Knowledge Centre
Australian wind farms 2025
Australia's wind farms have come a long way since the early days of renewable energy.
In 2025, wind power stands as a cornerstone of the nation's clean energy transition, contributing significantly to the electricity grid. However, this progress is accompanied by a mix of triumphs and tribulations.
Let's delve into the current landscape of Australian wind farms.
The current state of Australian wind energy
As of 2025, Australia boasts a total installed wind energy capacity of approximately 13.3 gigawatts (GW), accounting for around 13.4% of the nation's electricity supply.
This positions wind energy as the largest contributor among renewable sources, following closely behind solar energy. The majority of operational wind farms are concentrated in regions with optimal wind conditions, such as South Australia, Victoria, and New South Wales.
New South Wales (NSW) is at the forefront of this renewable energy transition, aiming for a 70% emissions reduction by 2035. The state currently hosts 45 operational solar and wind farms, with nearly 100 more projects approved and several under construction.
Central to this plan are five Renewable Energy Zones (REZs), strategically designed to integrate generation and storage projects with new transmission infrastructure. Notably, the Central-West Orana REZ is poised to deliver 3 gigawatts by 2026.
The positives: clean energy and economic benefits
Environmental impact
Wind energy is a clean and renewable resource, producing no greenhouse gas emissions during operation. This contributes significantly to Australia's efforts to combat climate change and reduce reliance on fossil fuels.
Economic growth
The wind energy sector has spurred economic growth, creating thousands of jobs in manufacturing, construction, and maintenance. It's also important to note that the development of wind farms has led to increased investment in regional areas, boosting local economies.
Technological advancements
Advancements in turbine technology have led to more efficient and cost-effective wind farms. Modern turbines are larger and more powerful, capturing more wind energy and reducing the cost per megawatt-hour of electricity generated.
The challenges: community concerns and policy hurdles
Community opposition
Despite the benefits, some communities have expressed concerns about the proximity of wind farms to residential areas. In southern Queensland, for instance, residents have called for increased setback distances between turbines and homes, citing issues such as noise and visual impact.
Policy and regulatory challenges
In Queensland, the government's recent cancellation of the $1 billion Moonlight Range wind farm project near Rockhampton has raised concerns. The decision was based on a lack of community consultation, despite the project's prior conditional approval.
This move, supported by new laws requiring mandatory community and local government consultation, social impact assessments, and community benefit agreements, could impact up to 110 renewable energy projects across the state.
Industry bodies have criticised these reforms, arguing that they could add costs, delays, and regulatory uncertainty to projects. Critics warn that involving local councils, who may lack technical knowledge, could lead to inconsistent and overly cautious decisions.
Grid infrastructure limitations
The integration of wind energy into the national grid requires substantial investment in transmission infrastructure. Delays in building new high-voltage transmission lines can hinder the timely connection of new wind farms to the grid, affecting their ability to deliver power efficiently.
The future: offshore wind and technological innovation
Offshore wind energy presents a promising avenue for Australia's future energy needs. The Bass Strait, for example, has large areas with depths of less than 50 meters, making it suitable for fixed-bottom wind turbines, which are more cost-effective than floating turbines.
Consistently high wind speeds averaging 8-10 meters per second further enhance the economic viability of offshore wind projects.
Advancements in turbine technology, such as larger and more efficient models, are expected to continue, further reducing costs and increasing the capacity of wind farms. Improvements in energy storage solutions will help address the intermittency of wind energy, ensuring a stable and reliable power supply.
Speak to Compare Energy
As Australia continues to harness the power of wind, it's essential for households to stay informed about their energy options.
Call our friendly, Aussie-based team at Compare Energy on 1300 790 106 to explore how you can benefit from the nation's renewable energy transition.