Sphere Quarterly Newsletter

Quarter 2 2024 Highlights | July 2024

Public sector and policy

Public sector and policy updates from Q2 2024.

Towards net zero

Inaugural 6GW competitive tender in the expanded Capacity Investment Scheme (CIS)

The Commonwealth Government released the Capacity Investment Scheme Tender 1, targeting 6 GW of renewable capacity in the National Electricity Market. The tender outlines the key design elements, including eligibility and evaluation criteria for project bids. AEMO Limited and its subsidiary, AEMO Services Limited, will administer the tender processes and recommend preferred projects to the government. 

WA Government announces $26m in clear energy components manufacturing: the Western Australian Government announced $26.4m in funding for clean energy components in May-24. The investment includes $18.4m to deliver 50 locally-built Standalone Power Systems (SPS) and support local businesses in manufacturing wind turbine components. 

QLD Government writes clean energy and climate targets into law: the Queensland Government officially codified its ambitious renewable energy and climate goals into law in Apr-24. These targets entail a reduction of greenhouse gas emissions by 75% by the year 2030. Although there was bi-partisan support for the emissions reduction legislation, the same consensus did not extend to the legislated renewable energy targets.

Cmwth Government announces feasibility licences for six offshore wind projects: the Commonwealth Government announced feasibility licences to six offshore wind projects within the Gippsland region, with plans to offer an additional six licences pending First Nations consultation. These 12 projects collectively hold the potential to generate 25 GW of electricity. Upon successful feasibility assessments, developers will have the opportunity to apply for commercial licences to construct offshore wind infrastructure and commence commercial electricity generation. 

Cmwth Government releases the National Battery Strategy to improve energy security: the Commonwealth Government announced the National Battery Strategy in May-24, which outlines targeted measures to foster a resilient and diverse domestic battery industry. By enhancing manufacturing capabilities, the strategy seeks to meet increasing demand for stationary energy, provide more options for consumers, and support renewable energy adoption. Headline actions include:

  • $523m to assist Australian battery manufacturers in advancing up the value chain, focusing on high-value battery products crucial for the climate energy transition;

  • $20.3m to enhance future battery capabilities through national collaboration, including the development of tools, programs and guidelines to support innovation, scale-up, and skills training within the battery industry; and

  • $1.7b as part of the Future in Australia Innovation Fund, to facilitate innovation and commercialisation of projects, particularly in priority sectors such as clean energy manufacturing, including batteries. 

CSIRO supports policy makers in exploring attitudes towards renewable energy infrastructure: CSIRO has released the findings of its survey on Australians' attitudes towards renewable energy, based on responses from 6,700 participants nationwide. It found broad support for the renewable energy transition, though opinions varied on the pace and the extent of change, with affordability identified as a primary concern. While acceptance of solar and wind farms was generally high, there were reservations about transmission lines and network infrastructure. Clear communication and community engagement emerged as crucial for fostering acceptance of renewable energy projects. 

WA Government’s Clean Energy Future Fund extends closing date: the deadline for round 3 grant applications of Western Australia’s Clean Energy Future Fund was extended from 10 June 2024 to 24 June 2024. The grants are available for innovative clean energy projects which support the region’s transition to net zero emissions by 2030-31. Grants available as part of round 3 range from $100,000 to $4m.

Towards a circular economy

Cmwth Government announces fees-for-service for the waste export program: beginning on 1 July 2024, the waste export program will initiate cost recovery through the implementation of fees-for-service, excluding the introduction of a cost recovery levy or charges on waste export consignments. Exporters will be required to pay application fees for the assessment of new licences, licence variations, licence renewals, and exemptions, with fees payable upon submission of applications.

Cmwth Government releases Environmentally Sustainable Procurement Policy and Reporting Framework: the Commonwealth Government released the Environmentally Sustainable Procurement Policy and Reporting Framework in Apr-24. The ESP sets a baseline for sustainable procurement and encourages industry innovation by focusing on sustainability principles concerning climate, the environment and circularity. Initially, the policy will apply to construction services where the procurement value exceeds $7.5m. Additional categories such as ICT goods and textiles will form part of the policy from 1 July 2025. 

Australia represented at the fourth Intergovernmental Negotiating Committee on Plastic Pollution (INC-4): the Commonwealth Government participated in the fourth Intergovernmental Negotiating Committee on Plastic Pollution (INC-4) in Canada, continuing negotiations on a global approach to plastic pollution. Australia is advocating for an ambitious treaty addressing the entire plastic life cycle to support a circular economy and tackle climate change, pollution, and biodiversity loss. 

