Australia Adds 5.2 GW of Solar Capacity in 2024, Bringing Total Installations to 40 GW

Australia added 5.2 GW of new solar photovoltaic (PV) capacity in 2024, according to the International Energy Agency (IEA), lifting the country’s cumulative installed solar capacity to 40 GW. 

The latest IEA report on solar PV deployment in Australia shows that distributed solar systems accounted for 26.1 GW of total capacity, while utility-scale projects contributed 13.4 GW. Of the new capacity added in 2024, approximately 2 GW came from utility-scale solar projects of 5 MW or larger, while residential, commercial, and industrial rooftop systems contributed 3.2 GW. 

The annual additions in 2024 exceeded Australia’s total cumulative solar capacity of 5.1 GW recorded by the end of 2015, highlighting the rapid pace of solar deployment over the past decade. 

Despite reaching a record level of new installations, the IEA noted that Australia did not rank among the world’s top ten countries for annual solar additions in 2024, marking the second consecutive year it has fallen outside the global top ten. 

Australia continues to lead globally in rooftop solar adoption. Around 44% of detached houses nationwide are equipped with PV systems, with installation rates approaching 50% in Queensland and South Australia. In contrast, Tasmania’s rooftop solar penetration stands at about 20%, reflecting its lower average annual solar irradiation of 3.7 kWh/m². 

The IEA highlighted South Australia as a notable example of high rooftop solar integration, where rooftop PV alone frequently meets the state’s electricity demand during midday peak periods and, at times, enables excess power exports to neighboring states. 

As residential solar systems have grown in size, Australia has progressively revised its system classification standards. The maximum capacity for residential PV systems has increased from 3 kW in 2012 to 10 kW, and more recently to 15 kW. Commercial PV systems are now defined as installations ranging from 15 kW to 100 kW. 

Looking ahead, the report estimates that Australia’s utility-scale solar pipeline ranges between 10 GW and 30 GW. While the federal government’s Capacity Investment Scheme sets a long-term target of 40 GW, challenges such as grid connection approvals, congestion management, and fragmented grid access rules continue to raise project costs and risks. 

Australia currently ranks among the world’s top ten countries for cumulative solar capacity, with per capita installations exceeding 1.52 kW. Supported by 26.1 GW of distributed solar and 13.4 GW of utility-scale capacity, along with strong solar irradiation conditions, solar energy now supplies more than 20% of the nation’s electricity demand. 

The National Survey Report of PV Power Applications in Australia 2024 was led by Professor Renate Egan, Director of the UNSW Advanced Photovoltaics Research Centre, and jointly prepared by experts from six Australian universities and multiple clean energy companies.