According to Blue Economy CRC, wave energy could boost Australia’s AUD 118 billion (approximately $81,4 billion) blue economy, driving opportunities in fabrication, installation, and marine operations.
Australia already has existing elements that are important for wave energy sector development, such as a skilled workforce for offshore infrastructure and renewable industries, Blue Economy CRC said.
However, research institutions like universities and the Commonwealth Scientific and Industrial Research Organisation (CSIRO) add further strength, enabling innovation in the sector. The potential for market expansion includes grid connections and powering remote facilities, particularly in coastal regions that are poisedto benefit economically.
Wave energy stands out as a key player in helping Australia meet its net zero targets, said Blue Energy CRC. With the country aiming to slash emissions by 43% by 2030 and hit an 82% renewable electricity share, the inclusion of wave energy in its energy mix could address the growing demand for dispatchable power.
The National Electricity Market (NEM) forecasts show significant growth in renewable capacity by 2050, yet a gap in consistent power supply remains – a gap that wave energy could potentially fill.
The report calls for a strategic approach to wave energy, emphasizing its potential as a critical resource for Australia, outlining seven key recommendations to advance the sector, including incorporation into national and state planning, evaluation by the Australian Energy Market Operator, Inclusion in sustainable ocean plan, consistent funding, coastal protection guidelines, data sharing, and climate analysis.
Background of seven key recommendations
The overarching recommendation of this report, according to the Blue Energy CRC, is: “Federal and State Governments in Australia should take a strategic view of the wave energy industry in order to achieve the maximum national benefit from this potentially critical national resource.”
However, there are a few other themes that the development of wave energy in Australia should cover, according to the report.
1. Incorporation into national and state planning
Federal and State governments must integrate wave energy into planning strategies. The Australian Renewable Energy Agency (ARENA) should fund a study to assess the national benefits of the wave energy industry, including its role in economic and social development, sovereign capability, and environmental sustainability.
According to the report by Blue Energy CRC, the benefits of alignment with the international momentum in wave energy should be considered together with the Australian alignment with the International Energy Agency Ocean Energy Systems roadmap for 2050.
This should also include encouraging long-term investor confidence in the sector.
2. Evaluation by Australian Energy Market Operator
The Australian Energy Market Operator (AEMO) does not consider wave energy currently, and this report says that AEMO should evaluate wave energy in its integrated system plan (ISP) to gauge its potential impact on energy storage needs by 2050.
Evidence from similar markets, like the UK’s EVOLVE study, shows that adding 10 GW of wave energy could save up to AUD 2.76 billion annually by 2040, thanks to reduced storage and generation demands. For Australia, introducing wave energy is expected to cut storage capacity requirements, translating into lower overall costs.
Modeling from three local grids on the south coast shows consistent results, reinforcing the idea that wave energy could deliver dispatchability and cost benefits across Australia’s southern margin. These findings point to a broader potential, suggesting that the system-wide implications of wave energy can only be fully realized through an integrated national approach.
3. Inclusion in sustainable ocean plan
Wave energy should be part of the Sustainable Ocean Plan alongside other renewable sources, Blue Energy CRC notes. This recommendation highlights the importance of collaboration between technology developers, research institutions, and local governments to foster the industry’s growth.
Cross-sector and cross-departmental joint activities could increase impact and benefits through education, R&D, and business activities. Australia’s rural, regional, remote (RRR) coastal areas could play a significant role in this case.
Source: oddshore-energy.biz