ARENA’s new investment plan makes PV innovation a priority

Facebook
Twitter
LinkedIn
Reddit
Email
ARENA will prioritise improving cell and module efficiency in silicon, perovskite and tandem cells. Credit: ARENA

The Australian Renewable Energy Agency (ARENA) launched its new investment plan prioritising how to use US$800 million worth of funds in the next few years, with solar PV innovation one of the main new areas of focus.

The plan, titled ‘Innovating Energy’, puts forward four new priorities and since 1 May all new funding applications have been assessed using these criteria.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

Not ready to commit yet?
  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

ARENA noted that large-scale solar in Australia is closing in on price parity with wind power five years earlier than expected. However, the Agency wants to make PV even more competitive through R&D to hit greater efficiencies and further reduce costs.

The plan states: “Reducing the cost of solar PV to less than AU$0.06/kWh (US$0.04) and appropriate market conditions could see solar PV produce more than 30% of Australia’s electricity within 15 years.”

ARENA will prioritise improving cell and module efficiency in silicon, perovskite and tandem cells. It will also focus on durability of PV modules with new encapsulation techniques to address degradation and new tools to uncover defects. It will also look across the range of balance of system (BOS) technologies to reduce costs in wiring, switches and inverters. New products with flexible and transparent applications will also be examined with an emphasis on turning R&D into manufacturing supply chains.

ARENA did not specific how much of its funding would go towards PV innovation, presumably because its funding is based on the individual applications that it receives.

Controversial cuts to ARENA funding early last year led to concerns in the industry about just how much long-term support would be going to solar R&D.

An Agency statement said: “ARENA will be focussed on demonstrating how renewable energy can add value to the electricity system, minimise the cost of grid infrastructure and maintain security and reliability.”

In attempts to help make the grid more flexible for integrating renewable energy, the body will also investigate flexible capacity technologies and mechanisms such as energy storage and demand response. This includes technologies that control voltage or frequency to make the grid more stable, or that capture real-time data to detect and respond to power issues.

The plan also sets out how to go about applying for ARENA funding.

This week, a CSIRO and Energy Networks Australia (ENA) study found that distributed energy technologies such as solar and battery-based storage could save Australia AU$101 billion (US$75 billion) by 2050 and completely eliminate greenhouse gas emissions.

Read Next

August 28, 2025
Developer Pacific Energy has successfully commissioned a 26MW solar-plus-storage site at the Atlas-Campaspe mine in NSW, Australia.
August 26, 2025
The Australian Government’s CER approved 56 new power stations, with 797MW of renewable energy capacity, in July this year.
August 22, 2025
The Australian Renewables Income Fund (ARIF), a renewable energy fund managed by Foresight Group, has raised AU$700 million (US$779 million) in a debt refinancing transaction.
August 22, 2025
AEMO has predicted the NEM will see a steady rise in renewable energy generation capacity, reaching 229TWh by 2035.
August 20, 2025
New South Wales, Australia's most coal-dependent state, will transition from 40% to 90% renewable energy by 2035, according to grid operator Transgrid's latest planning report.
August 19, 2025
Australia’s Clean Energy Council has appointed Jackie Trad as its new chief executive officer, following the departure of Kane Thornton.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
September 16, 2025
Athens, Greece
Solar Media Events
September 30, 2025
Seattle, USA
Solar Media Events
October 1, 2025
London, UK
Solar Media Events
October 2, 2025
London,UK
Solar Media Events
October 7, 2025
Manila, Philippines