energy market size for solar assets is forecast to expand at a 13.22% CAGR through 2031 as utility, commercial, and residential buyers continue to prize cost transparency and modular buildability. Utility investors favor giant single-axis tracking arrays within REZs, pairing them with four-hour batteries that capitalize on evening arbitrage spreads. Rooftop adoption remains potent; every second detached home built in 2025 is expected to ship with embedded solar-storage packages pre-rolled into mortgages.
Wind rides a faster 18.53% CAGR on the back of taller turbines, hub-heights above 200 meters, and a maturing offshore policy framework. Three offshore projects, totaling 5.4 GW, filed environmental-impact statements in 2024, led by the 2.2 GW Star of the South project off Gippsland, Victoria. These multi-gigawatt foundations underwrite new transmission spines and stabilize long-term network tariffs. Hydropower is expected to preserve its baseload niche with the completion of Snowy 2.0, which is scheduled to inject 2 GW of dispatchable capacity and 350 hours of storage in 2028. Bioenergy, geothermal, and ocean energy remain peripheral but gather localized momentum among agribusiness and remote communities seeking waste valorization and energy independence.
The Australia Renewable Energy Market Report is Segmented by Technology (Solar Energy, Wind Energy, Hydropower, Bioenergy, Geothermal, and Ocean Energy) and End-User (Utilities, Commercial and Industrial, and Residential). The Market Sizes and Forecasts are Provided in Terms of Installed Capacity (GW).
List of Companies Covered in this Report:
AGL Energy Ltd Origin Energy Ltd Neoen SA Iberdrola Australia (Infigen Energy) Acciona Energia Tilt Renewables Ltd APA Group ENGIE Australia & NZ Goldwind Australia Vestas Australia First Solar Inc Edify Energy Pty Ltd Ratch Australia Genex Power Ltd Snowy Hydro Ltd Fortescue Energy Sun Cable Pty Ltd ACEN Australia CIP (Star of the South) Squadron Energy
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
1 Introduction
1.1 Study Assumptions & Market Definition
1.2 Scope of the Study
2 Research Methodology
3 Executive Summary
4 Market Landscape
4.1 Market Overview
4.2 Market Drivers
4.2.1 Rising utility-scale solar PV capex inflows
4.2.2 Federal & state-level Renewable Energy Targets extension
4.2.3 Corporates RE-powered mining & data-centre commitments
4.2.4 Surge in long-duration battery projects unlocking additional RE capacity
4.2.5 Green-hydrogen export hubs driving forward-contracted new builds
4.3 Market Restraints
4.3.1 Transmission congestion & weak grid hosting capacity
4.3.2 Policy uncertainty around capacity-investment-scheme timing
4.3.3 Transformer & HV component import lead-time spikes
4.3.4 Community resistance to new inter-state transmission corridors
4.4 Supply-Chain Analysis
4.5 Regulatory Outlook
4.6 Technological Outlook
4.7 Porters Five Forces
4.7.1 Threat of New Entrants
4.7.2 Bargaining Power of Suppliers
4.7.3 Bargaining Power of Buyers
4.7.4 Threat of Substitutes
4.7.5 Competitive Rivalry
4.8 PESTLE Analysis
5 Market Size & Growth Forecasts
5.1 By Technology
5.1.1 Solar Energy (PV and CSP)
5.1.2 Wind Energy (Onshore and Offshore)
5.1.3 Hydropower (Small, Large, PSH)
5.1.4 Bioenergy
5.1.5 Geothermal
5.1.6 Ocean Energy (Tidal and Wave)
5.2 By End-User
5.2.1 Utilities
5.2.2 Commercial and Industrial
5.2.3 Residential
6 Competitive Landscape
6.1 Market Concentration
6.2 Strategic Moves (M&A, JVs, Funding, PPAs)
6.3 Market Share Analysis (Market Rank/Share for key companies)
6.4 Company Profiles (includes Global-level Overview, Market-level Overview, Core Segments, Financials, Strategic Information, Products & Services, Recent Developments)
6.4.1 AGL Energy Ltd
6.4.2 Origin Energy Ltd
6.4.3 Neoen SA
6.4.4 Iberdrola Australia (Infigen Energy)
6.4.5 Acciona Energia
6.4.6 Tilt Renewables Ltd
6.4.7 APA Group
6.4.8 ENGIE Australia & NZ
6.4.9 Goldwind Australia
6.4.10 Vestas Australia
6.4.11 First Solar Inc
6.4.12 Edify Energy Pty Ltd
6.4.13 Ratch Australia
6.4.14 Genex Power Ltd
6.4.15 Snowy Hydro Ltd
6.4.16 Fortescue Energy
6.4.17 Sun Cable Pty Ltd
6.4.18 ACEN Australia
6.4.19 CIP (Star of the South)
6.4.20 Squadron Energy
7 Market Opportunities & Future Outlook
7.1 White-space & Unmet-Need Assessment
Content is provided by our partners and every effort is made to make Market Report details as clear as possible. If you are not sure the exact content you require is included in this study you can Contact us to double check. To do this you can:
Use the ‘? ASK A QUESTION’ below the license / prices and to the right of this box. This will come directly to our team who will work on dealing with your request as soon as possible.
