Australia plans $653-million fund for solar manufacturing

Australia

SYDNEY, March 28, 2024 – Australia will create a USD 653-million fund to support solar panel manufacturing, the country’s prime minister announced on Thursday.

“Australia should not be the last link in a global supply chain built on an Australian invention,” Prime Minister Anthony Albanese said, referring to a solar cell design developed at the University of New South Wales in the 1990s that has become the global standard.

The country has the world’s highest uptake of rooftop solar, with one in three homes hosting panels, according to a report from Reuters. However, only 1% of the panels are manufactured in-country.

Around 70% of the world’s solar panels are manufactured in China.

The Labour government has pledged more than USD 26 billion to fund the country’s transition to renewable energy during its two-year tenure.

The new fund will be managed with the support of the Australian Renewable Energy Agency.

The Australian government targets an 82% share for renewable power in its energy mix by 2030. Renewables made up 32% of the country’s energy mix as of end-2022.

As of end-2023, the country had 34.2 GW of installed solar capacity.

“We have every metal and critical mineral necessary to be a central player in the net zero transformation, and a proven track record as a reliable energy producer and exporter,” Prime Minister Albanese said.