All Australians are yet to access the benefits of energy savings schemes

Australia does not have a national energy savings scheme.

The establishment of energy savings schemes in all jurisdictions across Australia has been recommended by independent national agencies and peak bodies including the Climate Change Authority, Energy Efficiency Council, Australian Sustainable Built Environment Council and the ESIA.

National initiatives are beginning to recognise the major significance of energy efficiency’s role in policy settings, although measurable targets are limited primarily to the energy savings schemes established in Vic, NSW, SA and ACT.

Australia continues to sits at the bottom end of the International energy efficiency ranking.

Emissions Reduction Fund (ERF) and Safeguard Mechanism

Scheme name: Emissions Reduction Fund (ERF) and Safeguard Mechanism, part of the Federal Government’s Direct Action Plan.

Commenced: ERF came into effect 13 December 2014

Commitment date: Will conclude when funding is complete, $2.55 billion currently committed with further funding to be considered in future budgets.

Administrator: Clean Energy Regulator

Regulator: Clean Energy Regulator

Policy framework responsibility: Australian Government, Department of the Environment

Ministerial responsibility: Federal Environment Minister


ERF Energy efficiency successful projects and participants: Visit CER website auction results)

The ESIA is advocating for an adjustment to the ERF to:

  • complement the current market-based energy savings schemes;
  • make access easier to facilitate greater uptake of energy efficiency projects;
  • ensure that these projects are treated on a level playing field with other project types as there has been little support to date;
  • significantly tighten baselines as they are currently fairly weak; and
  • improve and expand methodologies to make them more relevant for energy efficiency upgrades.

Some ESIA Members are scheme participants under the ERF.

National Energy Productivity Plan (NEPP)Target

On 4 December 2015, the National Energy Productivity Plan 2015-2030 (NEP) & Target was released by the Council of Australian Governments (COAG) Energy Council. The ESIA determined that energy efficiency was factored in to deliver one-third of the 2030 emissions savings target within the NEPP 2015-2030. (See EECCA Media Release - 7 Dec 2015 for source data and analysis.)

The ESIA is advocating for the NEPP to:

  • further recognise the contribution that energy efficiency can make to Australia's emissions savings target with more impetus needed to maximise the potential that market-based energy efficiency schemes across the nation can make for further reductions.

Other relevant agreements, policy measures and programs

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