by A recent study conducted by Western Sydney University has provided insights into the lead-times required for the planning, approval, construction, and commissioning of renewable energy projects in Australia. The research, published in Energy Economics, focused on 170 onshore wind and solar photovoltaic (PV) projects completed between 2000 and 2023.
The study revealed that there has been a significant improvement in lead-times for onshore wind and solar projects over the years. However, it also highlighted that the lead-times for commissioning, the final step in the process, have increased for solar projects.
Dr. Thomas Longden from the University’s Urban Transformations Research Center emphasized the importance of accurate lead-times in meeting the renewable energy targets set for 2030. With only approximately 70 months remaining until 2030, understanding the lead-times of projects is crucial to track progress towards these targets, explained Dr. Longden.
The research highlighted a lack of studies exploring renewable energy project lead-times in Australia and other countries. Dr. Longden further pointed out that renewable projects used to take a longer time to go through the processes of planning, approval, construction, and commissioning.
While solar projects currently take around 41 months to complete, onshore wind projects have historically required more time. However, recent onshore wind projects have seen a reduction in lead-times, now taking approximately 53 months to complete.
These lead-time findings indicate that the window for meeting the 2030 renewable energy targets is narrowing. To ensure the successful completion of the required projects, planning for most of them needs to begin in the next few years, considering the significant lead times of 40-50 months.
The study also revealed an increase in commissioning lead-times for solar projects. Previously, this step took an average of three months, but recent data shows an increase to six months or more. Some solar projects have even taken more than a year for this final phase.
Dr. Longden and the researchers suggest that despite the improvements in lead-times in Australia, more efforts should be made to sustain these gains in the future. They recommend the adoption of a “one-stop shop” approach for applications, which would streamline administrative procedures. This approach would involve setting maximum response times for authorities to assess each step of the process.
Additionally, treating suitable projects as expansions of existing sites could further improve administrative procedures. Some recent projects demonstrated lower lead-times as they were built in multiple stages using the same or similar set of approvals. This approach has also been successful in installing batteries as a co-located asset.
In conclusion, the study conducted by Western Sydney University sheds light on the lead-times of renewable energy projects in Australia. The findings emphasize the need for efficient and streamlined administrative procedures to meet the 2030 renewable energy targets. By understanding and improving project lead-times, Australia can ensure the timely completion of necessary renewable energy infrastructure.
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1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
