The Victorian Government said this week it might introduce higher targets for renewable energy than the national scheme in a bid to reduce greenhouse gas emissions.
On Wednesday, premier Steve Bracks announced at the World Wind Energy Conference in Melbourne that his government would investigate the industry associated costs of imposing a 5% Mandatory Renewable Energy Target in Victoria.
“We'll look at the costs and benefits (of a 5% MRET) and consult with industry, community groups and others, to see if we can put a case to industry to go it alone,” Bracks said.
He criticised the Howard government's decision not to increase the national MRET from 2% to 5%.
Bracks also told the conference that the Victorian government was planning a tenfold increase in wind power by the end of next year.
Victoria has just installed over 100 MW of wind energy projects, which provide enough power for about 60,000 homes.
Meanwhile, Tasmanian energy minister Bryan Green said the Federal Government's refusal to extend its Mandatory Renewable Energy Target Scheme put the country at risk of losing critical expertise and employment in the sector.
He said on Wednesday that he had endorsed a partnership between Hydro Tasmania and China Light and Power last month because it was the only available option for growth.
“I was presented with two scenarios for our renewable development business – shut up shop after 2008 due to the Australian Government's lack of support for the Mandatory Renewable Energy Targets scheme, or seek a partner to grow the business outside Australia,” Green said at the World Wind Energy Conference in Melbourne.
Hydro Tasmania and CLP have formed a joint venture named Roaring 40s to build a 50MW wind farm in the Chinese province Jilin on the Inner Mongolian border.
“That agreement marked a watershed both for the Tasmanian energy sector and the Australian wind energy industry generally,” Green said.
Green said that while the joint venture was important, unless Australia increased its investment in building renewable energy sources the deal could signal ‘the beginning of the end’, with Australian technology and personnel forced to pursue export markets.
He said the substantial growth opportunities in China were well documented, with 20,000MW of renewable energy expected to be installed by 2020.
China's commitment to generate 10% of its energy needs from renewable sources by 2010 was indicative of a global trend, he said, citing the European Parliament's target of 20% renewable energy by 2020 from 6% in 2001.
“The Australian sustainable energy industry is growing at around 10% a year and national sales are estimated to be worth $3.8 billion a year,” Green said.
“A great advantage of renewable energy developments is that they are best sited in regional and rural areas of Australia.
“In the face of all these indicators it's increasingly difficult to understand the short-sighted view which the Australian Government has taken in refusing to extend MRETs, despite its own review recommending an extension. The Federal Government policy will inevitably lead to job losses in Australia's fledgling wind technology industry.”
