The ACT Government announced last week it would extend its feed-in tariff support to encourage the development of up to 550MW of large scale wind, solar and waste to energy projects.
Even with this expansion, Minister for the Environment and Sustainable Development, Simon Corbell, says the ACT should maintain the lowest electricity costs of any state or territory in the country.
“The innovative feed-in-tariff (FiT) mechanism means the cost to the community of achieving the 90% renewable energy target peaks in 2020 at around $4 per household per week and declines thereafter,” Mr Corbell said.
However, energy efficiency initiatives also occurring in the ACT will also help consumers to save money, which could cover the $4 a week; perhaps even exceeding it in some cases.
Minister Corbell also announced the Canberra Community Solar initiative; which will allow households to band together to invest in the development of new large-scale solar installations.
“Around one in 10 Canberra households already have roof-top solar, however this new initiative will be accessible to renters and people living in flats and apartments who previously missed out on the benefits of solar,” Mr Corbell said.
Under the initiative, community investors will receive up to 20 cents per kilowatt hour for 20 years.
Minister Corbell hopes to open the first round of proposals before the National Community Energy Congress in Canberra occurs in June.
Early last week and prior to the announcements, the ACT’s Annual Report on the Implementation of the Climate Change and Greenhouse Gas Reduction Act 2010 was tabled in the Legislative Assembly.
The report showed the Territory was on track to meeting a goal of a 40% reduction in carbon emissions by 2020. Already installed rooftop solar (40MW) combined with the 40 megawatts committed through the solar auction process will see solar power generation within the Territory rise to 5% of electricity consumption.
According to solar solutions provider Energy Matters’ Australian Solar Index; the Internal Rate of Return (IRR) on a solar power system installed in Canberra is 10.9%; making the acquisition of solar a solid investment.
