Federal government slammed over solar cash-back stall - Council steps in over energy rebate cap

Bendigo Weekly
Friday 6/6/2008 Page: 9

THE City of Greater Bendigo council has criticised the federal government for its planned $100,000 income cap on receiving solar energy rebates. Strathfieldsaye Ward councillor Keith Reynard led the attack, urging the council to write to Prime Minister Kevin Rudd expressing its disappointment at the plan unveiled in last month's budget.

"Given the urgency of tackling climate change... the consequences of failing to immediately act on climate change will lead to greater impacts and costs in the future," he said. "The (solar) rebate scheme is one of the tools the government has at hand to enable immediate action by individuals at a household level." Cr Reynard said the oversubscription of the rebate scheme was a measure of its success, not a reason to limit it.

"The rebate scheme has become so successful that the level of solar system installations around Australia is currently at 16 megawatts of installed capacity," he said. "Over 30 per cent of that growth has occurred in the past 12 months, being directly related to the rise in federal rebate from $4000 to $8000. "This is a very powerful demonstration that incentives not only work, but in this case work exceptionally well." Cr Reynard said the benefits of that level of solar cell installations were many.

"Firstly, environmentally it can be implemented by households immediately to reduce their individual greenhouse gas emissions," he said. "Secondly, each individual has an opportunity to actively participate rather than being locked into a centralised system they are remote from and feel they have no control over, except for one day ever, four years at the ballot box, and we cannot afford to wait that long.

"Thirdly, as the level of support for the renewable energy industry grows, it will be able to dedicate a larger focus and resources into research and development functions to improve the performance of the systems and stimulate greater commitment to local manufacturing of components." Cr Reynard said technical developments would also progress with a focus on research and development.

"I am aware of research occurring to construct photosynthetic film or paint that will be able to generate electricity even from low-intensity light," he said. ""This will be accelerated with widespread support for the renewable energy sector." Cr Reynard also pointed out the obvious economic benefits of a booming renewable energy sector. "This is particularly important in regional Australia where the abundant natural benefits are more available, and renewable energy generation will be a stimulus for many regional communities," lie said.

"Communities around Australia are taking the lead in this matter but cannot be expected to shoulder the entire responsibility for stimulating the renewable energy sector and reducing our national greenhouse gas emissions, especially when the coal industry receives so many government subsidies to keep operating in their current manner. "All the community asks is that state and federal governments view solutions to a warming planet as seriously as the people that elected them, and reverse the decision to means test and cap the rebate scheme."