Australia Wind Energy Market Size, Share and Forecast Trends - Growth Analysis and Outlook Report (2026-2035)

Market Overview

The Australia wind energy market is emerging from a stalled period. Turbine orders ran dry through most of 2025, then a cluster of financial closes and government contracts restored momentum, while offshore wind moved from licensing towards environmental assessment.

Three forces shape the market: Commonwealth and state revenue support that gives developers bankable contracts; grid access and approval timelines that decide which projects proceed; and a shift to larger turbines that lowers the number of machines each site needs.

In December 2025 AEMO released its draft 2026 Integrated System Plan, in February 2026 the Clean Energy Council reported record commissioning in the final quarter of 2025, and in May 2026 the Capacity Investment Scheme awarded contracts to ten wind projects.

Key Market Trends and Insights

• Record contract round: The Capacity Investment Scheme's seventh tender, announced in May 2026, awarded 7.8 GW across 19 projects, including 4.8 GW of wind.
• System plan ambition: AEMO's draft 2026 Integrated System Plan sees wind reaching 40 GW by 2035, up from 26 GW needed by 2030, and 57 GW by 2050.
• Western Australia surge: Six Western Australian wind farms totalling 1.5 GW won Commonwealth contracts in May 2026, and Vestas booked 614 MW there in October 2026.
• Offshore reset: Three Bunbury feasibility licences covering up to about 4 GW were awarded in January 2026, while no licences were offered for the Illawarra zone.

Australia Wind Energy Market Size and Forecast

The market is moving from a thin pipeline of ageing approvals towards contracted, larger-turbine projects backed by Commonwealth and state revenue support. Onshore standalone wind still leads because most funded and operating capacity is on land, while offshore fixed-bottom wind and the highest-rated turbines advance fastest as Gippsland and Bunbury projects move through assessment. Victoria holds the largest base, and New South Wales grows quickest as South West Renewable Energy Zone projects secure grid access and contracts. Grid connection works and long-term maintenance contracts add a recurring layer that cushions the build cycle. Approvals, community acceptance and transmission delivery will set the pace, but the national plan makes this a durable multi-year build-out rather than a short-lived upswing.

Key Takeaways: Australia Wind Energy Market

Contracts and Plans Rebuild Momentum

Revenue is set to rise from AUD 5.10 billion in 2025 to AUD 11.43 billion in 2035 at an 8.4% CAGR, as contract awards and the national system plan convert into construction.

Offshore Wind and Maintenance Lead Growth

Onshore standalone wind remains the largest segment, but offshore fixed-bottom wind grows at an estimated 21.8% CAGR and operations and maintenance at 10.8% through 2035, as the operating fleet expands.

New South Wales and Western Australia Gain Share

New South Wales leads regional growth at an estimated 10.8% CAGR, while Western Australia combines Commonwealth contracts with the first Bunbury offshore licences.

• Capacity Investment Scheme tender 7 awarded 4.8 GW of wind in May 2026
• Six Western Australian wind farms won 1.5 GW of contracts in May 2026
• Yanco Delta secured full grid access in April 2025

Australia Wind Energy Market Report Summary

Key Insight

Revenue support, a national plan needing far more wind and restarted financial closes drive demand. Offshore wind and the largest turbines grow fastest while onshore standalone projects stay dominant.

Key Trends in the Australia Wind Energy Market

The Australia wind energy market is being reshaped by large turbine orders in the west, federal approvals for gigawatt-scale projects, record contract awards and a higher wind path in the national plan.

October 2026 - Vestas Books 614 MW of Western Australian Orders

• Vestas announced orders on 14 October 2026 for the Parron Maam Marang and Kondinin wind farms, totalling 99 turbines and 614 MW.
• Both projects use V162-6.2 MW turbines with 30-year service agreements, deliveries from 2027 and commissioning planned for 2028.
• The orders follow the May 2026 Capacity Investment Scheme round that supported six Western Australian wind farms.

July 2026 - Theodore Wind Farm Wins Federal Environmental Approval

• RWE secured federal approval in July 2026 for the 1.1 GW Theodore wind farm in central Queensland, with up to 170 turbines and a battery.
• The project is valued at AUD 3 billion, holds a Capacity Investment Scheme contract from May 2026 and targets a final investment decision in 2027.
• Construction is expected to start in 2027, supporting about AUD 500 million of economic benefits during the build.

