Australia’s Solar Future: A Landmark Study Confirms Self-Sufficiency and Necessity

Australian Solar Pioneer Advocates for Domestic Solar Manufacturing

Dr Muriel Watt, a renowned Australian solar pioneer, has been recognised for her contributions to the solar industry with an appointment as a Member of the Order of Australia. Throughout her career, Watt has dedicated herself to promoting solar energy and advocating for the right policy settings to realise its potential. Now, as she approaches retirement, Watt and the Australian PV Institute (APVI) are focused on convincing investors and policymakers about the benefits of domestic solar manufacturing.

The APVI recently released the first round of findings from the Silicon to Solar Study, a comprehensive report that outlines a roadmap for Australia to establish its own solar manufacturing capabilities. Developed in collaboration with Deloitte and key industry stakeholders, the study recommends the development of a fully integrated domestic value chain for solar manufacturing, including the production of poly-silicon, ingots/wafers, solar cells, and solar panels.

The report highlights the need for government policy support to make this vision a reality. It also emphasises the importance of balancing factors such as vulnerability/criticality, industry interest, competitive advantage, and economic benefits when determining the manufacturing potential of different parts of the solar value chain.

While the study acknowledges that manufacturing costs in Australia will be higher than in China, it stresses the importance of reducing dependence on Chinese imports and shifting towards renewable energy. The report estimates that an initial capital investment of $A1.3 billion will be required to establish a 10GW poly-silicon supply chain, with additional investments needed for ingots/wafers, solar cells, and modules.

Watt emphasises that Australia should not aim to compete directly with China but instead focus on reducing dependence on Chinese imports while transitioning to 100% renewables. She highlights the critical role of solar energy in achieving this goal and argues that manufacturing solar components domestically is essential for Australia to become a renewable energy superpower.

The APVI report calls for the development of a National Solar Manufacturing Strategy and recommends a supportive political ecosystem to address barriers to industry establishment. It also emphasises the need for cooperation between different levels of government and diplomatic engagement with China to establish a domestic solar supply chain.

ARENA CEO Darren Miller supports the findings of the Silicon to Solar Study and sees it as a pathway for Australia to become a leader in manufacturing cutting-edge solar technology. He believes that Australia’s existing capacity to manufacture advanced technology in other sectors can be applied to the solar PV industry, contributing to the country’s clean energy economy.

The next phases of the study will assess the manufacturing technology chain, including production scale, investment requirements, and potential industry partnerships. The APVI aims to collaborate with industry partners and stakeholders to further develop the baseline manufacturing industry in Australia.