Zhongjin: The development forefront of new electric power systems, accelerated demand for wind and solar energy storage in Australia.

202328.14%2025-203066GW116GWhVPP2030 The research report released by Zhongjin stated that the proportion of solar power generation in Australia is relatively high, reaching a total of 28.14% by 2023. Additionally, the Australian electricity grid is not interconnected with other countries, making the challenges of increasing the share of solar power generation even greater. The reform process of the Australian electricity market, the characteristics of regulatory resources at various stages of development, and the core competitive elements of participants are all reference points. It is estimated that a total of 66GW of new solar power capacity and 116GWh of new energy storage capacity will be added in Australia from 2025 to 2030. Investment directions include rooftop photovoltaics, distributed photovoltaics with storage, VPP virtual power plants, centralized energy storage, hydrogen energy, and electric vehicle charging facilities. By 2030, the largest absolute market size and increment are expected in the field of centralized energy storage, with optimism for manufacturers familiar with grid connection rules and possessing strong solution capabilities. Main sources of demand for wind and solar energy: electrification, hydrogen energy, and electric vehicle development Unlike the common phenomenon in developing countries where the demand for wind and solar energy storage increases due to power shortages, the new energy demand in Australia mainly comes from the clean energy transformation for the purpose of industrial structure adjustment. It is predicted that the annual growth rate of electricity consumption from 2024 to 2050 will be approximately 1.93%. The electricity demand for basic residential and commercial use will decrease slightly, with new demand mainly coming from electrification, hydrogen energy, and electric vehicle development, with growth rates of 13%, 18%, and 27% respectively. Lack of regulatory resources, energy transformation pace may be faster than government expectations Early high installation subsidies and feed-in tariffs have driven rapid deployment of household photovoltaics, but due to: 1) Australia's vast land area and sparse population, as well as the non-interconnected grid, result in a lack of scale efficiency and stability in the Australian electricity grid, requiring a higher demand for regulatory resources; 2) AEMO does not make redundant preparations for grid planning and regulatory resources, and policies are not timely in providing forward-looking subsidies, leading to delays in actual construction; 3) The lack of capacity market construction has led to rapid retirements of coal-fired power plants; 4) Tesla's dominance in the energy storage market has made prices expensive, delaying the economic turning point. These reasons have led to a lack of regulatory resources, continuous widening fluctuations in wholesale electricity prices, and with the combination of solar energy and storage reaching grid parity, the pace of energy transformation may be faster than expected by AEMO. Risk factors Renewable energy development falls short of expectations, trade policy risks, exchange rate fluctuation risks, and technological change risks.