Australia’s clean‑energy transition is set for a major lift, with the federal government awarding taxpayer‑backed support to 19 wind, solar and battery projects capable of powering up to four million homes. Officials say the move represents the “biggest single boost” to the nation’s main electricity grid under the multi‑billion‑dollar Capacity Investment Scheme.
The latest auction round has approved contracts for 10 wind farms and nine solar farms, delivering almost 8 gigawatts of new generation capacity. Many of the projects will also include large‑scale batteries, adding a combined 7.9 gigawatt‑hours of storage a critical component for stabilising the grid as coal plants retire.
If completed, the projects would make a significant contribution toward the scheme’s target of 40 gigawatts of new capacity by 2030, a cornerstone of Australia’s renewable energy ambitions.
But the announcement has landed amid growing tension with renewable energy investors. Several industry groups warn that the government’s plan to apply capital gains tax retrospectively to green‑energy assets risks spooking foreign investors at a time when Australia needs them most. They argue the tax changes could undermine the very scheme designed to accelerate clean‑energy investment.
Under the Capacity Investment Scheme, developers compete in auctions for government underwriting, which guarantees a minimum revenue stream. This financial certainty helps projects secure backing from banks and investors, smoothing the path to construction.
Despite the policy friction, the government insists the new projects will deliver a major step forward in strengthening the grid, cutting emissions and supporting Australia’s long‑term energy security.
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