Today marks a major turning point in Australia’s history. Which way the country will turn in relation to the challenge of climate change will be revealed in a few hours when Prime Minister Kevin Rudd announces details of the government’s carbon reduction scheme; due to start in the middle of 2010.
Today may also be one of the defining moments in Kevin Rudd’s career as so many Australians voted him into power based in part or entirely on his climate change related promises.
Australia went to the recent Poznan talks empty handed, reneging on a previous commitment to table our targets at the conference. Today is when Australia will learn what type of contribution Australia will make towards greenhouse gas reduction, with target cuts expected to be somewhere between 5% and 25%.
Many in the solar industry, investors and home owners will also be waiting to hear further news of Prime Minister Rudd’s fast tracking of funding for renewable energy. The Federal Government’s $500 million earmarked for renewable energy projects will be distributed over the next year and a half rather than the six year program originally announced.
Based on comments Mr. Rudd made yesterday at the opening of a solar power station in at Windorah in Queensland’s far south-west, investors and stakeholders in solar farms will likely to have something to smile about as much of the money will be going towards the constructions of new solar farms across Australia.
But what will there be for householders eager to install home solar power systems who have been effectively frozen out of contributing to the climate change solution as they earn over 100k a year; therefore not qualifying for the $8,000 government solar rebate? Will Mr. Rudd offer them further incentive to join the solar revolution he envisions?
The Opposition’s Environment spokesman, Greg Hunt, says the Government must remove the means testing of the $8,000 solar panel rebate, stating the rebate program offers the “single fastest way of deploying solar energy”.
While chances don’t appear to be good of the means test being lifted, what of the rebate itself? Will it continue? Just how is all that extra cash for solar power going to be allocated?
What of the proposed nationalised feed in tariff which will pay solar power system owners for the energy they produce? Will it be the watered down version that was alluded to at the recent COAG meeting or will it emulate Germany’s robust gross feed in tariff scheme?.
A lot rides on today’s announcement – not just for the Rudd government, the solar industry and its supporters, but Australia’s standing in the international community.
As soon as the long awaited white paper is released, shortly after midday today, we’ll be posting a summary of the Government’s carbon reduction and renewable energy plans here on Energy Matters.
**Update** – Carbon Reduction scheme white paper released
