The Alternative Technology Association (ATA) has welcomed a report that shows future power prices will be lower with the Renewable Energy Target in place.
The study, commissioned by the Clean Energy Council, found the average household would pay about $50 extra per year for their power bills by 2020 if the RET was scrapped – and up to $140 per year more beyond 2020. Abolishing the RET would also mean a loss of $11 billion in future investment in renewable energy projects.
The Federal Government is conducting a review of the RET, with concerns that it may lead to its abolition. The RET mandates that 41,000 GWh of electricity in Australia per year comes from renewable sources by 2020.
Damien Moyse, the ATA’s energy projects and policy manager, said the report confirmed what had been known for a number of years: “Renewable energy including wind and solar reduces prices in the wholesale electricity market – leading to lower retail prices for households and businesses.”
Mr Moyse said renewable energy costs were falling and would continue to fall in the future while the price of electricity from coal and gas would continue to rise.
“To unwind the RET or reduce its targets will only serve to increase power prices for consumers for decades to come,” he said. “We need to keep the RET and keep it strong – it is the pathway to lower energy prices for all consumers in the future.”
The ATA is running a Defend the RET! campaign. You can email your MP to let them know you want a sustainable future for Australia. Click here for more information.
The ATA is Australia’s leading not-for-profit organisation promoting household renewable energy, sustainable design and water saving.