QLD councils work together to develop a regional waste and resource recovery management plan: ten councils in Queensland’s north-west have united to develop a regional waste and resource recovery management plan with funding provided by the QLD Government. The plan aims to enhance waste management services, provide sustainable recycling, and reduce household waste sent to landfill. Key initiatives include mapping and removing abandoned vehicles, introducing FOGO collection services, capping and closing landfills, and promoting regional equipment sharing and resource recovery infrastructure investment . 

ACT and Australian Governments fund new recycling facility: an investment of $26 million from the ACT and Australian Governments will fund the construction of a new recycling facility for Canberra, to replace the existing facility that was subject to a major fire in late 2022. The contract is expected to be awarded in the coming months.

VIC Government announces ~30% increase in the municipal waste levy:the Victorian Government announced its plans to increase the waste levy from $129.27/tonne to $167.90/tonne by 1 July 2025 as part of its state budget. The decision aims to enhance resource recovery and includes proportional increases for rural landfills. Additionally, the budget allocates $44m to combat illegal dumping, $15m to support recycling initiatives, and $7.5m for a waste levy rebate grant program for charitable recycles. 

VIC Government releases technical guide for validation of PFAS soil treatment technologies:the Victorian Government released a technical guide to support the development of and use of innovative PFAS soil treatment technologies, including a framework to assess and validate their feasibility and effectiveness, in Apr-24.  As a non-statutory document, the guide presents the current state of knowledge concerning treatment effectiveness and clarifies EPA’s informational expectations for approval processes. 

VIC Government consults on proposed recycling regulations and service standard: the DEECA is working with councils and Alpine Resorts Victoria (ARV) on Victoria’s new standardised four-stream household waste and recycling system. Under the proposals, households that receive waste and recycling services from local councils and ARV will have access to separate services for:

  • General rubbish

  • Mixed recycling

  • Glass recycling

  • FOGO

Consultation on the regulations, service standard and RIS is now open, closing on 14 August 2024. 

WA Government releases state waste infrastructure plan: DWER have released a new state waste infrastructure plan. The plan is underpinned by individual regional infrastructure plans. With an outlook to 2050, the plans focus on the built waste and recycling infrastructure needed for the state to achieve waste strategy targets in 2030. It includes some of the waste infrastructure characteristics, needs, challenges and opportunities unique to each region, and outlines government waste infrastructure principles.

QLD Government announces Circular Economy Investment Program: the Queensland Government announced the $5m Circular Economy Investment Program, aiming to encourage Queensland’s transition to a system of waste minimisation and avoidance, that also keeps resources in circulation at their highest value for as long as possible. The Program is open to individual businesses, as well as industry clusters/co-op groups, social enterprises, charities, not-for-profits and multisector partnerships. Grants between $250,000 and $750,000 (excl GST) are available for applicants that will introduce new, or transition to, circular economy practices/models and systems. Applications close on 29 July 2024.

NSW EPA releases FOGO mandate consultation: the NSW EPA is seeking feedback on proposals for three new mandates for the collection of source-separated FOGO (Food Organics Garden Organics). The proposed mandates include:

  • Certain businesses, including large supermarkets, institutions and hospitality businesses will be required to have a source-separated food organics collection from 1 July 2025.

  • All NSW households will be required to have a source-separated FOGO collection from 1 July 2030.

  • Large supermarkets will be required to report on surplus food donations to food charities from 1 July 2025

Public consultation is open until 15 July 2024. 


NSW EPA announces Joint Procurement Funded Support: the NSW EPA announced the Joint Procurement Funded Support Program, which enables NSW groups of councils to apply for up to $500,000 of tailored advice and assistance to jointly procure waste management services. Grants will be ongoing until 2027 or until funding is exhausted.  

NSW EPA undertakes waste levy review: the NSW EPA has commenced a review of their waste levy. An issues paper is available on their website and feedback is open until 15 July 2024. The three key issues discussed in the paper include:

  1. Increasing resource recovery rates in NSW

  2. Creating a level playing field for safe and sustainable waste management

  3. Amplifying CE outcomes in NSW

SA Government sets 2024-25 levy rates: the SA Government has set 2024-25 solid waste levy rates at $161/tonne (for metropolitan areas) and $80.50/tonne (for regional areas) in the latest Government Gazette

SA Government announces plan for single use plastics ban: the SA Government has announced incoming changes (effective 1 September 2024) to their single use plastics bans. In addition to already banned items such as single-use plastic straws, new banned items will include plastic carrier bags, single-use plastic beverage containers, plastic confetti and food bag tags.

Projects and transactions

Projects and transactions updates from Q2 2024.

