A new report by the Regional Australia Institute (RAI), titled Towards Net Zero: Building a Legacy, calls for a national framework to ensure regional communities benefit from Australia’s renewable energy transition. The RAI is proposing a Regional Energy and Legacy Deal (REAL Deal) to coordinate investment in regions hosting multiple renewable energy projects, just like here in the Hunter.
The REAL Deal would see pooled funds from the renewable energy industry combined with aligned state and federal government funding to provide lasting benefits for host communities. The report highlights that while two-in-three regional Australians support the energy transition, there is some opposition in host communities due to a lack of tangible local benefits.
Australia’s renewable transition is accelerating, with a record 43% of the nation’s electricity generated from renewable sources in the first quarter of 2025. This growth is expected to continue, with 54 significant projects committed or under construction and another 161 under consideration.
According to RAI CEO Liz Ritchie, the economic benefits are substantial, with a projected $25 billion injected into regional Australia and the creation of over 19,000 jobs over the next five years. However, she argues that more needs to be done to ensure this investment leads to meaningful change.
The report’s key recommendations include:
- Implementing the REAL Deal: A national framework for industry and government to co-fund community projects.
- National Requirements: Mandating national standards for community engagement and benefit sharing.
- Strengthening the Narrative: Better communication of the benefits of the energy transition for regional development.
- Community Planning: Funding for host communities to develop their own regional plans and have a say in how funds are spent.
The report cites examples of proactive regional communities like Hay in NSW and the Western Downs in Queensland, which have already developed their own principles for engaging with government and industry.
The RAI emphasises that every community is different and that the REAL Deal is designed to empower them by placing them “at the center of decision making.” The report concludes that a collaborative approach between government, industry, and communities is essential to build a lasting legacy of jobs, infrastructure, and opportunities in regional Australia.