May 2026 - Capacity Investment Scheme Tender 7 Awards 4.8 GW of Wind

• The Commonwealth announced tender 7 results on 23 May 2026, awarding 7.8 GW across 19 projects, of which ten were wind.
• Winners included Origin's Yanco Delta, Windlab's Bungaban, RWE's Theodore, Goldwind's Baldon, Engie's Willatook and EDF's Whyte Yarcowie.
• The round targeted about 5 GW, so the awarded volume exceeded the target by roughly half.

December 2025 - AEMO Raises Wind Ambition in Draft 2026 System Plan

• AEMO's draft 2026 Integrated System Plan, released in December 2025, lifts wind to 40 GW by 2035 and 57 GW by 2050.
• It cut the 2030 wind figure from 42.6 GW to 26 GW, reflecting realistic build rates and higher costs.
• AEMO said offshore wind is about 40% dearer to build and connect than onshore, and trimmed new transmission needs to about 6,000 km.

Key Insight

Large turbine orders, federal approvals and contract rounds are converging, giving developers firmer revenue visibility and pushing projects from consenting towards construction, especially in the west and in Queensland.

Recent Market Developments in the Australia Wind Energy Market

Recent developments, presented from the most recent, show the Australia wind energy market moving from financial closes and licensing decisions into construction starts in the west.

July 2026 - Neoen Starts Construction of Narrogin Wind Farm

• Neoen launched construction of the 179 MW Narrogin wind farm in Western Australia on 22 July 2026 after signing an offtake with Synergy.
• Envision Energy will supply 23 EN182-7.8 MW turbines, described as the largest wind turbines to be installed in Australia.
• Neoen's Western Australian portfolio now totals 903 MW in operation or under construction, representing over AUD 2 billion invested.

May 2026 - Six Western Australian Wind Farms Win Contracts

• Capacity Investment Scheme contracts announced in early May 2026 cover six wind farms totalling 1.5 GW: Waddi, Yathro, Narrogin, Tathra, Parron Maam Marang and Kondinin.
• The wider tender delivers 1.9 GW of new wind and solar and 2.1 GWh of storage.
• Waddi had already reached financial close, with an offtake agreement with AGL.

January 2026 - Bunbury Offshore Wind Zone Licences Announced

• On 23 January 2026 the federal government offered feasibility licences for three Bunbury projects, up to about 4 GW combined.
• EDF Power Solutions Australia received two licences, and Ocean Winds received one for its Westward Wind project.
• No licences were offered in Illawarra or Bass Strait, after BlueFloat withdrew its Illawarra application.

December 2025 - Four Wind Farms Reach Financial Close

• Waddi, Carmody Hill, Delburn and Palmer reached financial close in late December 2025, adding roughly 850 MW of new wind capacity.
• Palmer's financing closed on 31 December 2025, with 40 Vestas V172-7.2 MW turbines replacing an earlier design of 103 turbines.
• The Clean Energy Council reported in February 2026 that five generation projects worth AUD 3.5 billion closed in the final quarter of 2025.

Key Insight

Construction starts and licence decisions show projects passing consenting gates, although the licensing outcomes also reveal that offshore competition is narrowing and that some zones attract little developer interest.

Australia Wind Energy Industry Segmentation

The Expert Market Research’s report on the Australia Wind Energy Market offers a detailed analysis of the market based on the following segments.

Market Breakup by Installation Type

• Onshore Standalone Wind
• Onshore Wind-Storage Hybrids
• Offshore Fixed-Bottom Wind
• Offshore Floating Wind
• Others

Onshore Standalone Wind leads because most financed and operating capacity sits on land, with Palmer in South Australia closing finance on 31 December 2025. Onshore Wind-Storage Hybrids grow at an estimated 10.2% CAGR, helped by Bungaban's 1,150 MW wind and battery award in May 2026. Offshore Fixed-Bottom Wind grows fastest at an estimated 21.8%, as Star of the South lodged its environmental impact statement in December 2025 for a 2.2 GW Gippsland project. Offshore Floating Wind grows at 17.5%, supported by the Hunter and Southern Ocean licences awarded in February 2025 to Equinor, Oceanex, Alinta and JERA Nex.

