The International Energy Agency confirmed last week what many already knew: the world is undergoing a huge transformation in global energy markets. Fossil fuels are dying and renewables are on the rise.
Much of the focus has been on what this means for Australia, given the IEA declared there can be no new fossil fuel projects if global temperature rise is to be kept below 2℃.
But what the discussion has missed is how the shift to renewable energy is also set to transform Australia’s geopolitical environment. For a country that likes to think of itself as an energy superpower, it’s time we started paying attention.
Australia should embrace the opportunity to become a renewable energy power. If we don’t act now, with the global energy transition gathering pace, Australia could be exposed to a hostile international energy environment with profound economic, security and diplomatic consequences.