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Cost2026-09-17· Utility Magazine

Industry index identifies clean energy project risks 

Image: utilitymagazine.com.au

The renewable energy industry has published a risk index identifying growing project delivery hazards as Australian clean energy schemes scale up and grow more technically demanding. The index flags challenges in construction, procurement, and execution as projects become larger and more complex.

Where this fits

This is a cost story. The renewable transition has already underestimated the whole-system bill: grid-scale battery storage, transmission overbuild to handle weather volatility, and the raw materials to make it all work have each cost more than early projections allowed. Project delivery risk is another layer. When large infrastructure projects face delays, cost blowouts, or supply-chain friction, the bill rises. Australia is financing this transition through higher power prices and public capital; any slippage in project delivery extends the timeline and compounds the cost.

What it means

Delivery risk in a renewables-only grid matters because the grid has no margin for delay. Each year of underperformance on capacity targets means more reliance on gas firming, and more exposure to fuel-price shocks. It also means Australia is choosing to absorb these risks, delivery delays, materials dependence on China, transmission congestion, rather than pursue firm, energy-dense alternatives that carry different, often smaller, whole-system risks. A nuclear plant takes years to build. So does a fleet of renewable farms and the grid to integrate them. The difference is that once built, nuclear runs at full output regardless of weather, and needs no backup gas plant. The renewable path has mapped higher delivery complexity onto a system that cannot afford to miss timelines.

Go deeper on the numbers

The bigger picture

Energy security is national security. This connects to the wider case at Unprepared: Australia's dependence on a strategic rival, and how ready it is for the world that is coming.

Reported by Utility Magazine. Read the original report ↗

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