Annual Climate Change Statement 2024: national rooftop solar now exceeds combined coal capacity
The third Annual Climate Change Statement reports improved emissions projections, renewable energy milestones, and offshore wind energy plans.
The current Australian Federal Government's third Annual Climate Change Statement, tabled in Parliament on Thursday, outlines progress in reducing emissions and transitioning to renewable energy. It demonstrates how the country is addressing climate challenges and adapting to the impacts already being felt.
The Annual Climate Change Statement is a requirement under the Climate Change Act 2022 and includes the government’s response to annual recommendations from the Climate Change Authority.
Projections show Australia's emissions will fall 42.6% below 2005 levels by 2030 under the baseline scenario. On a cumulative emissions budget basis from 2021 to 2030, the country is expected to outperform its target by 3%, equating to over 150 million tonnes of avoided greenhouse gas emissions. Renewable energy is anticipated to generate around 40% of electricity in 2024, with nearly a quarter of the required new transmission infrastructure completed or under construction.
Whilst presenting the Statement to Parliament, Minister for Climate Change and Energy Chris Bowen highlighted the importance of renewable energy to emissions reduction, saying, “In Australia, electricity accounts for nearly 35 per cent of all emissions. Renewable energy is also vital to unlocking emissions reduction processes in other sectors, because electrification is usually the lowest-cost way to reduce emissions.”
The statement reports that more private investment flowed into renewable energy projects in the latest quarter than in all of 2023. Up to 7.5 gigawatts (GW) of renewable energy capacity is expected to connect to the grid in 2024, nearly half from rooftop solar. The Small-scale Renewable Energy Scheme has supported Australia’s 4 millionth rooftop solar installation, which now exceeds the combined capacity of the country’s coal-fired power stations.
The government has also launched national tenders under the Capacity Investment Scheme to drive clean energy investment and secure reliable power as coal-fired plants retire. The Australian Energy Market Operator predicts 90% of the country’s coal power stations will retire by 2035.
Inflation data revealed electricity prices have fallen over 35% from October 2023, attributed to the uptake of renewables. Bowen stated, “2024 has now set the all-time record for renewables. Data released by the Clean Energy Regulator today shows up to 7.5GW of renewable capacity will have been connected to the grid this year.”
Despite progress, the opposition criticised the government's climate approach. Shadow Climate and Energy Minister Ted O’Brien reaffirmed the Coalition’s preference for coal and gas while proposing a future focus on nuclear energy. This contrasts with the government’s net zero plan, which prioritises renewable energy development and emissions reduction.
The Annual Climate Change Statement 2024 statement was accompanied by related reports, including the Climate Change Authority’s Annual Progress Report and Australia’s updated emissions projections.
