Australia: Renewable energy regulation and change

1. Australia: Renewable energy regulation and change WA SEA lunch 27 August 2010 Andrew Livingston Renewable Energy Regulator

2. ORER - Statutory Agency administering RET • Accredits renewable energy power stations • Registers eligible persons and agents • Validates RECs and undertakes compliance activities • Audits surrender of RECs by liable parties • Manages and maintains the online REC Registry • Communication of Act and Regulations • Maintains the Register of solar water heaters • Manages process for emissions-intensive trade-exposed industries

3. On line REC Registry

4. Renewable energy legislation timeline

5. Renewable Power Stations in WA *as of 31 July 2010, since beginning of this scheme **food waste, wood waste

6. Deemed Units in WA *as of 31 July 2010, since beginning of this scheme

7. REC Liability for WA *provisional data RPP for 2009 is 3.64%

9. Spot REC prices

10. Classification of RECs REC STC LGC • large-scale generation certificate • renewable energy power stations • equivalent to 1MWh • surrendered annually • small-scale technology certificate • eligible SWHs and SGUs • equivalent to 1MWh generated or displaced unless multiplier applies • surrendered quarterly

11. Transitionals for RECs Power station RECs Power station LGCs SWH/SGUs installed LGCs – creation within 12 months SWH/SGUs installed - STCs SWH/SGUs installed with eligible contract on or before 25 February 2010 - LGCs 1 January 2011

12. Register split • Register of Large-scale Generation Certificates (LGCs) • Including Register of RECs Register of Renewable Energy Certificates (RECs) Register of Small-scale Technology Certificates (STCs) 1 January 2011

17. Directing questions • Department of Climate Change and Energy Efficiency responsible for policy – ret@climatechange.gov.au • ORER responsible for administration and implementation.

18. © Geoscience Australia and ABARE, 2010. Material source: Australian Energy Resource Assessment

19. Thank you

20. Compliance Activities to date

21. Regulations – off-grid multiplier • Amendments to the Act allow for an off-grid multiplier • Increase in kW capacity limit for Solar Credits multiplier for eligible off-grid installations • Subject to an annual cap

22. Australian Electricity Regulatory Environment AER - Australian Energy Regulator - part of ACCC (Australian Competition & Consumer Commission) AEMO - Australian Energy Market Operator Merging of six industry bodies from gas and electricity markets. Office of the Renewable Energy Regulator (ORER) • Administers the national renewable electricity legislation, • Target is 20% of renewable electricity by 2020, • Established 2001, Council of Australian Governments (COAG) & Ministerial Council on Energy (MCE) Ownership 40% market participants and 60% Government. Australian Energy Market Commission (AEMC) SWIS, DKS, Mt Isa, Pilbara, Gove, Telfer Mt Keith/Leinster grids Western Aust. & NT electricity regulators

23. © Geoscience Australia and ABARE, 2010. Material source: Australian Energy Resource Assessment