Bowen directs ARENA to consider funding for more community electrification demonstration projects
Federal Government explores expansion of community electrification to lower energy costs
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Minister for Climate Change and Energy Chris Bowen has used his statutory ministerial referral powers to formally request Australian Renewable Energy Agency (ARENA) to consider supporting additional community electrification demonstration projects across Australia. The initiative aims to help households, including renters, access cheaper and cleaner energy by increasing the use of solar panels, batteries, and energy-efficient appliances.
“ARENA pilot projects supporting home electrification will help create valuable insights into how households can transition to renewables and smart energy systems to cut energy costs and reduce emissions,” Minister Bowen said.
ARENA-supported projects have already helped communities benefit from emerging technologies that improve energy affordability and reliability.
Last October, the Federal Government allocated $5.4 million in ARENA funding for the Electrify 2515 pilot in Wollongong. This project is one of 49 initiatives supported by ARENA over the past six years, with total investments exceeding $144 million to assist households in managing energy costs through electrification and efficiency measures.
The Electrify 2515 pilot is rolling out energy-efficient electric appliances and smart energy management devices to participating households in Austinmer, Clifton, Coledale, Scarborough, Thirroul, and Wombarra. The project builds on similar electrification efforts previously funded in South Australia and the Northern Territory.
With ARENA now looking to expand these pilots to the ACT, Western Australia, Queensland, Victoria, and Tasmania, the government sees an opportunity to gather data and insights on how best to implement household electrification nationwide.
Bowen acknowledged the involvement of non-Labor senators in supporting initiatives that reduce both household energy bills and emissions.
“I’d like to thank senators David Pocock, David Van, Jacqui Lambie, and Lidia Thorpe for their ongoing advocacy for cheaper, cleaner to run homes and their commitment to renewable energy," he said.
Funding decisions for demonstration projects remain at ARENA’s discretion, assessed on merit and in line with its legislative mandate. At the end of 2024, the government amended ARENA’s legislation to formally include support for electrification as a statutory function and reinstated statutory funding that had lapsed under the previous administration.