Australian renewables to be cheaper than coal by mid-2030s

Australia, one of the world's most coal-dependent economies, will rapidly transition towards cleaner and more cost-effective sources of energy over the next two decades, according to a major new report.

Released earlier this week, the Australian Energy Technology Assessment (AETA) report from the government's Bureau of Resources and Energy Economics analyses 40 different energy technologies and concludes solar and wind energy will provide the lowest levelised costs for electricity generation by the mid-2030s.

The projections also raise the prospect of a major shake-up in Australia's energy sector, which currently relies on coal power for around 80 per cent of its electricity generation, resulting in the country boasting one of the highest level of per capita emissions among industrialised nations.