Australian Renewables Sector Decries Dropping of Clean Energy Target

Australia’s government has dropped plans for introducing a Clean Energy Target (CET) post-2020, opting instead for a technology-neutral plan that it claimed would prioritise reliability and bringing prices down.

The new policy, known as the National Energy Guarantee, hands power to the nation’s utilities allowing them to choose the energy mix that suits them, with no real driver or target for clean energy, and no clear subsidy or direction once the Renewable Energy Target (RET) comes to a close in 2020.

The Department for Energy and Environment stated: “The government is acting on the Chief Scientist’s recommendation that new measures are needed to improve reliability and investment certainty in the electricity sector. To do this, we will take the advice of the independent Energy Security Board and implement a new National Energy Guarantee.”

Labor Walks Away From RET Negotiations in Australia

Solar industry backs Labor's RET negotiation withdraw.  But the Australian Solar Council warns if the government doesn't change its position on the renewable energy target, it will change the government.

Labor has quit its negotiations with the Abbott government about Australia's renewable energy target saying there is "no prospect of reaching an agreement".

In an escalation of the high stakes clash over Australia's energy future, the opposition's environment spokesman, Mark Butler, has written to Industry Minister Ian Macfarlane to end discussions that were aimed at restoring bipartisan support for the renewable energy policy.

In a letter to Mr Macfarlane on Tuesday, Mr Butler said that the government's plan to dramatically scale back the target had not budged throughout weeks of negotiations.

What's Happening in Energy and Resources Law 2014: The Renewable Energy Target

Despite market concerns about its future, the Renewable Energy Target is likely to stay in place in one shape or another for at least the foreseeable future.

The Renewable Energy Target (RET) was introduced as federal legislation in 2000 in the Renewable Energy (Electricity) Act. Its intention was that "electricity retailers and other large electricity buyers will be legally required to source an additional 2% of their electricity from renewable or specified waste-product energy sources by 2010".