Australia Expands Clean Energy Investment Scheme to 2030

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The Australian Government has announced a major expansion of its Capacity Investment Scheme (CIS), aiming to increase renewable energy and storage capacity by 40 gigawatts (GW) by 2030. This marks a significant jump from the previous target of 32 GW.

The CIS is designed to encourage private investment in energy infrastructure by offering long-term revenue certainty. Through competitive tenders, the government underwrites contracts for renewable generation projects such as solar and wind, as well as dispatchable capacity like battery storage. This structure aims to reduce financial risk for investors and boost energy supply reliability.

The new targets include 26 GW of renewable generation capacity and 14 GW of dispatchable storage. This is an increase from the 2023 goals of 23 GW and 9 GW, respectively. The program is a key component of Australia’s broader energy policy, which aims to have renewable sources account for 82% of electricity generation by the end of the decade.

Six tenders have already been conducted, putting the CIS on track to deliver 18 GW of combined renewable and storage projects. Further tenders will continue to run through 2027, allowing additional opportunities for market participation.

According to Australia’s Department of Climate Change, Energy, the Environment and Water (DCCEEW), the expanded scheme could support up to A$52 billion in investment in solar and wind technologies, and approximately A$21 billion in energy storage infrastructure.

The DCCEEW stated that the uplift in the CIS will enhance energy reliability and affordability, while also supporting regional development and long-term grid stability. The expanded investment is also expected to attract new business interest in the national energy sector and create employment opportunities in infrastructure and engineering.

With this update, the CIS remains a central pillar of Australia’s approach to energy market transition, focusing on scalable and financially secure pathways for meeting electricity demands into the next decade.