On 10 July 2011, the Australian Government announced the establishment of the $3.2 billion Australian Renewable Energy Agency (ARENA), as a part of its Clean Energy Future package.

ARENA is an independent statutory authority established under the Commonwealth Authorities and Companies Act 1997, tasked with the objectives of improving the competitiveness of renewable energy technologies and increasing the supply of renewable energy in Australia.

From its commencement on 1 July 2012, ARENA has become responsible for the administration of committed projects and measures from initiatives formerly administered by the Australian Centre for Renewable Energy and the Department of Resources, Energy and Tourism (RET). ARENA will further incorporate and become responsible for the activities of the Australian Solar Institute (ASI) by 31 December 2012.