Win for climate groups on Renewable Energy Target
Now here's an update worth reading.
While Peter Garrett was being kind of sacked last Friday, the federal government announced changes to the Renewable Energy Target that have fixed a number of problems with the scheme we have been badgering them about for some time now. This has been a concerted campaign from climate groups such as ourselves, joining with the renewable energy industry so its great to see our work has paid off.
The main problem had been that small-scale solar hot water and PV was crowding out the RET capacity that should have been available to encourage large-scale operations and new wind farms in particular were being delayed as a result.
This has been fixed by quarantining 90% of the target (ie. 18% renewable energy) for large-scale projects, with the remaining 2% for solar hot water and PV, which will be paid $40 for each Renewable Energy Certificate.
There are still problems with the scheme, the main one being that the new regime doesn't come into place until Jan 1, 2011 - the delay here is hard to understand - and the target should really be far higher than 20% by 2020 but nevertheless, its not every day the government does something you've asked them to do.
February 2009
Read BREAZEs feedback on Exposure Draft Legislation for the Renewable Energy Target Scheme.
Ballarat Renewable Energy and Zero Emissions (BREAZE) is a non-profit grassroots organisation, which has come about because members of the Ballarat community want to demonstrate that individual and community-based actions can make a difference in our response to climate change. We currently have a membership of over 700 members and a mailing list of 1200 people.
We suggest a number of changes to the legislation as presented in the exposure draft.
- any new legislation introduced at this time must take account of the emergency situation of our climate and theneed to radically de-carbonise our economy. 20% of our energy from renewables leaves 80% of our growing requirements still produced from carbon polluting fossil fuels. A target that genuinely respects the science is one of 100% renewables by 2020. This gives us a chance of reducing our total emissions by 100% by 2050 allowing a return to a safe climate. Anything less puts us at unacceptable risk of catastrophic climate change.
- a phase out of the RET after 2030 leaves open the possibility of phasing back in fossil fuel-based electricity
generation and as such should be dropped.
- a major overhaul of funding needs to take place to stimulate the uptake of renewables. Subsidies to fossil
fuel-based energy generation companies, such as R&D grants for Carbon Capture and Storage (CCS) should be directed instead to the rollout of proven renewable technologies. CCS remains an experimental technology which is not expected to become commercially viable for another 15-20 years. Renewable technologies such as solar thermal, wind and geothermal are ready to roll out. Genuine investment in these technologies will allow the achievement of far more adventurous targets than that currently proposed in this draft, far more quickly.
- the change to the REC multiplier approach from a set $8000 grant will slow down, rather than encourage, the uptake of small generation units. A reinstatement of the set grant, without a restriction to 1.5kW systems, is recommended.
- we don't believe extra assistance is required for EITE industries. Immutable power prices are not a right enjoyed by many Australians. These companies will have been aware for some time of the likelihood of increases in the price of electricity and, as with any householder, should be expected to make the adjustments without explicit government assistance.
- we strongly recommend that the exemptions currently enjoyed by Victoria's two aluminium smelters be discontinued under the new legislation. These arrangements were set up under Henry Bolte and continue to be the crudest examples of corporate rent-seeking in our state.
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