Renewable Energy and Battery Growth in Australia
Australia has emerged as a leading global player in battery technology, ranking third worldwide, and renewable energy accounted for nearly half of the country's power supply in 2025. However, the Clean Energy Council (CEC) has issued a warning that this progress may stall due to a significant decline in investment in new wind and solar projects.
The CEC's annual report revealed that renewable energy provided 43% of Australia's electricity throughout 2025, an increase from 39% in 2024. The year concluded positively, with clean energy generating over 50% of the power on the national grid during the final quarter.
Australia holds the third position globally for utility-scale battery capacity, trailing only China and the United States. The nation connected 2GW of large-scale battery capacity to the grid in 2025, marking a 233% increase compared to the previous year.
Concerns Over Investment and Energy Transition
Despite these advancements, CEC chief executive Jackie Trad emphasized that the energy transition is nearing a "critical juncture."
"The next five years matter most. Our sector’s highest priority in 2026 must be to remove the barriers slowing investment in new large-scale wind and solar projects that will ultimately replace unreliable coal generators that threaten the security of our energy system."
The report highlighted a 48% decrease in new investment in onshore wind and solar projects, indicating a potential slowdown. This decline was particularly notable in wind energy, with only 0.9GW reaching financial close in 2025 compared to 2.2GW in 2024.
Factors contributing to reduced investor confidence include rising inflation, regulatory delays, slow progress in transmission infrastructure, and postponed coal plant closures.
Battery Storage and Home Battery Uptake
Investment in battery storage remained robust throughout 2025. The adoption of home battery systems increased by 260% compared to 2024, supported by the federal government's program to provide more affordable home batteries. Over 268,000 small-scale storage systems were installed during 2025, with the total number rising to 400,000 subsequently.
Additional News and Updates
Good morning and welcome to our live politics blog. I’m Martin Farrer, bringing you the top overnight stories, followed by Krishani Dhanji with the main updates.
There is both positive and concerning news for the environment: Australia has become a top-three global player in batteries, and renewable energy supplied nearly half of the nation’s power in 2025. However, the annual industry snapshot warns of a worrying absence of new investments, a point underscored by our exclusive report on BHP’s slow progress in renewables.
In employment news, unions have informed that approximately 190 WiseTech staff have been notified that their roles may be made redundant as part of 2,000 job cuts driven by advancements in artificial intelligence.
Additionally, the men’s health initiative Movember is advocating for increased support for new fathers and plans to lobby parliament today. Further details on this will be provided shortly.
