Australian Federal Government expands Capacity Investment Scheme
| The Australian Federal Government has announced a 25% expansion of its flagship Capacity Investment Scheme (CIS), raising the capacity underwriting target from 32GW to 40GW by 2030. The additional 8GW comprises 5GW of dispatchable storage – mostly large-scale batteries – and 3GW of new solar and wind generation, equivalent to powering an extra million households. Federal Minister for Climate Change and Energy, Chris Bowen, emphasised that ageing coal-fired plants are becoming increasingly unreliable and costly, making expansion urgent as battery and solar costs continue to fall. With all six previous tender rounds heavily oversubscribed, the expansion offers hope for developers, though competition remains fierce. Together with reforms, including a shift to a streamlined single‑stage tender process and four tenders slated for late 2025, the changes aim to accelerate clean energy rollout, boost grid reliability and attract an estimated A$21 billion in storage investment and A$52 billion in wind and solar. |
Australia broadens renewable energy zones to power the future
| Australia’s network of Renewable Energy Zones (REZs) is stepping up significantly, with major planning and construction accelerating across several states to meet growing clean energy demands. In New South Wales, the Central‑West Orana REZ is now the first to move from planning into delivery, expected to generate up to 4.5GW of grid capacity and attract around A$20 billion in investment, whilst supporting thousands of jobs. NSW also has four other REZs in development, including Hunter-Central Coast, New England, Illawarra, and South‑West, all gearing towards a combined 12GW of renewables and 2GW of storage by 2030. Meanwhile, Victoria, Queensland, South Australia and Tasmania have plans for six, twelve and one REZ respectively, all building momentum under national grid expansion strategies. Once completed, REZs will offer grid integrated clusters of solar, wind and storage infrastructure, leveraging economies of scale to lower electricity costs, stabilise the grid, and accelerate Australia’s transition away from coal dependency. |
Octopus Australia announces landmark partnership with APG
| Last week, we announced a landmark partnership with APG Asset Management, one of the world’s largest and most respected pension funds with A$1 trillion in AUM. As part of the partnership, APG intends to commit over A$1 billion to our flagship renewable energy platform, OASIS. The agreement represents one of the most significant institutional engagements in Australia’s clean energy transition to date and will accelerate the delivery of our growing pipeline of utility-scale solar, wind, and battery storage projects. |
