Senate Inquiry: Overwhelming support for gross national feed-in tariff

Clean Energy Council
10 September 2008

NATIONAL: The Clean Energy Council, Australia's peak renewable energy body, appeared before the Senate Environment Committee yesterday to provide evidence for the implementation of a gross national feed-in tariff (FIT) for solar PV – a scheme which pays households and businesses a premium rate for all the renewable electricity they produce.

The inquiry hearing took place across the last two days with the majority of speakers voicing their preference for a gross national feed-in tariff. Out of a total 127 submissions made to the Senate Inquiry,

• 80% supported a gross FIT (pays for all electricity, including that used on-site);
• 12% did not show preference;
• 8% not in favour of FIT policy;
• 1% favoured a net FIT (only pays for electricity sent back to the grid).

"There is clearly growing support for Australia to adopt a feed-in tariff scheme which is based on gross generation rather than net generation" said Clean Energy Council solar spokesperson Andrea Gaffney. "This sends a very strong message to the Committee and should serve to assist state and territory governments ahead of the upcoming COAG meeting" she added.

The Council of Australian Governments (COAG) will be discussing a nationally consistent feed-in tariff at their next meeting scheduled for 2 October 2008. "A gross national feed-in tariff is key policy for Australia's solar PV industry, as it pays peak demand prices when the solar PV system is generating electricity and this allows the technology to compete against and reduce demand for high-emission fossil fuel power" said Ms Gaffney.

More than 19 European Union countries have already introduced gross feed-in tariffs to encourage further take up and use of solar PV. "We're looking forward to receiving the conclusive findings of the Senate Inquiry and will continue to lobby for a nationally consistent gross feed-in tariff to ensure that every Australian can benefit from acting on climate change." The Clean Energy Council remains committed to ensuring renewable energy, like solar PV, plays a significant part in Australia's future energy mix and reducing greenhouse gas emissions.