ARENA: We’re into wind

Lara Olsen

Head of Strategy

Australian Wind Energy Conference

Contents

1. Snapshot of ARENA

2. Challenges

3. Opportunities

- Off-grid, fringe-of-grid

- Community renewables

3

ARENA Core Objectives

1. Improve

competitiveness

of renewable energy

technologies

2. Increase

supply

of renewable energy

Proposed$

2.5 billion

in

funding to

2022

4

ARENA – technology neutral, focused on pre-commercial technologies

Knowledge Sharing Collaboration and Engagement

Regional Australia’s Renewables

Emerging Renewable Program

Advanced Biofuels

Identifying Australia’s Top R&D -

includes solar & non-solar technologies

Integrating Renewables in the Grid

Renewables through Hybridisation

Ongoing and referred projects (including Big Solar projects)

Open Programs Programs announced in latest investment plan – still to be launched

Accelerated Step Change Initiative

Renewable Energy Venture Capital Fund

Research & Development

Demonstration Commercialisation

ARENA’s Programs

5

>7700GWh of electricity –1 million homes

3.4% Australia’s overall energy needs

>$5 billion investment in Australia since 2001

For every 50 MW in capacity:

• 48 direct construction jobs

• 5 ongoing staff for operations

• ~$25,000 spent by each worker in the

local area annually

• 160 local workers employed during the

construction phase

Wind success

Infigen 189MW Capital Renewable Energy Precinct

6

But wind is facing challenges… from the community…

7

…And uncertainty due to policy changes

• RET review

• Energy White Paper

• Emissions Reduction Fund

• Direct Action

8

However

9 Source: AECOM, BREE, Geoscience Australia

10

• 9.2 MW, four E-70 Enercon 2.3 megawatt turbines

• Provides 7% of mine’s energy needs, peaking at 58%

• Reduced diesel consumption by 10%

• Reduces 100 fuel loads per winter

• Payback time: 8 years

Industry use – example: Diavik diamond mine

Source: Rio Tinto, media releases

11

Regional Australia’s Renewables – Industry (I-RAR)

More information in the I-RAR fact sheet

and manual at www.arena.gov.au

OBJECTIVES:

• Grow a portfolio of RE solutions in

regional and remote Australia

• Focus on hybrid and integrated

systems in off-grid and fringe-of-grid

communities

• Contribute to knowledge sharing and skills

development, especially in

regional and remote areas

demonstration deployment

12

Regional Australia’s Renewables – Community and Regional Renewable Energy (CARRE)*

*CARRE works directly with off-grid energy

suppliers (not the broader community).

More information in the CARRE fact sheet

and manual at www.arena.gov.au

OBJECTIVES:

• Demonstrate viability and reliability

of RE systems in grids for small

communities and islands

• Grow RE supporting technologies

• Show commercial viability

• Contribute to knowledge sharing

demonstration deployment

13

• 100+ wind co-ops own 75% of

Denmark’s wind turbines

• 51% Germany’s installed RE

capacity community owned

• UK only 60MW currently, with

predictions for >5GW by 2020

And also on-grid through the community ownership models….

• Hepburn Wind Farm (Vic) -

4.1 MW, power 2300 homes

• Denmark farm (WA)

• 40 in development

Hybrid:

• Coonooer Bridge wind farm

(Vic) – 5 turbines, 10,900

homes

• Share scheme

• First Victorian wind farm

approved since 2011 changes

to permitting

International Strength With Bright Spots in Australia

Source: news reports, websites, Reneweconomy, respubliblica

14

ARENA: Supporting community energy strategy

UTS: Community energy strategy - $266,280 project

• Financing and business models

• Skills requirements

• Regulatory and policy barriers

• Sharing lessons learned

An ARENA Emerging Renewables Measure

15

We’re into wind but we need you

Apply

Provide

Input

Apply Expressions of Interest for Regional

Australia Renewables close Dec 31

Provide your input on consultations, draft General Funding

Strategies

arena.gov.au

Thank you