Market Breakup by Component

• Wind Turbines and Towers
• Balance of Plant and Installation
• Grid Connection and Transmission Works
• Operations and Maintenance Services
• Others

Wind Turbines and Towers lead, with Vestas booking 614 MW of Western Australian orders in October 2026 and Envision supplying Neoen's Narrogin machines in July 2026. Balance of Plant and Installation grows at an estimated 7.9%, as Tilt Renewables appointed BMD as principal contractor for Palmer. Grid Connection and Transmission Works grows at 9.9%, after Origin won full grid access for Yanco Delta in April 2025. Operations and Maintenance Services grow fastest at an estimated 10.8% CAGR, because new wind farms are signing 30-year service agreements such as those attached to the October 2026 Vestas orders.

Market Breakup by Turbine Rating

• Up to 6 MW
• 6 to 8 MW
• 8 to 15 MW
• Above 15 MW
• Others

6 to 8 MW leads, covering the V162-6.2 MW machines ordered for Western Australia in October 2026, the V172-7.2 MW units at Palmer and the EN182-7.8 MW turbines at Narrogin. Up to 6 MW declines in share as developers move to larger machines, with GE Vernova's 6.2 MW units chosen for Carmody's Hill in December 2025. 8 to 15 MW grows at an estimated 13.5%, as offshore demonstration and licence holders select larger models. Above 15 MW grows fastest at an estimated 23.0% CAGR, because Star of the South's December 2025 filing specifies machines of at least 15 MW.

Market Breakup by Region

• Victoria
• New South Wales
• Queensland
• Western Australia
• South Australia
• Others

Victoria is estimated to dominate 2025 spending through its operating fleet, Delburn's financial close in December 2025 and Gippsland offshore development, and grows at 7.1% CAGR. New South Wales is fastest at an estimated 10.8%, helped by Yanco Delta, Baldon and Bullawah awards. Queensland grows at 9.2%, with Clarke Creek stage two financed in December 2025, even though the state government cancelled the 1,200 MW Forest Wind project in September 2025. Western Australia grows at 9.5% and South Australia at 7.6%. Others, grouping Tasmania, the ACT and the Northern Territory, grows at 8.0%, led by Tasmania's Cellars Hill award.

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Competitive Landscape in the Australia Wind Energy Market

Competition combines global turbine makers, Australian developer-owners and international utilities. Barriers include grid access, approval timelines, local acceptance, supply contracts for large turbines and the balance sheet needed to reach financial close.

Vestas

Vestas is a wind turbine manufacturer headquartered in Aarhus, Denmark, supplying onshore turbines and long-term service across Australia. In October 2026 it announced 614 MW of Western Australian orders, comprising 99 V162-6.2 MW turbines for the Parron Maam Marang and Kondinin projects, each with a 30-year service agreement. In December 2025 it also won orders for Tilt Renewables' Waddi project and the Delburn wind farm.

Goldwind

Goldwind is a Chinese turbine manufacturer and developer operating in Australia through Goldwind Australia, based in Melbourne. It supplies the turbines at Squadron Energy's Clarke Creek wind farm in Queensland, where stage one was powered up by December 2025. In May 2026 its 346 MW Baldon wind farm in New South Wales won a Capacity Investment Scheme contract in tender 7.

Squadron Energy

Squadron Energy is an Australian renewable and gas developer backed by Andrew Forrest and based in Sydney. In December 2025 it closed AUD 1 billion of financing for stage two of the Clarke Creek wind farm, adding 88 turbines and 704 MW to the 450 MW first stage. The precinct, roughly halfway between Rockhampton and Mackay, is expected to exceed 1 GW overall.

Tilt Renewables

Tilt Renewables is an Australian-owned wind and solar developer headquartered in Melbourne. In December 2025 it approved the 108 MW Waddi wind farm in Western Australia and sealed financing on 31 December 2025 for the 288 MW Palmer wind farm, about 70 km east of Adelaide. Palmer uses 40 Vestas turbines, holds a Capacity Investment Scheme agreement and an AGL offtake, and was scheduled for construction from mid-2026.

Other players operating in the Australia wind energy market include Neoen, Origin Energy, RWE, GE Vernova, and EDF Power Solutions Australia, alongside turbine suppliers, transmission operators, construction contractors and maintenance providers supporting wind projects across Australia.

Key Insight

Competition turns on contract wins, turbine supply security and grid access rather than price alone, favouring developers with strong balance sheets and manufacturers pairing large machines with long service agreements.