By definition, renewable energy sources are limited to those that can be replenished indefinitely and are procured from natural resources. There exist individual variants of broader sources such as tidal and wave energy being a subset of water-based energy sources.
Hydroelectricity or hydropower is the most widely used form of renewable energy in the world. Hydropower generates 16% of the world’s electricity and accounts for 67% of Australia’s total renewable energy output.
Solar power refers to the harnessing of sunlight to generate electricity through the use of lenses and reflectors to concentrate the sun’s energy. Currently, around 8% of all households have solar systems installed in their homes, with this number growing by 60% between 2002 and 2008.
Wind power involves the generation of electricity through wind forces. Wind energy capacity has shown dramatic growth over the past few years, with 296MW of new installed capacity between October 2010 and September 2011. The Clean Energy Council’s report for 2011 expected wind energy to be the dominant technology in achieving the RET, given its low costs for large-scale projects over 100MW.
Ocean power involves using the tides, waves and currents to produce energy. Despite Australia’s expansive coastline, this form of energy is highly underutilised with only one wave-powered generation plant at Port Kembla, NSW.
Geothermal power is extracted from granite rocks located deep below the Earth’s surface. There are nearly 50 companies working on geothermal exploration and it is expected that more sites will be functional over the next 2-5 years.
Biomass energy is energy that is sourced from biological material such as plant matter, wood, waste, gas and fuels. In Australia, bioenergy is still in its infancy, accounting for around 7% of total renewable capacity, the majority of which is powered through bagasse (sugar cane pulp) obtained from sugar cane residues.
The world’s energy situation is precariously balanced. Increased awareness of the issues surrounding climate change and greenhouse gas emissions, coupled with increasing consumer support for clean energies has paved the way for the renewable energy industry to make a significant impact.
However, the success of the industry will continue to depend on government and consumer support that affects technology, the price of energy services and the extent to which renewable energies are eventually embraced by the public. The Federal Government’s 20% RET is certainly a step in the right direction, but implementation remains fraught with uncertainty. The industry’s future is inextricably linked to political and scientific progress in reaching the 20% goal, as hastening the transition to a low carbon economy is ultimately profitable for the country as a whole. In the five years leading up to 2017-18, industry revenue is forecast to increase by 10.8% per annum to total $8.76 billion.
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