RET legislation passage restores bipartisan support
24 June 2015
Infigen Energy welcomes the passage of the RET legislation late last night, restoring the bipartisan support which will enable new investment and jobs to be created.
Infigen Energy recognises the hard work of many Liberal and Labor MPs in negotiations leading to the legislation of this bipartisan agreement.
Infigen would also like to thank all the individuals and community groups that have fought hard to ensure Australia retains a strong and viable renewable energy industry.
“While we recognise that there will be many in the community who will be disappointed that the absolute 2020 target has been lowered, the outcome that has been achieved is preferable to the stalemate that existed, causing an 88% drop in investment and substantial job losses over the past 18 months,” said Miles George, Infigen Energy Managing Director.
Passage of this legislation will enable the renewable energy industry to get back to investing in new clean energy infrastructure to meet the 33,000 GWh target, which represents an 80% increase in large scale renewables compared to this year’s target. Importantly, the legislation does not change the targets for this year, 2016 or 2017, thereby providing a strong near term investment signal.
The legislation also eliminates the crippling biennial reviews of the RET. Environment Minister Hunt stated yesterday that, “the 33,000 gigawatt hour Renewable Energy Target will not be reviewed until 2020.”
“This commitment provides the legislative certainty that will enable the liable entities and the renewables industry to get on with the job of delivering the target,” said Mr George. “In anticipation of the legislation being passed, we have already been talking to obligated parties and offering power purchase agreements at prices well below the shortfall or penalty price,” he said.
The RET has been shown to be one of the most cost effective and efficient renewable energy incentive schemes in the world, and will provide significant economic and environment benefits to Australia.
Infigen Energy has one of the largest and most advanced development pipelines of wind and large-scale solar projects in Australia. Infigen Energy expects that passage of this legislation will provide the opportunity for these projects to be considered for progression towards construction in the short to medium term.