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Powering innovation down under: Building Australia's Living Lab capability

Project complete

The Commonwealth Scientific and Research Office (CSIRO), Australia’s national science agency, approached Energy Systems Catapult to support the development of their own Living Lab capability. The Living Lab is a community of thousands of households spread across England, Scotland, Wales, and Northern Ireland, representing a wide variety of tenures, property types, and demographics, including vulnerable and fuel poor households.

This initiative forms part of CSIRO’s broader programme to establish a National Energy Analysis Centre (NEAC) and develop whole systems level analysis of Australia’s energy ecosystem. NEAC was officially launched in July 2025 to support Australia’s journey to Net Zero.

The project drew funding from the UK Department for Science, Innovation and Technology and CSIRO.

The challenge

Building a Living Lab from scratch presents significant challenges, particularly across Australia’s vast geography, encompassing diverse – and often remote – communities. The Australian energy market presents an interesting paradox – physically connected through shared infrastructure yet clearly divided by the different needs and behaviours of energy consumers across regions.

Unlike previous Australian energy trials that ended with published reports but limited ongoing engagement, this solution needed to consolidate trial learnings in central databases and provide evidence to both Federal and State governments for system-level changes. It had to account for significant state variations, from Queensland’s tropical climate to Victoria’s more temperate conditions, and differing technology adoption rates, exemplified by South Australia’s solar generation occasionally exceeding demand. Additionally, the solution needed to support engagement with diverse consumer groups, including Indigenous communities, while advancing Australia’s broader energy transition goals.

The solution

While we don’t yet have boots on the ground in Australia, the Catapult’s experience of establishing and developing a Living Lab in the UK and the accompanying playbook – proven strategies for recruiting, engaging and retaining hard‑to‑reach and vulnerable cohorts (fuel‑poor, disabled, low‑income and other at‑risk households) – can be used to support CSIRO with a tailored participant engagement approach.

Energy Systems Catapult delivered a comprehensive knowledge-sharing programme comprising online workshops that shared insights on Living Lab management, guidance on participant engagement strategies, frameworks for company trial management, and technical operations support for data collection and management.

The programme culminated in a series of in-person co-creation workshops in Australia that helped CSIRO develop their Living Lab proposal. The Catapult’s experience operating a continuous data access service with real-life energy consumers provided valuable insights that CSIRO could adapt to Australian conditions.

Impact

The project has generated significant momentum for CSIRO. They have continued developing their Living Lab and NEAC propositions, gaining increased support from State Governments and at Federal level from the Department of Climate Change, Energy, the Environment and Water. CSIRO has secured funding from New South Wales government for NEAC development and established the Smart Energy Initiative (renamed from Smart Energy Mission) as a core component of their activities.

Key learnings

The project highlighted several important considerations for international knowledge transfer. While Living Lab principles are transferable globally, successful implementation depends on understanding local market nuances. State differences and varied consumer demands in Australia require adaptations to Living Lab design.

Remote collaboration across time zones proved possible but presented challenges for delivery teams. The project demonstrated that in-person co-creation workshops delivered exceptional value, justifying international travel for key sessions.

Future directions

Following the successful initial engagement, both organisations are exploring deeper collaboration. They will be investigating how the UK’s Living Lab infrastructure can support Australian services and leveraging collaborative statements made by both Prime Ministers at the Commonwealth Heads of Government Meeting and COP-29.

Dr Stephen Craig, CSIRO’s Smart Energy Mission Lead, emphasises the importance of this work: “Energy living labs provide a platform for testing new ideas in a controlled setting, gathering feedback from users, and refining solutions based on real-world experiences. They will play a crucial role in driving the energy transition towards a more sustainable and efficient energy system. We are excited about collaborating with the Catapult on the creation of a living lab concept.”

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