Thursday, 17 January 2013

Wind energy tax credit
8 Jan 2013

CONTRARY to Graham Lloyds article, the US production tax credit for wind power was extended as part of the fiscal cliff deal passed on January 1 ("Blow to big wind in the power-market stakes", 5 6/1).

Given that most major fossil fuel power plants in Australia were built and funded by governments-and many are still owned by governments-it is not unreasonable that renewable energy is provided with a modest level of support until it becomes more established. The cost of wind power, for example, makes up less than 2% of power bills.

While world markets have proven volatile over the last 12 months due to the stop-start nature of government support in some countries, Australia's 20% Renewable Energy Target has been a consistent and relatively low-cost policy that has provided enough stability to attract financiers and investors.

Australia is well-positioned to substantially increase the share of renewable energy in our generation mix between here and the end of the decade, creating tens of thousands of jobs and unlocking billions of dollars of investment in the process.

Russell Marsh, Clean Energy Council, Southbank, Vic

Graham Lloyd is a recidivist when it comes to misrepresenting the facts, exaggerating or misleading by omission.