Local groups want guarantee on community solar

LOCAL reaction to the Coalition government’s proposed National Energy Guarantee (NEG) has been underwhelming, with activist groups calling for local renewable energy projects to be backed instead.

Announced earlier this month, the NEG is the Coalition’s alternative to the Clean Energy Target (recommended by the Finkel Review) and Renewable Energy Target.

It will impose a reliability guarantee as well as an emissions guarantee on energy retailers across the national electricity market, aimed at ensuring dispatchable power to guarantee supply while also meeting the targets of the Paris climate agreement.

The need for dispatchable electricity means a continuing role for coal-fired power stations.

“The NEG will give certainty to investors and encourage investment in all forms of power,” Corangamite Liberal federal member Sarah Henderson said.

“This means electricity bills will be lower than currently forecast and lower than they would have been under a Clean Energy Target.”

However, details are still scarce about exactly how the NEG will work and how it will affect consumers – estimates on the average annual saving on electricity bills were first pitched at $115 but could be as low as $25.

Surf Coast Energy Group president Pat Onesta said Ms Henderson should instead back independent MP Cathy McGowan’s amendments to the ARENA Act “and back away from the federal government’s dirty energy plan”.

“Community solar projects in the 20-100 kilowatt-hour range are already helping to lower power bills for host sites. With increased funding and federal support we can do even more.”

SCEG is one of three community energy groups in the Surf Coast Shire (the others are Anglesea Community Energy and the Barwon Sustainable Energy Alliance) and is working on a number of renewable energy projects.

Australia leads the world in installation of rooftop solar, Geelong Sustainability’s Dan Cowell said, which should be a signal that the time has come to act and support community energy.

“International research shows that community ownership of renewables projects increases the local economic benefits of a project, including jobs, up to seven times.”

The Australian Wind Alliance said dropping the Clean Energy Target would put more than 3,600 megawatts of clean energy projects across Australia at risk.