This proposal supports the Australian Government’s First Nations Clean Energy Strategy 2024-2030, which aims to empower communities with clean energy and equitable partnerships by investing in microgrids to transition away from diesel, among other initiatives. At a Territory level, the Northern Territory Remote Power System Strategy has set a target for 70% renewable electricity generation for Indigenous Essential Services communities by 2030. Renewable power generation in remote communities will support energy security and the Australian Government’s ambition of 82% renewables by 2030.  

PROPOSAL DESCRIPTION  

The proposal would replace ageing diesel generators in remote communities across the Northern Territory with a mix of renewables, hybrid generation and battery storage systems. The Northern Territory Government, through Indigenous Essential Services, provides electricity to 72 remote towns across the Northern Territory. Diesel generators are used to generate electricity for regional and remote Aboriginal communities, with around 25 million litres of diesel used each year. The proposal would reduce operating costs from purchasing and transporting diesel to remote areas, as well as the negative impacts associated with burning diesel on local environment and health. 

INVESTMENT RECOMMENDATION   

The Australian Government should note this proposal as an opportunity for future investment in the 2-4 year pipeline.  

OPPORTUNITIES AND OUTCOMES  

This proposal has the potential to:  

NEXT STEPS  

Proponent to identify potential investment options (Stage 2 of Infrastructure Australia’s Assessment Framework). 

Adopting a program approach would help sequencing and packaging the delivery of renewable generation upgrades.