The big story of 2018: Solar’s energy returns are good news for the Australian economy

The big story of 2018: Solar’s energy returns are good news for the Australian economy

Posted August 18, 2019 07:18:49Australian investors are optimistic about the return of solar power after years of cheap electricity.

Solar Energy Australia chief executive officer Andrew Westwood said the solar industry had made great strides since the last election.

“It’s really been a great ride,” Mr Westwood told AM.

“We’ve had some pretty big drops in prices, and we’re seeing a pretty good return on that investment.”

In fact, solar power was the fastest-growing form of renewable energy in the world last year, generating $2.5 billion in revenue.

Mr Westwood’s bullish comments were echoed by other investors who have been bullish on solar over the past year.

Solar investors are hoping the Australian solar industry can recapture its magic days of $40 million per year.

“The solar industry is a little bit in its infancy right now,” said David Hynes from Sydney-based Powerhouse Capital.

“But that’s because of the cost of electricity.”

Mr Hynes is bullish on the Australian market for solar, saying its still “just a bit of a niche market”.

“The whole industry is going through a transition, and the big picture is a lot bigger than just the solar market,” he said.

“There are a lot of really big things going on in the energy sector right now.”

Solar energy is currently around $US20 a megawatt hour, and is expected to grow by around 40 per cent this year.

It is expected that solar could become a $US40 billion market by 2020, and could rival the electricity generated by coal.

“I think you’re going to see solar take a bigger share of the energy mix in Australia,” Mr Hynes said.


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