Towards net zero

Beijing Jingneng Energy International (BJEI) acquires Australian retailer Covau for $100m:

Hong kong-headquartered BJEI announced plans to acquire Australian energy retailer, CovaU for $100m in Apr-24. The acquisition forms part of BJEI’S strategy to expand its presence in Australia’s energy market following its recent purchase of five solar projects totaling over 1 GW. The board governing CovaU has unanimously recommended the acquisition after considering a number of valuation scenarios, business risks and the price at which the parent company shares could trade over the medium- to longer-term. 

Copenhagen Infrastructure Partners launches Australian offshore wind platform: Copenhagen Infrastructure Partners (CIP) launched a new platform called Southerly Ten dedicated to developing offshore wind projects in Australia, including the Star of the South and Brataualung projects. Recently awarded feasibility licences for these projects in Victoria’s offshore development zone will enable CIP to develop up to 4.4 GW of power generation capacity. 

Origin Energy acquires 1.5GW wind farm, Yanco Delta: Origin Energy inked a $300m agreement with Virya Energy to acquire the 1.5 GW wind farm and 800 MW battery development project, Yanco Delta in Apr-24. The investment includes an upfront payment of $125m and an additional variable payment up to $175m depending on the project achieving certain development milestones. 

Global energy company RES expands presence in Australia with Windlab acquisition: Global independent renewable energy company RES acquired Windlab’s asset management contract book, including key projects such as the Kennedy Energy Park and Ararat Wind Farm. The acquisition aligns with RES’s vision to expand its service offerings in Australia which now includes wind, solar, and energy storage technologies. 

Aurora Energy Services acquires ARC Wind in Australia: Aurora Energy Services acquired Australia’s ARC Wind, a mechanical and electrical solutions provider to the wind industry,  in May-24. Aurora aims to grow ARC Wind’s revenue to $100m and staff to around 750 within five years by leveraging its wind turbine repair capabilities and lifecycle maintenance services. These services include repowering, gearbox and turbine overhauls, and blade repair to the Australian wind sector. 

Quinbrook announces financial close of 250 MW/500 MWh battery energy storage system: Quinbrook Infrastructure has commenced the first stage of its $325m Supernode project in Queensland, featuring an 800 MW / 2,000 MWh battery energy storage system. The initial 250 MW, two-hour battery, backed by an offtake agreement with Origin Energy, will be delivered by late 2025 and support the grid by storing surplus solar and wind energy. Located at the strategic South Pine substation site, the project aims to enhance grid stability and displace coal-based generation.

50-50 JV between EDP Renewables and ENGIE granted offshore wind feasibility licence:  Ocean Winds, a joint venture between EDP Renewables and ENGIE, has received a feasibility licence from the Australian Government to develop a 1.3 GW offshore wind farm off Gippsland, Victoria, capable of powering 1 million households and reducing CO2 emissions by 5.3 million tons annually. This project supports Victoria's renewable energy goals and EDP's expansion into the Australian market, where they have 1.5 GW of onshore wind and solar projects in development. Ocean Winds aims to achieve 5 to 7 GW of projects in operation or construction by 2025, with an existing capacity of around 18 GW.

Zenith Energy announces COD for the Kathleen Valley Hybrid Power Station:
Zenith Energy achieved COD for the Kathleen Valley Hybrid Power Station, marking its practical completion and the start of operations at Australia's largest islanded hybrid power station. Liontown Resources Limited announced the station's completion with all five GW165/6.0 MW Goldwind turbines running and a 95 MW capacity.

Towards a circular economy

Woodman Point water resource recovery facility undergoes $238m capacity upgrade

Woodman Point WRRF in Western Australia announced it is undergoing a $238m upgrade to increase its sludge treatment capacity to service Perth’s growing population until 2040.  The upgrade, which includes enhancing onsite renewable energy generation, features new pumping systems and advanced treatment processes including Thermal Hydrolysis for improved efficiency.  The project is under construction with completion expected by mid-2024. 

Woodman Point water resource recovery facility (WRRF) undergoes $238m capacity upgrade: Woodman Point WRRF in Western Australia announced it is undergoing a $238m upgrade to increase its sludge treatment capacity to service Perth’s growing population until 2040.  The upgrade, which includes enhancing onsite renewable energy generation, features new pumping systems and advanced treatment processes including Thermal Hydrolysis for improved efficiency.  The project is under construction with completion expected by mid-2024. 

Sircel becomes largest e-waste processor in Australia with acquisition of Scipher Technologies: Sirel acquired e-waste processer Scipher Technology to expand its capacity to divert up to 100% of e-waste from landfill across six sites in Victoria, New South Wales, Sydney and Brisbane. The acquisition positions Sircel to become the largest e-waste processor in Australia, diverting up to 100% of e-waste from landfill with recovered green commodities distributed into the circular economy. 

