Powering Up: Australia’s Plan to Develop a Domestic Silicon and Solar Cell Industry

Australia's future as a clean energy superpower is at risk due to its complete reliance on overseas supply chains for solar cells. This isn't just about energy independence; it's a major economic and social opportunity. The Australian Silicon Action Plan (ASAP) outlines a strategic, three-horizon approach for Australia to build a local, low-carbon, and circular solar cell supply chain, from quartz to finished solar panels.

The Australian Silicon Action Plan (ASAP) is a comprehensive strategy to address the risks associated with Australia's reliance on highly concentrated, geographically diverse solar cell supply chains. Australia has world-leading solar resources and has already committed to ambitious targets of cutting emissions by at least 43% by 2030 and achieving net zero by 2050. However, this rapid uptake of solar technology is threatened by supply chain vulnerabilities, including geopolitical tensions, technical disasters, and ESG (Environmental, Social and Governance) concerns related to carbon footprint and labour practices.

The ASAP proposes a staged, three-horizon approach to develop an integrated domestic supply chain. Horizon 1: Silicon production focuses on immediate, achievable actions to expand Australia's capacity for quartz extraction and silicon smelting. It identifies the need to establish a clear industry standard for quartz quality and to integrate renewable energy into the energy-intensive smelting process. This phase also includes providing targeted funding and establishing test facilities to catalyse initial growth.

Horizon 2: Solar cell manufacturing builds on these foundations by developing ingot, wafer, and cell manufacturing capabilities, which are currently the most geographically concentrated parts of the supply chain. This stage also prioritises investment in module manufacturing and recycling initiatives to create a circular economy for solar panels, given that over 100,000 tonnes are expected to enter the waste stream by 2035.

Finally, Horizon 3: Integrated supply chain represents the longer-term ambition of establishing polysilicon manufacturing in Australia. This is a technically complex, capital-intensive, and energy-demanding process, making it the final step in the plan. The entire vision is for a low-carbon supply chain, powered by renewable energy and supported by domestic R&D, to ensure Australia’s energy independence and unlock significant economic and social benefits.

For more details, click on the button below.