It's been widely reported over the last couple of days that the Abbott Government has attempted to cease investment in wind and small scale (roof-top) solar projects that are underpinned by the Clean Energy Finance Corporation (CEFC). Less widely reported however is the fact the Investment Mandate issued by the Government is in 'draft' only at this stage, and that the CEFC has a right of reply. Importantly the Government's Mandate, under the Clean Energy Finance Corporation Act 2012, does not allow them to propose requirements that are against the object of the Act, which reads: "The object of this Act is to establish the Clean Energy Finance Corporation to facilitate increased flows of finance into the clean energy sector".
So how can blocking investment into two of the biggest sources of clean energy 'facilitate increased flows of finance into the clean energy sector'??? Surely this is against the intent/object of the Act? The other to be asked is, 'why do you try and reduce investment in clean energy projects that are delivering a positive return on investment'??? I'm not sure there's a rational answer for that one...
It appears the CEFC are not going to take this one lying down, and have issued a statement, click here to view, proclaiming they will be responding to the draft Mandate in due course, as well as clearly outlining their stated objective under the Act. Stay tuned, this one could be going to the Senate yet!
The Department of Environment has just released a series of fact sheets for certain ERF methods. If you run an industrial facility and have some energy and carbon savings projects in mind, have a look at the following fact sheet as a first port of call. As of June 30 there are already two ERF projects registered under the recently released Industrial Fuel Energy Efficiency Method, and we're seeing more and more interest and opportunities on the ground as businesses look to monetise carbon and energy savings under the ERF.
The Climate Change Authority (CCA) today released its Final Report on Australia’s Future Emissions Reduction Targets. The report issued by A/G CEO Shayleen Thompson and underpinned by the CCA Chair Bernie Fraser's statement includes unambiguous recommendations for:
- a 2025 target of 30 per cent below 2000 levels
- further reductions by 2030 of 40 to 60 per cent below 2000 levels
The Government is required to decide Australia’s targets soon leading up to COP15 in Paris this December, and has been under plenty of pressure from other parties including China and the USA to provide credible action. The depth of the targets we propose will have immediate domestic policy impacts also, namely in the form of the Safeguard Mechanism which is designed to protect against emissions growth in the absence of a carbon price and in support of the Emissions Reduction Fund (ERF). It is envisaged that significant targets post 2020 must be underpinned by a strong and decreasing baseline under the Safeguard Mechanism under the current Direct Action Policy. Stay tuned!