The Australian Renewable Energy Agency (ARENA) has today announced up to $151 million in conditional funding under the Australian Government's $1 billion Solar Sunshot Program (Solar Sunshot) for the establishment of a 500 MW per annum solar module manufacturing facility in the Hunter Valley, NSW.
The funding will support the development of the Hunter Valley Solar Foundry project, an initiative of the Sunman Group (Sunman) founded by solar pioneer and UNSW alumnus Dr Zhengrong Shi. The project will develop a new, advanced manufacturing facility while drawing on Sunman's pioneering technology and track-record as a lightweight solar innovator.
ARENA CEO Darren Miller said the project is a clear demonstration of Solar Sunshot's mission to advance solar manufacturing in Australia, reduce reliance on imports and expand Australia's role in global clean energy supply chains.
"Deployment of solar photovoltaics at scale is central to meeting our long-term emissions goals. Building our manufacturing capabilities will help ensure that our supply chains are resilient and Australian innovations are supported as we accelerate the rollout of solar PV," Mr Miller said.
"Solar Sunshot is about building on Australia's world-leading solar research to expand manufacturing capacity, strengthen supply-chain resilience and grow local jobs and skills. The Hunter Valley Solar Foundry project reflects these goals, bringing together advanced technology, local workforce development and long-term economic benefits for regional communities."
The proposed facility aims to produce a range of solar PV modules for use in domestic and international markets, including Sunman's proprietary enhanced Architecture Ready Composite (eArc) modules, which replace traditional glass with durable polymers, making them up to 70% lighter, easier to transport and faster to install. Beyond manufacturing eArc modules, the facility aims to produce glass modules, develop a solar innovation hub to support the commercialisation of new solar technologies and operate as a solar manufacturing foundry with the ability to provide production capacity to original equipment manufacturers, further strengthening Australia's domestic solar supply chain.
This project also marks a homecoming for Dr Shi who began his pioneering solar research in Australia before global ambitions took him abroad to scale-up solar manufacturing. With Solar Sunshot backing, this new facility will bring world-leading solar expertise back to Australian shores, reaffirming Australia's strength in solar innovation and positioning Australian-made technology to contribute to the global energy transition.
Construction of the facility is expected to create up to 200 jobs, with another 100 ongoing roles once operational. To support long-term workforce development, the project will also partner with an accredited training partner to deliver an advanced manufacturing training program, ensuring local workers can build capability in next-generation solar production.
The project further incorporates a First Nations recruitment strategy and a scholarship program to support students pursuing studies in renewable-energy fields, ensuring the benefits of Solar Sunshot extend across the community.
Dr Shi, Founder of the Hunter Valley Solar Foundry, says: "I am proud to establish the Hunter Valley Solar Foundry and bring commercial-scale renewable manufacturing to Australia. Once established, the Hunter Valley Solar Foundry will be the largest manufacturer of solar photovoltaic modules in Australia, and the only one in NSW, delivering world-leading products to residential, commercial and utility customers around the country.
"As a proud Australian and a solar expert trained at the University of NSW, it has been my long-held ambition to establish solar module manufacturing in Australia, and it is my hope that over time the Foundry supports the foundation of a vertically-integrated solar supply chain in Australia. This is an important milestone in Australia's energy transition."
About Solar Sunshot
The Australian Renewable Energy Agency (ARENA) is delivering the $1 billion Solar Sunshot Program to support innovation in Australia's solar PV manufacturing industry. Solar Sunshot was announced by the Australian Government in March 2024 and aims to uncover and support innovation to drive scale and diversity in a critical industry.
Australia benefits from strong renewable energy potential, high-quality, abundant raw materials and a long track record of excellence in research and development. Solar Sunshot aims to harness these advantages so that Australia can strengthen and diversify its supply chains and create economic opportunities.
Round 1A offers $500 million of capital and production-linked funding for solar PV manufacturing innovation, with a focus on modules, inputs to modules and deployment systems (closed).
Round 1B offers $50 million of funding to support solar PV manufacturing studies, including feasibility and engineering studies (remains open).
Round 2 offers $150 million of funding to support manufacturing of inputs to solar PV modules and deployment innovation (now open).
Learn more at https://arena.gov.au/funding/solar-sunshot/
Note: The provision of funding is subject to conditions including the execution of an ARENA funding agreement.
