Editorial 1: Powering up the Australia-India clean energy partnership
Context
Blending Australia’s rich resources with India’s skilled workforce can create a stronger, more self-reliant clean energy system rooted in the Indo-Pacific region.
Introduction
At a time when both India and Australia are chasing big clean energy goals, Australia’s Climate and Energy Minister, Chris Bowen, is visiting Delhi today (October 15) to meet India’s New and Renewable Energy Minister, Pralhad Joshi. His visit comes as both countries face growing worries about global supply chains and the struggle to reach clean energy targets. The key issue is clear: how to expand renewable energy fast while reducing dependence on China, which controls most processing and manufacturing of critical materials.
- The India–Australia Renewable Energy Partnership (REP), started last year by Prime Ministers Narendra Modi and Anthony Albanese, now needs to shift from vision to action.
- For real success, both nations must work together on joint clean energy projects, critical mineral cooperation, and capacity building.
- These steps can help turn their climate ambitions into practical and lasting results.
- Minister Chris Bowen will get a chance to stress the importance of this partnership during the Australia India Institute’s Annual Oration in New Delhi this week.
A climate change vulnerable region
- The Indo-Pacific region is among the most climate-vulnerable areas in the world. From 1970 to 2022, it faced about 10 climate disasters every month, causing thousands of deaths and billions in damages.
- By 2050, nearly 89 million people may be displaced, and 80% of the population could feel the direct impact of climate change.
- To face this, India aims for 500 GW of non-fossil electricity capacity by 2030, including 280 GW from solar power. It is already five years ahead of schedule, with half of its power capacity now from non-fossil sources(as of July 2025).
- Australia has pledged a 62%–70% cut in emissions below 2005 levels by 2035, showing stronger commitment toward net-zero goals.
- Minister Chris Bowen called this target “ambitious and achievable, but also investable.” However, targets alone are not enough. The global clean-energy shift still relies heavily on critical minerals, solar components, batteries, and hydrogen technologies.
The risks of single country dependence
- Much of the global clean energy value chain depends on one country — China. It refines over 90% of rare earth elements and makes about 80% of the world’s solar modules, giving it major control over renewable energy supplies.
- For India, this dependence shows up in electric mobility and wind power, where imports of rare earth magnets and battery materials are hard to avoid.
- For Australia, the issue is different but linked. It is a top producer of lithium and has large reserves of cobalt and rare earths, but lacks refining and manufacturing capacity.
- The COVID-19 pandemic exposed how fragile these supply chains are. Component shortages disrupted production worldwide. Later, China’s export limits on rare earths again highlighted this vulnerability.
- In India, such limits slowed electric vehicle production. One major EV scooter company made only 10,824 units in July, nearly half of last year’s output. For Australia, these events showed the risks of staying only a raw-material supplier.
- These lessons make diversification, downstream processing, and supply chain resilience not just helpful but strategic needs.
- The India–Australia Renewable Energy Partnership (REP) offers a shared framework to tackle these risks. It promotes cooperation in solar technology, green hydrogen, energy storage, supply chains, circular economy, two-way investment, and capacity building.
- It also introduces a Track 1.5 Dialogue, joining governments, industries, and researchers to build practical clean-energy collaboration.
A strong basis for collaboration
- Australia brings rich natural resources and stable regulations to the partnership. It can supply critical minerals like lithium and rare earths to India. But the real strength lies in co-investing in refining and processing units, giving both nations more control over the clean energy value chain.
- Australia’s new Net Zero Jobs Plan also focuses on building a skilled green workforce, making it a natural fit for collaboration with India.
- India’s advantage lies in its scale and youth. With two-thirds of its people under 35, India’s young workforce can drive clean energy manufacturing, installation, and maintenance through initiatives like Skill India.
- Its rising demand for solar, storage, and hydrogen, supported by Production-Linked Incentive (PLI) schemes, opens the door for Australian firms to invest and diversify supply chains.
- Together, Australia’s resources and India’s workforce can build a strong, regional clean energy system that is both resilient and self-reliant.
- Minister Chris Bowen’s visit to Delhi comes at a critical time. Joint efforts in clean energy can show how two democracies can face climate threats and create stable, regional energy networks for a safer future.
Conclusion
The India–Australia clean energy partnership stands at a turning point. Both nations can blend Australia’s rich resources with India’s skilled workforce to build a resilient, self-reliant energy future. By focusing on joint investments, critical minerals, and green technology, they can move from promises to performance - proving how two democracies can power the region’s sustainable transformation together.