The Federal Government is supporting the emerging offshore renewable industry to develop new technology and unlock the sector’s full potential with a series of new guidelines.
The guidance is designed to help developers, researchers, scientists and other interested parties apply for Research and Demonstration licences in declared offshore zones, establishing a home for offshore renewables research, as well as commercial generation projects.
The Federal Government said that while floating offshore wind is nearing commercialisation, there’s still more work to do to support its development.
It said that the Hunter offshore wind zone remains ripe for investment given their local workforce, experience with heavy industry, and large energy use. Research and Demonstration licences will allow development and testing of offshore renewable energy technology, ensuring Australia is a home for renewable investment, innovation and development.
These projects might include using monitoring equipment such as special buoys to assess the feasibility of a region, or demonstration projects to investigate viability of new technology before applying for a feasibility licence to progress to a full commercial project.
Research and Demonstration licences are proposed to last for ten years and will be available across all six declared areas. Applications will be assessed for their appropriateness and projects will require community consultation.
For example, developing floating wind turbine technology will help unlock a combined 8GW of renewable energy capacity in the Hunter and Illawarra offshore areas.
Federal Minister for Climate Change and Energy, Chris Bowen, said researching and developing offshore energy technology would help harness Australia’s renewable energy resources.
“The Albanese Government is securing Australia’s energy future with the offshore wind industry,” he said.
“These Research and Demonstration licences are a big green light to domestic and international investors, signalling that Australia wants to be home to the next technological advance when it comes to offshore renewable development.
“Our first priority for Australia’s offshore renewables areas is to deliver cleaner and cheaper energy, we know there’s a huge reserve of renewable resources on offer if we can develop the technology to harness it.
“Australian waters are the perfect place to research and develop these technologies, demonstrate their viability and work towards turning our clean energy potential into gigawatts of power.”
The Government is seeking feedback to improve and finalise its Research and Demonstration licence application guidelines, with public consultation open 22 August to 3 October 2025.
More information can be found here.
Industry response
Rewiring Australia welcomed this plan to boost offshore wind technology.
Rewiring Australia Founder and Chief Scientist, Saul Griffith, said the development and testing of this kind of technology is critical if we are going to get the most out of it in Australia.
“We need to encourage investment and innovation and this is one important way to do that,” Dr Griffith said.
“Australia is in a unique position; we not only have abundant sun to support solar, but with the 6th longest coastline in the world and 85 per cent of our population within 50km of that coast, we’re well placed to scale up our offshore wind capabilities.
“A diverse mix of renewable energy will make Australia less reliant on imported fuels and expensive and aging fossil fuel plants.
“We have the ability to become a renewable energy superpower in Australia, and supporting our innovators is one of the best ways to do that. Harnessing the strong winds out to sea will help deliver clean energy around the clock, and help us close down our expensive, ageing coal power stations on time, which is good for the energy bills of all Australian households.
“I commend the Federal Government for opening up the gates to crucial investments in offshore wind technologies with this license proposal. With the right framework to get this industry established, Australia can be a leader in this global energy opportunity.”
