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Page added on April 10, 2009

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In Big Green Push, Australia Thinks Too Small On Solar

Australia draws just about 5 percent of its electricity from renewable sources, mostly hydropower and wind. Solar power comprises less than one percent.

The Clean Energy Council, Australia’s main clean-tech body, has urged the government to raise to 200 KW the limit for renewable energy installations eligible for generous rebates.
Instead, say campaigners, Australia needs to adopt a nationwide feed-in tariff structure that would allow users to generate revenue by selling excess power back to the grid.

Such “feed-in” tariffs in Germany, for example, led to the country’s solar power installations increasing 11-fold since it introduced a generous gross feed-in tariff eight years ago.

China and Japan are also ramping up solar investment, with China last month announcing a subsidy of 20 yuan ($2.93) per watt peak for large solar projects. Japan offers a further $200 million subsidy to boost home solar panel usage for the year from April 1 after a $90 million outlay from January to March.

Australia’s policies have not proved as enticing. BP Plc’s solar unit in Sydney, which operated the only panel-making plant in the country, closed down last month to cut costs.

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