The Australian Solar Council reports Industry Minister Ian Macfarlane has announced the Government’s ‘ preliminary’ position on Australia’s Renewable Energy Target.
The announcement was made at the National Press Club a short time ago.
According to Australian Solar Council CEO John Grimes, the Government’s starting position is:
– slash the Renewable Energy Target to a “real” 20%
– exempting all emissions intensive industries from the RET
– household solar support schemes to remain as is
– an end to 2 yearly reviews of the RET
The hands-off approach to residential solar power systems may be considered by many as a very wise move given the massive support home solar power has in the community. Reducing or abolishing support would likely be remembered by millions of solar voters at the next election. Many of those who already have solar panels installed want others who don’t to have the same opportunity to do so.
However, the show is far from over.
“Of course this is a very positive development, but there is still along way to go and many concerns remain,” said Mr. Grimes. ” There is no detail on this position at this stage, and we do not know what ‘no change to household solar’ means for commercial solar and the threshold between the small and large scale schemes.”
Mr. Grimes also pointed out a “real 20%” would effectively mean a 60% reduction in the Renewable Energy Target and would ” kill large-scale solar in its tracks”. He also recently forewarned that exempting the aluminium industry from the RET would result in a “conga line” of other emissions intensive industries wanting the same deal.
The end of 2 yearly reviews will likely be welcomed by the Clean Energy Council, which expressed its displeasure last night concerning an announcement of yet another RET review now under way; this one by the Climate Change Authority.
It’s believed the Government will begin negotiations with Labor later this afternoon.
“The debate should not be about how much we should cut support for solar and the Renewable Energy Target. The debate must be about how much we expand our use of solar and achieve 50% renewable energy by 2030. Australians want more solar, not less,” said Mr. Grimes.
Follow up: Government RET Position – The Reaction
