Australian Industry Group Seeks Careful Assessment Of ALP Proposal Of 50% Renewable Energy Goal By 2030

The Australian Industry Group, or AIG, finds as ambitious the Australian Labor Party’s proposal for the country to rely on renewal energy for half of its power requirements by 2030. However, AIG Chief Executive Innes Willox urges the party to make a careful assessment of the lofty goals.

Opposition leader Bill Shorten bared the ALP proposal on Wednesday. Under the proposal, more Australian homes and companies would have solar panels on their rooftops. But to store the solar power, battery technology needs to be developed further.

However, the real battle with the Coalition would be wind technology which Prime Minister Tony Abbott dislikes. “We want to make sure that investors in windfarms can be confident about investing in wind power. There is an absolute clear cut choice between Labor and the Liberals when it comes to renewable energy,” PV-Magazine quotes Shorten.

Willox said that Australia undoubtedly needs more certainty on its renewable goals than the current situation when it comes to direction of energy and climate policy before 2020. More discussions would help develop those policies

“However, this objective must be fully evaluated against rigorous criteria and widely consulted on before it goes beyond the proposal stage. In particular, any approach to reducing greenhouse emissions should be examined against the fundamental criterion that emissions reduction goals are achieved at least cost,” Willox said in the AIG press statement.

Costs higher than necessary, Willox said, would be wasteful and hinder the Australian economy’s growth potential and jobs creation that are boosters of domestic living standards. The AIG says the 50 percent goal by 2030 would not likely pass the least-cost test.

The industry association suggested looking into other generation technologies, energy efficiency, land sector, industry and international abatement. “A big bet on renewable energy would lock in substantially higher costs than necessary,” points out Willox.

AIG will surely oppose the Green’s 90 percent renewable energy target by 2030 proposal. In pushing for a higher goal, Greens energy spokesman Larissa Waters notes that Tasmania is already 100 percent renewable, the Australian Capital Territory has a 90 percent goal by 2020, South Australia aims for 50 percent by 2025 and would achieve it earlier, and Queensland, 50 percent by 2030.

Australia had a carbon tax under ALP, but Abbott campaigned on removing the tax, won and repealed the carbon tax law. Shorten said that the party would make climate change the focus in the run-up to the next federal election. If the ALP grabs power back from the Liberals, he would put in place an Emissions Trading Scheme for Australia rather than give taxpayer money to big polluters which is what is happening under an Abbott-led government, Shorten said.

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