- Focus areas
- Application imperatives
- Funding eligibility
- Application assessments
Integrating renewable energy with energy productivity measures, such as increasing energy efficiency, is an effective way to accelerate the share of renewable energy in the supply mix at reduced cost1.
Australia’s National Energy Productivity Plan (NEPP) aims to improve Australia’s energy productivity by 40 per cent from 2015-2030. The NEPP identifies that the key to improving energy productivity is continually innovating to achieve new or improved energy services and ensuring barriers to adopting associated technologies are addressed. Continued innovation could help meet the NEPP target at lower cost and over time increase Australia’s energy productivity beyond the target.
In line with its investment priority – improving energy productivity – ARENA is looking for energy productivity projects across the industrial, built environment and transport sectors that support renewable energy deployment.
ARENA is particularly looking for projects that are replicable and innovative.
- industrial heating and cooling
- high performance buildings
- electric and fuel cell vehicles
Energy productivity background
Energy productivity measures seek to increase value while decreasing energy use and cost. Achieving this not only concerns improvements to the efficiency of technologies and processes, it also encompasses optimising energy use across systems and supply chains.
By bringing together all the ways to reduce energy costs per unit output, including efficient use, switching to renewables and process and business model changes (see fig 1), real advances can be made.
To be eligible for funding, energy productivity activities must involve “renewable energy technologies”. Renewable energy technologies can include hybrid and enabling technologies where these are related to renewable energy technologies.
Other technologies and activities that can improve energy productivity, such as storage, load shifting, electrification, fuel switching and using more efficient technology, may be considered for funding if they enable or support greater or more cost-effective deployment of renewable energy.
- improving the competitiveness of renewable energy technologies, or
- increasing the supply of renewable energy in Australia.
Note: “technologies” are not limited to “tools or equipment” but can include a process, technique or system for the generation, use or development of renewable energy.
ARENA will consider funding novel or innovative technologies and activities where these have a clear pathway to commercialisation. Commercial or commonly implemented technologies and activities are not eligible.
Examples of technologies and activities that may improve energy productivity and that may be eligible for funding include:
|Technology||Eligible examples (non-exhaustive)|
|Renewable energy technologies||• applications of on-site renewable energy
• models for energy users to procure or access off-site renewable energy
• fuel-switching to renewable energy, for example:
• from natural gas to bioenergy or,
• from natural gas to electro-technology such as microwave or induction heating, where the power is supplied from a renewable energy source
• electric vehicles (battery or fuel cell) where the electricity / hydrogen is generated from a renewable source.
(A technology that is a mix of renewable energy technology and other technologies and that involves the improved use or competitiveness of renewable energy as a genuine end)
|• co-firing biogas in a natural gas boiler
• heat pumps in heating mode are also hybrid technology, combining electricity (which may or may not be renewably sourced) together with renewable heat energy drawn from the surrounding environment.
(make renewable energy technologies possible or easier)
|Energy storage, load shifting, electrification, energy efficiency and controls where these technologies are integrated to use, enable or support greater deployment of renewable energy:
Examples include innovative or novel approaches to:
• load shifting and storage on end user premises (battery, thermal or material) to respond to and align loads with short or long term renewable energy generation profiles;
• controls or thermal storage on air conditioning, refrigeration or other equipment to optimise use of on-site PV generation or off-site renewable energy generation.
|Activities||Eligible examples (non-exhaustive)|
|Technologies and processes implemented as part of an integrated strategy to deliver a high Renewable Energy Fraction2 organisation, site or process||• a company has established a target to reach 100% renewable energy fraction and implements a comprehensive suite of innovative or novel energy productivity and renewable energy technologies to achieve the target at least cost.|
What is not eligible for funding
As outlined, ARENA will not support technologies or activities that do not demonstrate the necessary connection to renewable energy technologies (as detailed above) or that are already commercial or commonly implemented.
Ineligible technologies and activities include (but are not limited to):
- undertaking energy efficiency audits
- “stand-alone” efficiency improvements of equipment or processes, such as:
- lighting upgrades
- heating, ventilation and air conditioning upgrades
- refrigeration upgrades
- boiler, steam system and hot water system upgrades
- manufacturing process improvements
- vehicle efficiency measures
- battery or fuel cell electric vehicles powered or fueled by non-renewable sources
- other low carbon technologies not related to renewable energy.
Although ARENA will not fund these technologies individually, should you have a broader project that includes these technologies in a way that supports the improved competitiveness or increased supply of renewable energy in Australia, please contact us to discuss further.
All applications related to energy productivity received under the ARP will be assessed according to the ARP Guidelines and any additional guidance provided in related Funding Announcements.
ARENA generally seeks responses to three key questions:
- Is the project innovative or novel?
- Is there a pathway to commercialisation?
- Will the project help unlock future investment?
The energy productivity benefit of the proposed activity could be demonstrated through an increase in metrics3 such as:
- $ (product or service) / GJ (energy used)
- tonne (product) / GJ (energy used)
For further information please contact us at firstname.lastname@example.org
1. International Renewable Energy Agency (2017), accessed on 14/9/2017
2. Renewable energy fraction is the fraction of total energy consumed that is supplied by renewable energy
3. Energy used in these metrics is typically defined as “final energy” or “delivered energy”, that is energy measured at the point of purchase