[Greens-Media] Solar bonus over-reaction risks industry's future and jobs

[John Kaye]

Solar bonus over-reaction risks industry's future and jobs
 
Media release: 28 October 2010
 
After the Greens' move to limit the cut in the solar bonus rate to 30 cents per kilowatt hour was defeated by the combined numbers of Labor and the Coalition, Greens NSW Upper House MPs voted against the Keneally government's legislation to slash the tariff to 20 cents per kilowatt hour, according to Greens NSW MP John Kaye.
 
Dr Kaye said: "The Greens accept the need for change to the 60 cents bonus rate but 20 cents/kWh rate risks throwing the solar scheme from boom to bust.
 
"In the rush to make the scheme socially sustainable, the Keneally government has been panicked into an over-reaction that could inflict long term damage on the industry and the prospects for a green economy.
 
"The industry and the jobs it supports need a 40 cents/kWh bonus to survive. 
 
"The NSW government wants 20 cents and the Opposition is talking about closing the scheme. 
 
"The best we could have hoped for out of the political process was a compromise at 30 cents, with a review at the end of a year.
 
"Labor and Coalition MPs voted against our 30 cents amendment, leaving the Greens with little choice but to oppose the legislation.
 
"The bill then passed with the combined votes of the large parties.
 
"The future of the industry now remains in balance. 
 
"Having been given almost a year of boom conditions, installers will now be thrown into bust. This is the worst case scenario for the long term sustainability of the industry and the thousands jobs it could create.
 
"The Greens accept the argument that the 60 cents bonus rate needed to be reduced in order to avoid windfall profits for households installing solar panels and unacceptable increases in electricity bills for others.
 
"However the Keneally government's slash and burn 20 cents per kilowatt hour is unfair to installers and their employees. It puts the economic, social and environmental benefits of a thriving solar industry at risk," Dr Kaye said.  
 
For more information: John Kaye 0407 195 455 
 
 
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John Kaye
Greens member of the NSW Parliament
phone: (02) 9230 2668
fax: (02) 9230 2586
mobile: 0407 195 455
email: john.kaye at parliament.nsw.gov.au
web: www.johnkaye.org.au
 
mail: Parliament House, Macquarie St, Sydney NSW 2000