NSW shows way to build strong solar industry
Date: 10-Nov-2009
The NSW Government’s decision to introduce a gross feed-in tariff for rooftop solar systems is a step forward on tackling climate change and making our homes more energy efficient, the Australian Conservation Foundation said.
“A gross feed-in tariff means households and small businesses in NSW can now take advantage of the abundance of sunshine that falls on our rooftops,” said ACF’s Sustainable Australia Program Manager, Monica Richter.
“If we are to secure a clean, safe energy future for our kids, it is vital we have a strong commitment to renewable energies like solar.
“Solar produces clean reliable energy at times of peak demand, so it makes perfect sense that it should be priced at a premium rate.
“The NSW model should set the standard for a national feed in tariff,” she said.
A feed-in tariff allows households and small businesses with solar panels on their roofs to sell solar energy back to the electricity grid and be paid a premium price for it. This premium price reflects the value of the electricity produced at the time of peak demand and corrects the market failure of paying today’s solar photovoltaic (PV) owners only a fraction of the peak price.
Internationally, grid-connected solar PV is the fastest growing power generation sector. Germany, Japan, Spain and France are big consumers of solar PV. All these countries have feed-in tariffs to support their solar industries.
Recent research by Access Economics for the Electrical Trades Union (Vic) found that a strong national scheme would generate 22,000 additional clean energy jobs over the next 10 years.
“The Federal Government should meet its 2007 election commitment to harmonise feed in tariffs across Australia and ensure they are all calculated on a gross rather than a net basis,” Ms Richter said.
