Penny Wong (SA, Australian Labor Party, Minister for Climate Change and Water) Share this | Hansard source

I thank Senator Moore for her question and for her continued support for renewable energy in this country, support which is also reflected in the government’s election commitment of increasing the renewable energy target to 20 per cent by 2020, something which was never done whilst those opposite were in government and was never matched by them in the election campaign. Senators may be aware that this year the government sought COAG agreement to provide assistance under the renewable energy target to those industries comprised of activities which are emissions intensive and trade exposed, as defined under the CPRS legislation. We made that decision because we had been in close dialogue and consultation with industries, a number of whom put to us that we needed to consider the cumulative cost of both the renewable energy target and the carbon price which will be delivered through the CPRS.

This government remains committed to assisting emissions-intensive trade exposed firms to help manage the cumulative costs of the CPRS and the renewable energy target once both pieces of legislation are passed. It is the case that, as a result of the division on the other side of the chamber and the inability of the coalition to support action on climate change, the government has had to look to plan B—a less beneficial alternative, but an alternative which we think is necessary—in order to ensure that solar providers, wind companies, wave companies and the other providers of renewable energy in this country are provided with the certainty that is required until such time as the coalition sort out their internal squabble on the CPRS. The government will not let the future of renewable energy in this country be held hostage to the divisions in the coalition on the issue of climate change. So, I have announced our decision to set aside the link between the renewable energy target and— (Time expired)