Large scale feed-in tariff law expanded to meet 90% renewables target

Released 27/02/2014


The ACT Government will amend its large scale feed-in tariff law to support the development of up to 550MW of large scale wind, solar and waste to energy projects to help achieve the city's greenhouse gas reduction targets, Minister for the Environment and Sustainable Development, Simon Corbell, announced today.

The announcement confirms an expansion of the amount of renewable energy generation able to be supported by the Electricity Feed in (Large Scale Renewable Energy Generation) Act, from the existing cap of 210MW to a proposed 550MW, enough to achieve the mandated 90% renewable energy target set last year.

The large scale feed-in tariff law has already been used to support the development of three large scale solar farms in the ACT, including the 20MW Royalla Solar Farm south of Tuggeranong, which is now under construction.

Mr Corbell also tabled today an independent review into the large scale solar auction, which found the ACT Government's solar auction process was an efficient way of investing in renewable energy at the lowest possible cost.

With these amendments the ACT is projected to retain the lowest electricity costs of any state or territory in the country.

"The innovative feed-in-tariff (FiT) mechanism means the cost to the community of achieving the 90% renewable energy target peaks in 2020 at around $4 per household per week and declines thereafter," Mr Corbell said.

 "This pass through cost is also lower than that projected when Action Plan 2 was released in 2012, due to factors including reductions in the costs of renewable technologies.

"This cost impact is about half of 1% of average gross incomes for low, middle and high income households."

The review concluded the process was effective, generated strong competition, resulted in positive industry feedback and provided value for money for consumers.

The proposed expansion of the amount of renewable energy able to be supported by the large scale feed-in tariff law means Canberra will be able to meet its mandated renewable energy target and the 40% reduction in carbon emissions set for the year 2020. 

As previously announced in Action Plan 2, the ACT Government's plan to implement its climate change strategy, approximately 1.4 million tonnes of the 2 million tonnes of CO2 needing to be abated will be achieved by switching to renewable energy.

"The expansion of the amount of renewable energy to be generated under this law will leverage significant investment in our city and the surrounding region and will leverage our city's world leading research capacity in areas such as photovoltaics and wind resource assessment.

"The Government expects to make further announcements on how this increase in renewable energy capacity will be deployed in the coming weeks."The solar auction review document will be available on the Environment and Sustainable Development Directorate's website

- Statement ends -

Section: Simon Corbell, MLA | Media Releases

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