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Renewable energy
South Australia is a world leader in renewable energy integration, lifting the share of its net electricity generation from renewables from 1% in 2007 to over 75% in 2025.
In 2026, momentum continues, with a pipeline of $32.5 billion in large scale renewable energy projects that are under construction, under assessment, or have received development approval.
South Australia's aspiration is to achieve 100% net renewable electricity by 2027 when calculated across a year.
Activities that will contribute to this target include:
- commissioning new wind and solar projects
- increasing dispatchable capacity through the Firm Energy Reliability Mechanism (FERM) to enable the expansion of renewables
- progression of Project EnergyConnect Stage 2 (delivered by project partners) to enable two-way electricity flow between NSW and South Australia
Natural energy resources
With an estimated 80 gigawatts of developable wind and solar resources, South Australia is streamlining and coordinating development through the Hydrogen and Renewable Energy Act 2023, including competitive land release to support large-scale renewable projects. Its introduction in 2023 has unlocked a significant wave of renewable energy investment, jumping from $19 billion to more than $30 billion in 2026.
Wind and solar have become the primary sources of the state's electricity supply with more than 7,564 MW of registered generation capacity. This is supported by gas and some diesel generation to manage extended periods of peak demand, bringing the total registered capacity to 10,581 MW.
Solar
South Australia has one of the best climates for solar, with six large-scale solar farms (those generating above more than 30 MW) connected to the National Electricity Market. We also have one of the highest per capita levels of rooftop solar installed anywhere in the world. Around 50% of dwellings deliver a combined generation of 3,401 GWh which is more than triple that of utility scale solar capacity. Solar PV generated over 32% of South Australia’s electricity in 2024/25.
Wind
We have world class wind resources, with 23 wind farms in operation (generating above more than 30 MW). Wind generated around 45% of South Australia’s electricity in 2024/25.
Battery
We have one of the highest uptake of residential batteries in Australia with more than 11% of homes equipped with batteries (SA Power Networks, January 2026). At the grid scale, a growing fleet of large-scale batteries (above 30 MWh) deliver around 1.7 GW of power and close to 5 GWh of storage. This includes the original world-renowned Hornsdale Power Reserve built in 2017, which achieved a world-first by demonstrating synthetic inertia in 2021. A further nine projects are under construction.
In 2026, six battery energy projects have been awarded Firm Energy Reliability Mechanism Agreements in the first tender, totalling 517 MW/4,136 MWh of dispatchable energy.
By harnessing our natural endowment of wind and solar energy, along with minerals in high demand, we are well positioned to capitalise on the global green transition.
Gas remains essential during low renewable output and peak demand. South Australia requires around 60 petajoules annually, until viable alternatives are available, particularly for hard-to-abate industries.
An energy system for industry and consumers
South Australia is building a modern energy system and supporting both industry and consumers to participate and benefit.
For industry, we create the conditions for growth and decarbonisation to encourage gigawatt-scale renewable generation and storage including wind, solar PV, batteries and other innovative technologies by:
- leading with nation-leading regulation through the Hydrogen and Renewable Energy Act, including streamlined coordination through the life cycle of projects
- planning intelligently for the electricity security, load-growth and affordability through an energy forecasting unit and publication of an annual Electricity Development Plan
- ensuring adequate natural gas supply to provide firming capacity during low renewable output, as well as during peak demand
- strengthening supply chains for low-carbon technologies
- building research and industry partnerships in low-carbon fuels and technologies
- regulatory frameworks for Carbon Capture and Storage that underpins a monitoring and verification system to confirm containment.
For consumers, we support households to participate in and benefit from the energy transition by:
- taking advantage of schemes to use consumer energy resources such as rooftop solar and home batteries to store excess energy for later use
- supporting eligible South Australians to lower their electricity rates through emPoweringSA community batteries program
- boosting consumer understanding and confidence to take part in distributed energy resources, such as virtual power plants where households can be rewarded for exporting energy to help balance demand
- providing free, independent energy advice through the Energy Advisory Service, including increasing energy efficiency, understanding energy bills, heating and cooling tips, reducing energy use and smart energy management
- supporting the uptake of zero-emission vehicles, through statewide charging and refuelling infrastructure and vehicle-to- grid and grid-to-vehicle charging
- flexible exports to match the available capacity on the local power network.
South Australian Government key projects
emPowering SA
emPowering SA is delivering 18 community batteries to deliver benefits to more than 10,000 households currently locked out from accessing renewable energy technologies.
The program, a partnership between the Government of South Australia and energy retailer AGL, involves the support from councils and local communities across South Australia. It will enable a typical household to save up to $575 of their annual electricity bill.
As at May 2026, three community batteries have been commissioned: two in Adelaide and one at Port Pirie.
South Australia's Virtual Power Plant (SA VPP)
Launched in 2018, South Australia's Virtual Power Plant (SA VPP) pioneered the use of distributed energy resources, linking and monitoring a network of homes with solar, battery and software to act as a single power plant. The initiative, supported by the South Australian government and ARENA, was originally designed and developed by Tesla. By demonstrating grid stability services and lower costs for consumers of around 25% below the regulated Default Market Offer, it set a national precedent and helped accelerate the uptake of distributed energy resources nationwide.
Building from this foundation, in 2025, AGL acquired the SA VPP and now works with the South Australian government to provide offers to tenants of eligible SA Housing Trust homes. Energy Locals is the electricity provider and retailer for all households participating in the SA VPP. Currently more than 6,000 social housing homes are participating in the initiative.
Project EnergyConnect
Project EnergyConnect, a new energy interconnector between South Australia and New South Wales, will support the expansion of the renewable sector by enabling green energy produced in South Australia to be exported to NSW and vice-versa, to provide increased power system reliability.
- Learn more about Project EnergyConnect on their website.
Fast facts
- South Australia covers 1 million square kilometres
- Population: 1.49 million in Adelaide, 1.91 million in South Australia (as of June 2025, Australian Bureau of Statistics)
- South Australia’s emissions have reduced by 55% since 2005
- South Australia has committed to achieve net zero emissions by 2050, and has gone one step further to legislate this as well as our goal to reduce net greenhouse gas emissions by more than 50% by 2030
- South Australia has moved from 1% to over 75% net renewable electricity generation in less than 20 years (between 2007 and 2026)
- South Australia is home to the original world’s largest battery, the 150 MW Hornsdale Power Reserve
- Around a half of homes in South Australia have solar PV systems installed
- There is around A$32 billion invested in the renewable energy project pipeline in 2026
- By 2050, South Australia could generate five times more renewable energy than it needs to meet current grid demand
- South Australia is home to the world’s largest zircon mine, and 34% of Australia’s graphite, cobalt and magnesite deposits
- In 2025, South Australia produced 330,000 tonnes of copper – enough copper to power 4 million electric vehicles or 70,000 wind turbines
Contacts
If you are looking to identify opportunities, strategic partnerships and get advice on the South Australian energy sector, contact:
Strategic Policy and Delivery
Department for Energy and Mining
Email: DEM.BusinessServices@sa.gov.au
You can also speak to the Energy and Mining sector specialists.
