ACT feed-in tariff sparks up clean economy

The ACT Minister for Energy, Simon Corbell, recently claimed that the ACT Government’s feed-in tariff has not only decreased the reliance of ACT electricity users on the grid, but has supported the local economy through the global financial crisis.

Corbell said: “We have seen a 520% increase in the amount of solar installations on Canberra roofs since the feed-in tariff legislation was enacted in March 2009, and with this significant uptake comes economic benefits for the Territory.

“A feed-in tariff is an important way of changing the community’s reliance on coal-fired power, but is also an innovative way of stimulating the local economy by creating a new ‘clean economy’ with jobs creation and the expansion of local businesses.

“The anecdotal evidence to date has been that local businesses have grown and local job trainers like Canberra Institute of Technology (CIT) are seeing an increase in the amount of people interested in a career in the renewable energy sector.”

Corbell cited local electrical installation companies like Powersmart Solar that has benefited from a surge in local installations and who subcontracts to local tradespeople.

There are currently more than 2700 solar photovoltaic (PV) panels on roofs in the ACT, up from just 520 before the scheme began 18 months ago. The ACT gross feed-in tariff pays consumers a premium rate of 45.7 cents per kWhour to feed back all of their solar generated electricity into the grid.

The scheme is currently limited to installations of 30 kW capacity, about 180 average-sized PV panels; however, the government is considering the possibility of expanding the scheme to include larger-scale generation.

“Because of the feed-in tariff, local businesses have been able to reinvent themselves to incorporate the installation of renewable technologies, maintenance of panels and consultation about this developing industry to their business models,” Corbell concluded.