What is renewable energy? A guide to sustainable power solutions
Renewable energy has rapidly become one of the most transformative forces reshaping industry, commerce, and society. As organisations face mounting pressure to reduce emissions, cut operational costs, and strengthen their environmental, social, and governance (ESG) performance, understanding renewable energy is no longer optional - it is a strategic necessity.
Businesses now need to adjust how they look at renewable energy, from a short-term compliance issue into a long-term opportunity, recognising renewable energy integration as a driver of efficiency, resilience, and competitive advantage. It may feel daunting at first, but once you can see the advantages, we think you’ll find the impact and opportunities of renewable energy on your business incredibly exciting.
Defining renewable energy: the foundation of sustainable business
Renewable energy refers to natural energy sources that replenish themselves over human timescales, making them effectively inexhaustible. Unlike fossil fuels, which take millions of years to form and release harmful greenhouse gases when burned, renewable sources offer clean, sustainable alternatives capable of powering a modern economy while reducing environmental harm.
The main types of renewable energy include:
Solar power: harnessing sunlight through photovoltaic panels or solar thermal systems.
Wind energy: generating electricity from turbines powered by air movement.
Hydropower: producing electricity from the flow of water in rivers or dams.
Geothermal energy: using heat from beneath the Earth’s crust.
Biomass energy: converting organic materials into fuel or power.
Tidal and wave energy: capturing the natural movement of oceans.
Together, these solutions form the foundation of sustainable business energy strategies.
1. Cost reduction and financial performance
One of the most immediate benefits of renewable energy integration is cost savings. Over the past decade, the cost of solar and wind power has fallen by more than 70%, making them the cheapest electricity sources in many regions. Businesses adopting structured energy management strategies often reduce operational costs by 15–30% within the first year.
DETA’s team of energy consultants in Aotearoa New Zealand and Australia are specialists in energy audit and management, delivering detailed assessments to uncover inefficiencies and opportunities for renewable integration. With the support of professional energy efficiency consultants, businesses can achieve significant savings while maintaining smooth day-to-day operations.
2. Emissions reduction and carbon management
Switching to renewable energy forms the backbone of an effective carbon management strategy. By transitioning away from fossil fuels, businesses have the capacity to reduce their carbon footprint often by up to 80%, strengthening ESG performance and meeting increasingly robust regulatory requirements.
DETA’s sustainability consultants in NZ and Australia provide comprehensive carbon management services, including carbon footprint management, decarbonisation services, and carbon reduction management programmes. Our services help organisations design actionable roadmaps that align decarbonisation with their unique wider business objectives.
3. Enhanced operational resilience
Renewable energy systems can also provide greater resilience and energy security than traditional centralised grids. On-site renewable installations protect businesses from volatile energy prices and grid instability, giving the unfettered advantage of being able to maintain operations even during outages.
Through advanced process engineering services, DETA’s process engineering consultants evaluate energy systems, conduct energy mass balances, and recommend equipment optimisation strategies. The most efficient renewable integration requires careful planning. With the support of sustainability consulting services and expert industrial project management, businesses follow implementation roadmaps that balance technical feasibility with financial considerations and regulatory compliance. This ensures businesses integrate renewable solutions without compromising performance.
Maximising the value of renewable energy
Every successful renewable energy transition begins with a detailed audit. Professional energy audit services carried out by DETA’s qualified energy efficiency consultants assess consumption patterns, evaluate peak demand, and identify renewable opportunities suited to each site.
A typical auditing processes includes:
- Comprehensive consumption analysis across all operations.
- Equipment performance reviews and process optimisation strategies.
- Load profiling and demand management analysis.
- Renewable resource potential assessments
- Economic modelling and payback period projections.
DETA’s tailored optimisation approach designs renewable solutions around each organisation’s operational requirements, whether building new facilities or upgrading existing infrastructure.
Long-term success depends on ongoing monitoring and optimisation. ESG[MD1] [JF2] [JF3] consultants provide continuous performance tracking and capacity improvement studies, so systems remain efficient throughout their lifecycle.
DETA’s energy efficiency services and process engineering services in Australia and New Zealand provide businesses with regular performance assessments, maintenance planning, and upgrade recommendations, guaranteeing that renewable systems adapt as technologies advance and requirements evolve.
How New Zealand and Australia stack up globally
Both New Zealand and Australia have become influential players in the global renewable transition, but they have taken very different paths.
New Zealand already operates one of the cleanest electricity systems in the world. In 2022, around 87% of its electricity came from renewables, primarily from hydro and geothermal sources. Geothermal energy contributes nearly 19% of electricity and 25% of total [MD4] energy supply, the highest share among International Energy Agency (IEA) countries. Renewables now represent more than 45% of New Zealand’s total primary energy supply, far above international averages.
Australia, on the other hand, has historically relied on coal but is now experiencing one of the fastest energy transitions globally. In 2024, renewables generated 36–40% of national electricity, with solar alone contributing nearly 20%—the highest per-capita solar PV capacity worldwide. Wind makes up another 12–20%, while hydro provides 5–10%. South Australia already produces 75% of its power from renewables, with a target of 100% by 2027. Nationally, Australia is forecast to reach 82–83% renewable electricity by 2030, aligning with its 2050 net-zero goal.
On a global level, both nations are ahead of the curve. The world average for clean electricity (including nuclear) sits at around 41%. Australia’s combined solar and wind share of 29% is almost double the global average of 15%, while New Zealand’s 87% renewable electricity ranks it among the very top countries worldwide, well ahead of the United States (20%) and the United Kingdom (36%).
For businesses, this regional leadership presents a clear competitive advantage. Companies in New Zealand and Australia adopting renewable solutions early, benefit not only from government support but also from positioning themselves in one of the fastest-evolving energy markets in the world. As shown by the leadership of Aotearoa New Zealand and Australia on the global stage, the shift to renewable power is accelerating rapidly, creating opportunities for businesses that act now.
Your renewable energy journey starts here
DETA’s experienced energy consultants in NZ and Australia provide the specialist expertise needed to guide organisations through every stage of the transition—from energy audit services and carbon management strategies to sustainability consulting services, process engineering services, and industrial project management. To future-proof your organisation and unlock the full benefits of renewable energy integration, speak to your local DETA team of experts today.