Write to directly on support@scotts-international.com with details. Please include as much information as possible including the name of report or link so our staff will be able to work on you request.
Telephone us directly on 0048 603 394 346 and an experienced member of team will be on hand to answer.
With the vast majority of our partners we can obtain Sample Pages to support your decision. This is something we can arrange without revealing your personal details.
It is important to note that we will not be able to provide you the exact data or statistics such as Market Size and Forecasts. Sample pages usually confirm the layout or the Categories included in Charts and Graphs, excluding specific data.
To ask for Sample Pages by contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
Whilst we try to make our online platform as easy to use as possible there is always the possibility that a better alternative has not been found in your search.
To avoid this possibility Contact us through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346 and a Senior Team Member can review your requirements and send a list of possibilities with opinions and recommendations.
All prices are set by our partners and should be exactly the same as those listed on their own websites. We work on a Revenue share basis ensuring that you never pay more than what is offered elsewhere.
Should you find the price cheaper on another platform we recommend you to Contact us as we should be able to match this price. You can Contact us though through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
As we work in close partnership with our Partners from time to time we can secure discounts and assist with negotiations, this is part of our personalised service to you.
Discounts can sometimes be arranged for speedily placed orders; multiple report purchases or Higher License purchases.
To check if a Discount is possible please Contact our experienced team through ‘? ASK A QUESTION’, support@scotts-international.com, or by telephoning 0048 603 394 346.
Most Market Reports on our platform are listed in USD or EURO based on the wishes of our Partners. To avoid currency fluctuations and potential price differentiations we do not offer the possibility to change the currency online.
Should you wish to pay in a different currency to that advertised online we do accept payments in USD, EURO, GBP and PLN. The price will be calculated based on the relevant exchange rate taken from our National Bank.
To pay in a different above currency to that advertised online please Contact our team and a quotation will be sent within a couple of hours with payment details.
License options vary from Partner to Partner as is usually based on the number of Users that will benefitting from the report. It is very important that License ordered is not breached as this could have potential negative consequences for you individually or your employer.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
The Global Site License is the most comprehensive license available. By selecting this license, the Market Report can be shared with other ‘Allowed Users’ and any other member of staff from the same organisation regardless of geographic location.
It is important to note that this may exclude Parent Companies or Subsidiaries.
If you have questions or need confirmation about the specific license we recommend you to Contact us and a detailed explanation will be provided.
The most common format is PDF, however in certain circumstances data may be present in Excel format or Online, especially in the case of Database or Directories. In addition, for certain higher license options a CD may also be provided.
If you have questions or need clarification about the specific formats we recommend you to Contact us and a detailed explanation will be provided.
Delivery is fulfilled by our partners directly. Once an order has been placed we inform the partner by sharing the delivery email details given in the order process.
Delivery is usually made within 24 hours of an order being placed, however it may take longer should your order be placed prior to the weekend or if otherwise specified on the Market Report details page. Additionally, if details have been not fully completed in the Order process a delay in delivery is possible.
If a delay in delivery is expected you will be informed about it immediately.
As most Market Reports are delivered in PDF format we almost never have to add additional Shipping Charges. If, however you are ordering a Higher License service or a specific delivery format (e.g. CD version) charges may apply.
If you are concerned about additional Shipping Charges we recommend you to Contact us to double check.
We work in Partnership with PayU to ensure payments are made securely in a fast and effortless way. PayU is the e-payments division of Naspers.
Naspers operates in over 133 International Markets and ranks 3rd Globally in terms of the number of e-commerce customers served.
For more information on PayU please visit: https://www.payu.pl/en/about-us
If you require an invoice prior to payment, this is possible. To ensure a speedy delivery of the Market Report we require all relevant company details and you agree to maximum payment terms of 30 days from receipt of order.
With our regular clients deliver of the Market Report can be made prior to receiving payment, however in some circumstances we may ask for payment to be received before arranging for the Market Report to be delivered.
We have specifically partnered with leading International companies to protect your privacy by using different technologies and processes to ensure security.
Everything submitted to Scotts International is encrypted via SSL (Secure Socket Layer) and all personal information provided to Scotts International is stored on computer systems with limited access in controlled environments.
We partner with PayU (https://www.payu.pl/en/about-us) to ensure all credit card payments are made securely in a fast and effortless way.
PayU offers 250+ various payment channels and eWallet services across 4 continents allowing buyers to pay electronically, whether on a computer or a mobile device.