Queensland's renewable energy sector has experienced a dramatic slowdown, with investment plummeting after a record-breaking 2024. The state, Australia's largest greenhouse gas emitter, saw seven solar and wind farms and seven storage projects totaling 3,202 megawatts reach financial commitment last year under the former Labor government. However, the election of the Liberal National Party (LNP) led by David Crisafulli in October 2024 brought sharp policy reversals, causing investment to crash to just 510 megawatts across two projects in 2025.
Policy Shifts Create Uncertainty
The LNP government repealed legislated renewable energy targets, extended the life of state-owned coal plants until at least 2046, and delayed decarbonisation plans. Planning Minister Jarrod Bleijie began calling in renewable projects to assess local backing, halting progress mid-stream. These changes have created what Clean Energy Council CEO Jackie Trad describes as "a sense of chaos and havoc." She notes that capital has fled to states with more stable policies, such as South Australia, where investment surged from 210 MW in 2024 to 2,118 MW in 2025.
Industry Concerns
Katie-Anne Mulder, CEO of the Queensland Renewable Energy Council, says the state faces a backlog of over 100 projects awaiting federal environmental assessment, with 75% of projects submitted since 2021 still under review. Tristan Edis from Green Energy Markets warns that planning approval has become "a lottery" and that continued coal plant operation forces renewables into a "kamikaze battle" with the government.
Economic and Environmental Risks
Queensland accounts for nearly a third of Australia's carbon emissions. While the Crisafulli government maintains a net-zero by 2050 target, analysis suggests emissions cuts by 2035 could be as low as 50%, far short of the previous 75% goal. WWF-Australia's Ariane Wilkinson warns that stepping away from climate targets could jeopardise the Great Barrier Reef's World Heritage status, a critical tourism asset. Investor Group on Climate Change's Francesca Muskovic highlights that global capital may leave Australia entirely, as Queensland's instability is raised in investor meetings.
The state's Treasurer and Energy Minister David Janetzki did not respond to requests for comment. The federal government notes that 43 of 138 approved renewables projects are in Queensland and that recent environmental law reforms should streamline approvals.
