Solar power industry ‘undervalued’ in the new market
Posted On July 24, 2021
A new report has found the Australian solar industry is undervalued.
Key points:The report found solar power is a growing industry, with growth in the past decade more than doublingThe report said solar power growth was “substantially faster” than in the mining and quarry sectorsThe report comes on the heels of a number of reports in recent months showing Australia is in a solar power boom and a lack of supply in the coal and gas industries.
The research by Melbourne-based energy consultancy Solar Energy Analytics (SEAG) found that in the 12 months to June 30, 2021, solar power accounted for 10.3 per cent of Australia’s electricity generation and 5.7 per cent share of electricity generation.
It found solar was growing faster than the mining, quarry and coal and coal-fired power sectors, with the coal-power sector now the largest solar power market in the world.
“Solar is a growth market and is growing at more than double the rate of mining, mining and the coal industry,” the report said.
“With demand growing so fast, solar has a much bigger future than mining and coal.”
The report, based on data from the Federal Energy Regulator, found that while the electricity generation from solar has been growing, the industry was “undervalued”.
“While the solar industry remains a growing and profitable industry, the market has grown rapidly,” it said.
The report’s author, Professor Paul Crouch, said solar was “very important” to the future of Australia, adding that the market was “entering a period of transformation”.
“It’s a sector that is emerging, but there is still a long way to go before it becomes a viable, viable industry for Australia,” he said.
He said solar has become a “much more viable” and “much larger” industry than it was in the mid-1990s.
“It is going to be quite a long time before we have any sort of sustained growth, but it is growing fast,” he told ABC News.
“And it is becoming a much more significant and large part of the Australian economy.”
Australia is now at a stage where we have a lot more capacity than we did five years ago, but we have also lost a lot of capacity in the last five years, so we are seeing more of an impact on our power supply than we would like to have.
“Professor Crouch said while there was a “skewing of the numbers”, there was still a strong trend towards renewables.”
The market is undervaluing it,” he explained.”
There is a lot that we can learn from that and we have to keep learning and we need to continue to develop this sector.
“The industry is currently in a “growth phase”, Professor Crouch warned, with more people choosing to go solar than they have been in years.”
We are going through a growth phase and there are many reasons for that, including the opportunity cost,” he added.”
If you look at some of the solar energy in Australia, we have an incredible opportunity cost because it is cheaper than coal and it is so cheap, because you can get the sun at a fraction of the cost of coal.
“Professor Paul Croucher from the University of Melbourne said it was important to understand that the “green revolution” was still in its infancy.”
That’s why it is important to look at the green revolution in terms of the energy system itself, and not just as a way to increase the use of solar,” he warned.”
What we really need to be looking at is the energy that is used in the energy market, that is the green electricity we need.
“Topics:energy,energy-and-utilities,business-economics-and/or-finance,energy,environment,business,government-and.debt,annalisa-shelton,melbourne-3000,vicsource ABC News (Melbourne, Victoria)