VIC Government announces $3.5m to establish lithium-ion processing and recycling facility: the Victorian Government announced $3.5m of funding to two projects to enhance lithium-ion battery processing and recycling in the state. Ecobatt received $2.5m to build a plant in Campbellfield whilst Enviropacific Services obtained $1m for a new facility in Stawell. These projects aim to divert valuable resources from landfills, and reduce fire and contamination risks by improving the recycling of batteries found in everyday electronics. 

City of Newcastle investigates development of a Material Recovery Facility (MRF): the City of Newcastle (CN) announced it is exploring the development of a MRF at its Summerhill Waste Management Centre to handle waste from kerbside pickups and construction sites. A development application for the project is currently under review. Additionally, CN issued a request for tenders for long-term recyclables processing contracts as the current agreement with iQ Renew nears expiration. 

QLD Government announces funding for solar panel recycling pilot: The Queensland Government announced $5.5m in funding to advance solar panel recycling, including $2.5m dedicated to repurposing residential solar panels and diverting waste from landfill. The investment aims to benefit regional communities and support the renewable energy sector through initiatives like the solar panel recycling pilot and the Queensland Renewable Energy Industry Association Grants. 

City of Gold Coast announces EOI for the Advanced Resource Recovery Centre (ARRC): the City of Gold Coast announced its plan to partner with a specialised Delivery Partner to manage the design, construction and operation of a residual waste to energy facility at the Advanced Resource Recovery Centre. As outlined in the EOI, the partnership aims to support sustainable resource recovery and advance the city’s circular economy goals.

Cleanaway and Viva Energy undertake pre-feasibility assessment of a circular solution for plastics: Cleanaway and Viva Energy agreed to undertake a pre-feasibility assessment of a circular solution for recycling soft and hard-to-recycle plastics into feedback for food-grade resin. The proposed facility would include a sorting and mechanical pre-treatment plant and an advanced chemical recycling plant to convert waste plastic into plastic pyrolysis oil for co-processing at Viva Energy’s Geelong Refinery. 

WA Government opens advanced tyre recycling plant in East Rockingham: the Federal and Western Australian Governments have unveiled a state-of-the-artyle tyre recycling plant in East Rockingham, with capacity to process 42,000 tonnes of tyres annually. Supported by a $5.2m co-investment from both governments and a contribution of $9.6m from Tyrecycle, the facility will double Western Australia’s production of crumbled rubber for reuse in products including roads and playgrounds. 

Yarra Valley Water announces $48m waste-to-energy facility: Yarra Valley Water, a regional Victorian water corporation, announced the construction of a new food waste-to-energy facility in Lilydale in Apr-24. The $48m project is expected to generate electricity equivalent to powering over 2,200 households daily and divert approximately 55,000 tonnes of food waste from landfill each year. With the new facility, Yarra Valley Water aims to achieve its emissions reduction targets, becoming net-zero and reliant on 100% renewable energy by mid-2025.

Sphere at a glance

Sphere updates from Q2 2024.

Giles Prowse joins Sphere: we are delighted to welcome Giles Prowse as our new Associate Director at Sphere's Brisbane office. Giles has spent more than 14 years working across resource and waste management, environmental assessment and sustainable development. 

Waste2024 Conference: Sphere Co-founder and Partner, Chris Godfrey, presented at the Waste2024 Conference in May 2024. Presentation highlights included: 

  • Shared experiences and learnings from Sphere’s engagement in the Australian infrastructure landscape, including a summary of common issues in procurement,  project risk allocation and commercial considerations.

  • Several insights into the Australian infrastructure landscape, including an outline of several trends in the domestic supply chain as well as water, waste and energy sectors.

  • An overview of infrastructure procurement, exploring commercial aspects in project management from development to delivery. The presentation also introduces considerations concerning the delivery model selection process. 

Enviro2024 Conference: Sphere Associate, Ken Baumli, presented at the Enviro Conference 2024 in June 2024. Presentation highlights included:

  • Organisations must increasingly consider and embrace circular economy models due to the unsustainable demand for resources which presently exceeds availability and biocapacity. 

  • Despite varying policies across Australia, the unified goal is to promote circular economies, divert waste from landfills, and enhance recycling. 

  • Incorporating circularity in business models involves both financial and non-financial implications, such as risk mitigation and new growth opportunities, necessitating early planning and stakeholder engagement. 

Australian Organics Recycling Association (AORA) Conference: Sphere had the pleasure of attending the annual AORA - Australian Organics Recycling Association Limited conference at the Gold Coast. It was a great opportunity to catch up with old colleagues as well as meet new acquaintances in the organics space, whilst learning about fresh and interesting developments in the sector. Sphere was proud to sponsor the Friday afternoon session on ‘Innovation in Action’, featuring presentations from Orez Solutions, Dulverton Waste Management, GOTERRA and SOILCO.