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Sydney, Australia, 2007/05/29 - New analysis from Frost & Sullivan, Australia and New Zealand Renewable Energy Markets reveals that the market earned revenues of US$562 million in 2006 and estimates this to reach US$1,969 million (AU$2,388 million) in 2013.
Rising concerns about global climatic changes and environmental awareness have paved the way for the phenomenal development of renewable energy technologies in Australia and New Zealand. Extensive potential sites for development, adequate availability of natural resources, and suitable climatic conditions encourage project initiation in these two countries.
New analysis from global growth consulting company Frost & Sullivan (energy.frost.com), Australia and New Zealand Renewable Energy Markets reveals that the market earned revenues of US$562 million (AU$682 million) in 2006 and estimates this to reach US$1,969 million (AU$2,388 million) in 2013.
Renewable energy technology’s positive impact on the environment and the economy has created lucrative opportunities for domestic and overseas project developers, consultants, contractors, and equipment suppliers.
"It also significantly helps the national electricity market by ensuring balance in the energy supply, thereby reducing both countries’ dependence on coal-fired power plants," says Miss Suchitra Sriram, research analyst for Frost & Sullivan.
However, very high installation costs, low generating capacity, and numerous approval procedures have constantly restrained the use of renewable energy technologies in power generation. The availability of economical and easy-to-use alternatives such as diesel generator sets also makes it difficult to convince end-users about the long-term benefits of renewable energy.
These challenges encourage the installation of thermal power plants, which have very high power output. The market will also have to cope with the issue of economic viability of projects among small project developers due to inadequate funding.
"However, policies and schemes by the Federal Government as well as state-wide schemes can help small project developers to overcome the limitations of financial viability of key projects," notes Miss Sriram.
It is also critical to reduce the initial investments and improve the operational efficiency of renewable energy projects to expand the market both in urban and rural areas. Simplification of approval procedures and aggressive technology awareness campaigns will help in faster project implementation and commissioning.
A tremendous increase in planned projects as well as those under construction over the last few years underlines the growing importance of renewable energy technologies in power generation. This is the result of the considerable developments in key renewable energy technologies such as wind and solar photovoltaic systems among the utility, commercial, and residential end-user segments.
The Australia and New Zealand Renewable Energy Markets service is part of the Energy & Power Growth Partnership Service, which also includes research in the European and Latin American renewable energy markets. All research services included in subscriptions provide detailed market opportunities and industry trends evaluated following extensive interviews with market participants. Interviews with the press are available
Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics.