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Jobs at risk if Australia scraps renewable target, says solar lobby | Jobs at risk if Australia scraps renewable target, says solar lobby |
(7 months later) | |
Thousands of jobs and businesses could be at risk if the Abbott government scraps the renewable energy target (RET), the solar industry has warned. | |
The target - which requires 20 per cent of all electricity by 2020 to come from renewable sources - will be reviewed this year but details are yet to be announced. | |
The government insists it remains committed to the RET but many in the renewables sector are nervous the scheme will be watered down or abolished. | |
The solar photovoltaic (PV) industry is particularly worried, with new analysis showing 2,000 PV jobs could vanish next year if the RET was scrapped. | |
The study by Solar Business Services claims by 2018 that figure could have grown to 7,000 jobs lost or foregone - halving the entire PV sector. | |
"In the worst case scenario, this is going to really have a very serious consequence on the industry," solar industry analyst Nigel Morris told AAP. | |
Around 600 solar PV jobs were forecast to go if the 20 per cent target was reduced. | Around 600 solar PV jobs were forecast to go if the 20 per cent target was reduced. |
It is the latest in a spate of bad news for the solar sector. | It is the latest in a spate of bad news for the solar sector. |
Mr Morris said the sector had seen scheme after scheme scrapped in recent years, stopping growth in its tracks last year for the first time in more than a decade. | |
The suspension of loans from the Clean Energy Finance Corporation, funding cuts to the Australian Renewable Energy Agency and the windback of subsidies had taken its toll, he said. | |
"If all of those things and the RET goes away, it has a combined phenomenal impact on the propensity of people to proceed with solar," Mr Morris said. | |
There is strong evidence the 20 per cent RET will be well exceeded and critics, including within the government, warn renewable power is already unnecessarily driving up retail power bills. | |
Prime minister Tony Abbott late last year said the RET had caused significant price pressure on domestic electricity costs. | Prime minister Tony Abbott late last year said the RET had caused significant price pressure on domestic electricity costs. |
Mr Morris said these "pessimistic" statements made the industry skittish about the future and confused consumers. | Mr Morris said these "pessimistic" statements made the industry skittish about the future and confused consumers. |
"The cost of the RET is minuscule and it is declining already," he said. | "The cost of the RET is minuscule and it is declining already," he said. |
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