A new report from UNSW Sydney and the University of Technology Sydney reveals that First Nations land in New South Wales holds significant, largely untapped potential for renewable energy development, offering a crucial pathway to accelerate the state's energy transition targets. The "Local Aboriginal Land Council Powershift" report, supported by an Australian Public Policy Institute Policy Challenge Grant, highlights how strategic engagement with Aboriginal Land Councils (ALCs) could unlock multi-gigawatt capacity for solar and wind projects, while delivering substantial economic and social benefits to Indigenous communities.

Currently, the 121 Aboriginal Land Councils across NSW collectively manage approximately 447 square kilometers of land. Despite this extensive estate, First Nations involvement in the state's burgeoning renewable energy sector has been minimal. The report's spatial analysis indicates that existing ALC landholdings could host up to 11 gigawatts (GW) of solar or 1.6 GW of onshore wind energy projects. Furthermore, resolving the outstanding 7,438 square kilometers of land claims could increase this potential nearly twentyfold, presenting an opportunity larger than some of the state's designated Renewable Energy Zones (REZs).

Professor Heidi Norman, Director of the Indigenous Land and Justice Research Group at UNSW Sydney and lead researcher, emphasized the transformative role ALCs can play. "Aboriginal Land Councils manage extensive land holdings, many of which are ideally suited for renewable energy developments such as solar and wind," Norman stated. "With the right policy frameworks and support, Aboriginal communities – organising through their land councils – can play a transformative role in Australia’s energy transition."

The research, which included workshops with the Tibooburra, Hay, and Brewarrina ALCs, identified key priorities for First Nations communities, including reliable energy supply, energy security against extreme weather, lower energy bills, and a desire for ownership and equity share in projects. For instance, the Hay Local Aboriginal Land Council, situated within the South-West REZ, seeks to integrate renewable energy into its broader land management strategy with a focus on equity and global Indigenous partnerships.

However, significant barriers impede this potential. These include protracted delays in processing Aboriginal land claims, limited resources and expertise within ALCs to navigate complex energy projects, and a lack of incentives for energy developers to actively partner with Indigenous landholders. Dr. Saori Miyake from UTS's Institute for Sustainable Futures noted, "Aboriginal Land Councils have the land, the interest, and the vision. What they lack are the resources, partnerships, and policy support to turn that vision into reality."

To address these challenges, the report proposes a four-pronged policy agenda for the NSW Government: building ALC capacity through dedicated government teams and funding; enabling collaboration with electricity network distributors for microgrid development in remote areas; piloting mid- and large-scale renewable energy projects on ALC land, potentially leveraging existing Clean Energy Finance Corporation (CEFC) and Australian Renewable Energy Agency (ARENA) programs; and strengthening recognition of Aboriginal rights to expedite land claims and incentivize cooperation between ALCs and Traditional Owners. These reforms are crucial to ensuring First Nations communities are not merely impacted by, but actively benefit from and lead, the clean energy transition.