The Australian renewable energy sector is set to carry on its stellar performance, with a new report released by MinterEllison anticipating a boom in the market as investors swoop in for the ‘abundant opportunities’.
In a survey of 100 renewable energy investors from Australia and abroad, 68% say that they plan to increase investments in the coming year, while 22% say they will at least maintain current investment levels.
"The report shows a high degree of international optimism for the Australian renewables sector, with investors in North America and Asia Pacific in particular looking to ramp up their investments in Australian renewables,” said Simon Scott, MinterEllison Partner and the firm’s Energy and Resources Leader.
The report examines market opportunities from a broad swathe of the country’s renewables sector, concluding that international investors continue to see significant opportunities for investment in wind and solar power to energy storage and hydrogen.
"The overall deal value in the Australian sector rose significantly in 2018 to AUD $12 billion, up 41% from 2017, and we see no sign of this investment and transactions slowing,” Mr Scott concluded.
Opinions among foreign investors in the research paint a particularly promising picture for the near term, and large percentages from North America (65%), Europe (40%) and Asia Pacific (45%) say they will increase their investments in the Australian renewables space.
Additional key findings in Australian renewable energy investment trends and outlook 2019 include:
93% of respondents say Australian government policies will be supportive in the year ahead
95% of respondents say Australia has the most supportive financing environment for renewables projects, ranking third behind only Germany (99%) and the US (97%)
Top opportunity sectors include energy storage (86%), thermal solar (82%) and biomass/biogas/waste-2-energy (80%)