Australia needs revamped SRES and ambitious electrification target as emissions from gas and transport increase, 29 Nov 2024

The Commonwealth government’s annual emissions projections report 2024 released this week highlighted that emissions from gas have increased from 2005 levels and transport emissions have increased.

While we can celebrate the progress on renewables achieved through the Renewable Energy Target since 2001 and the Capacity Investment Scheme that will support large scale renewables from 2025, the untold story is the lack of policy action at the federal level on reducing gas use. We need ambitious electrification targets to support households and small businesses. A revamped small-scale renewable energy scheme (SRES) would be a reasonable proven and effective mechanism, according to the Energy Savings Industry Association (ESIA).

“The Commonwealth government needs to revamp the SRES instead of killing it off at the end of 2030. This can be done with a shift in the scheme’s objectives to support electrification including batteries, gas substitution to get off gas appliances, and energy efficiency,” said ESIA President, Ric Brazzale.

The ESIA is advocating for the Commonwealth government to consider the SRES revamp opportunity now to provide certainty to industry to invest beyond 2030 so transformation can be delivered at scale across Australia.

The SRES currently incentivises solar PV, solar hot water and hot water heat pumps and is touted as one of the most successful programs of its type in the world. As the SRES support has been reducing as we approach 2030, some jurisdictions have provided further incentives for heat pump water heaters such as the Victorian Energy Upgrades program and the NSW Safeguard including the Energy Savings Scheme and Peak Demand Reduction Scheme. But these types of combined financial incentives are reducing to 2030, and other jurisdictions without programs are being left even further behind.

“Australian households and businesses need more equitable access, and industry needs the signals to invest and deliver upgrades nationwide. The SRES needs an ambitious target beyond 2030 to support these upgrade types which industry has proven can be delivered in a competitively priced and commercially viable way,” said Mr Brazzale.

… Ends Media contact: Jessica Lynch, M 0417 539 377, comns@esia.asn.au

References: Commonwealth DCCEEW emissions projections report 2024, https://www.dcceew.gov.au/about/news/australias-emissions-projections-2024

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Schemes