With Australia committed to net zero emissions by 2050 and the Government moving to legislate its 2030 emissions reduction target this coming fortnight as Parliament resumes, energy efficiency and electrification have come into sharp focus, with the government including them in a revised mandate for the country’s renewable energy agency.
Over the weekend the Albanese Government expanded the mandate of the Australian Renewable Energy Agency (ARENA) to include electrification and energy efficiency in response to long running advocacy by the Property Council of Australia and allied organisations.
The new Australian Renewable Energy Agency Amendment (Powering Australia) Regulations 2022 will enable ARENA to invest in targeted projects that will both demonstrate how we can effectively integrate efficient, electric buildings with a decarbonising grid, and do it in a way that maximises utility of distributed energy resources (rooftop PV, EVs, and batteries) while minimising unnecessary network infrastructure spend.
Property Council Chief Executive Ken Morrison said the decision is an important initial step in bolstering ARENA’s role and accelerating its work.
“This move by Minister Bowen is a positive early signal to industry, that has the potential to set Australia on a path to being an international leader,” Mr Morrison said.
“This double transformation – on efficiency and electrification – presents an opportunity to incorporate new technologies, modernise our grid and realise the potential of our renewables while delivering a net benefit to the economy.
“Energy efficient electric buildings, that draw less from the grid to run appliances, charge EVs at times when renewables are plentiful, or load shift to reduce stress on the network around peak events, remove the need for expensive network infrastructure and extra generation.
“Australian commercial property owners are global sustainability leaders, and now with ARENA’s expanded mandate, are well placed to show the world how we can deliver world-class sustainable buildings that harmonise with a two-way energy system,” he said.
The opportunities for low-cost emissions reductions in the built environment remain significant and largely untapped, particularly in the established housing stock. There is enormous opportunity for ARENA to focus its considerable talents on charting a path for the electrification of millions of Australian homes and rolling out smart appliances that talk to the grid, reducing demand during busy peaks.
The new regulation comes into effect immediately and members can lodge applications on the ARENA website.