AEMO's March Connections Scorecard reveals a 67.3 GW pipeline of proposed NEM projects, a 33 per cent annual increase dominated by batteries and solar. Despite the record pipeline, the operator warns that funding uncertainty and supply chain constraints are delaying implementation for a growing volume of applications. This friction between ambition and execution comes as market signals soften, with NEM spot prices falling 10.6 per cent week-on-week to average $55.14/MWh. While 1.4 GW of new capacity reached full output this quarter, the scorecard highlights a widening gap between proposed projects and those achieving financial close.
The Australian pipeline surge mirrors a global trend. New analysis shows solar and wind are expected to meet nearly all global electricity demand growth in 2025, with capacity additions outpacing other technologies sixfold. This shift is accelerated by energy security concerns, with the European Commission launching its AccelerateEU strategy to fast-track homegrown clean energy. China’s record-high solar PV exports are feeding this global demand, while the world added a record 165 GW of wind capacity in 2025, cementing variable renewables as a core component of modern power systems.
But the rapid renewables buildout is sharpening the focus on storage. European trade groups argue the AccelerateEU strategy lacks sufficient provisions for storage, leaving critical implementation questions unanswered. The critique lands as a new LCP Delta study finds long-duration battery storage can provide supply security more cost-effectively than new gas plants in German capacity tenders. The research underscores the economic case for storage, though it maintains some new gas infrastructure remains necessary for a stable energy mix.
In Australia, smaller-scale projects are demonstrating tangible progress in solving specific grid challenges. ARENA is backing two First Nations-led microgrid projects in the Northern Territory with $11 million to improve power reliability in remote communities. The NT Government separately awarded an $8.3 million grant for a solar and battery microgrid in Borroloola, designed as a scalable template for other remote deployments. These projects address reliability at the grid edge, a contrast to the high penetration levels in South Australia, where grid-connected loads were paid to use power 46 per cent of the time in Q4 2025.
Meanwhile, the market rule-maker signalled confidence in existing planning frameworks. In a draft determination, the AEMC found current electricity planning rules are sufficient to manage the transition, proposing not to make a rule requested by the Centre for Independent Studies. This view contrasts with AEMO's operational concerns about project delays, suggesting a tension between the adequacy of the rules on paper and the practical hurdles facing developers. The AEMC's position indicates that major changes to planning regulations are unlikely in the near term.
The Reliability Panel has also weighed in, publishing its comments on AEMO’s 2025 System Security Transition Plan. Stakeholders now await several key deadlines, with submissions for AEMO's consultation on Credit Limit Procedures closing on 1 May, followed by the deadline for its aseXML draft schema consultation on 4 May.