In the final week of August, coal-fired power in Australia fell below 50 percent of the country’s electricity generation for the first time, reaching a historic low of 49.1 percent, according to data from Open-NEM. Renewable energy sources contributed 48.7 percent of electricity during this period, driven by increased wind production due to recent storms.
Despite being a major global exporter of coal and gas, Australia is experiencing a significant shift as reliance on fossil fuels declines. Climate finance expert Tim Buckley attributed the record low coal share to extreme weather and a warm start to spring, which reduced grid demand by up to 20 percent and nearly doubled wind energy output.
Buckley predicts that coal’s contribution will continue to diminish rapidly, potentially becoming negligible in just a few years. In contrast, fossil fuels accounted for 91 percent of Australia’s total energy consumption in 2022-2023, including transport and industry.
As the country prepares for the closure of most of its 16 coal-fired power stations, the government is accelerating investment in renewable energy. On Wednesday, it announced six new battery projects across South Australia and Victoria, aimed at providing 1,000 megawatts of storage by 2027.
Energy Minister Chris Bowen emphasized the need for immediate action to meet Australia’s future energy needs. However, Buckley noted that Australia’s renewable investment still lags behind countries like China, which is making significantly larger investments in clean technology.
The Australian energy regulator has cautioned that continued investment in renewables is crucial to prevent blackouts and meet rising energy demand in the coming decades.
