[Greens-Media] COAG renewable energy disaster: Pressure back on Rudd Government

[Hollo, Tim (Sen C. Milne)]

COAG renewable energy disaster: Pressure back on Rudd Government

Canberra, Wednesday 3 December 2008

COAG's lowest common denominator agreement on renewable energy price
guarantees - known as feed-in tariffs - puts the pressure back on the
Rudd Government to support a truly effective scheme, the Australian
Greens said today.

Australian Greens Deputy Leader and Climate Change Spokesperson, Senator
Christine Milne, has introduced a Private Member's Bill for a national
feed-in tariff that would pay a premium price for gross energy
generation from all renewable energy technologies. A Senate Inquiry into
the Bill was strongly in favour of the idea but recommended that it be
left with COAG to deal with.

"COAG's predictable failure on renewable energy price guarantees puts
significant pressure back on the Rudd Government to do what needs to be
done," Senator Milne said.

"The renewable energy industry in Australia is revved up and ready to
go. They have the technology, they have the people, they have the
enthusiasm.

"But, instead of helping this exciting and vital industry to grow to its
tremendous potential, governments across Australia are acting as a
roadblock.

"With a few simple policy settings, governments can allow this
clean-tech industry, which is booming around the world, to flourish here
in Australia."

In much of Europe and parts of North America, feed-in tariffs have been
used to great effect to give homeowners, farmers and businesses the
confidence to invest in renewable energy. Banks are happy to lend money
for renewable energy investments when the income they will provide is
guaranteed.

Globally, the most effective feed-in tariffs have been for gross energy
generation, not net as in several Australian states and as agreed by
COAG. The best schemes are also for all renewable energy sources, from
all technologies and all sizes of installation. COAG is limited to
micro-generation and most States limit their schemes to rooftop solar
power.

Recent analyses by the International Energy Agency and Ernst & Young
have shown that feed-in tariffs are more effective and cheaper than
quota systems such as Australia's Mandatory Renewable Energy Target
(MRET). The Greens are calling for a feed-in tariff to supplement the
MRET.

"COAG's recommendation for a lowest common denominator feed-in tariff
would continue to limit the growth of renewable energy, instead of
setting it up to power all of Australia as soon as possible, as it can
and must do.

"It is well past time for the Rudd Government to drop its false view
that emissions trading is a silver bullet and embrace the range of
policy settings and investments that will back up the ETS and help
reduce emissions as effectively and efficiently as possible. A feed-in
tariff is top of the list."

Tim Hollo 
Media and Communications Adviser 
Senator Christine Milne 
Australian Greens Deputy Leader
ph: (02) 6277 3588 
mob: 0437 587 562
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