Federal Energy Minister Chris Bowen has reaffirmed the 82 per cent renewable energy target is achievable by 2030 but conceded that the wind sector will require significant further work to overcome project delays. The acknowledgement of sector-specific headwinds comes as NEM spot prices plunged 30.7 per cent week-on-week to average $51.38/MWh, suppressed by strong solar output. While solar and battery hybrid projects are performing strongly, Bowen warned that offshore wind delays pose an ongoing challenge to meeting national goals.
This domestic focus on implementation contrasts with a booming global renewables picture. A new report finds solar and wind met 99 per cent of new global electricity demand in 2025, with batteries increasingly delivering a 'round-the-clock' resource. The International Energy Agency separately confirmed the world added a record 605 GW of new solar PV capacity last year. That expansion drove a 600 TWh rise in solar generation, the largest annual increase for any power source outside a post-crisis recovery.
Australia's domestic manufacturing capability is scaling to meet this storage demand. Melbourne's PowerPlus Energy will triple its battery module production capacity to 150 MWh annually following a $2.3 million grant from the Australian Renewable Energy Agency. The funding will support a new semi-automated production line, boosting sovereign capability in stationary storage assembly. This local growth in firming capacity is complemented by grid-strengthening investments, with a state-owned network finalising a deal to install four synchronous condensers to improve system stability.
Regulators are also moving to manage new sources of grid strain. The AEMC has released a draft rule proposing new technical standards for data centres connecting to the grid, aiming to improve system security while streamlining connection approvals. The commission's intervention reflects growing concern over the impact of large, concentrated loads on network planning and stability. In a separate draft determination, the AEMC found current electricity planning rules are sufficient to address a rule change request from the Centre for Independent Studies.
On the electrification front, Minister Bowen moved to clarify the government's position on electric vehicle taxation. He stated a road user charge will only be introduced 'when it is ready,' downplaying fears of an imminent or arbitrary new tax on EV owners. This policy deliberation is occurring alongside tangible progress in transport electrification. In New South Wales, construction has begun on a new manufacturing facility to produce 128 electric buses as part of the state's Zero Emissions Bus program.
Meanwhile, international markets continue to grapple with linking renewable generation to stable pricing. The UK government plans to offer voluntary long-term fixed-price contracts for solar plants from 2026, aiming to decouple their revenue from volatile gas-driven wholesale prices. The move highlights a challenge seen across Europe, where average electricity prices last week topped €95/MWh despite falling gas costs. Only nations with record solar output, like Spain and France, saw their prices decouple from the regional trend, reinforcing the disinflationary pressure of renewables at scale.
The AEMC's draft determinations on data centres and gas network regulation are now open for feedback. Submissions on the proposed gas network reforms are due by the end of the month, while stakeholders have until early May to comment on the new data centre grid standards.