Darebin City Council submission re: Victoria’s Renewable Energy Roadmap Darebin City Council (DCC) welcomes the opportunity to provide comment on Victoria’s Renewable Energy Roadmap. Darebin is an active member of the Northern Alliance for Greenhouse Action (NAGA) and also supports the NAGA submission to the Roadmap. DCC commends the Victorian Government for establishing a future path to more renewable energy through the Renewable Energy Roadmap. Darebin supports the government’s commitment to move to a lower carbon economy, noting that this will require significant adjustments. DCC has adopted a Climate Change Action Plan to reduce Council’s corporate emissions and to become carbon neutral by 2020. Council through its energy efficiency program and purchase of 100% GreenPower for Council facilities has reduced operational greenhouse emissions by 30 % from 2006 to 2014. Recent significant projects will improve these savings including: upgrading to energy efficient street-lighting implementation of cogeneration, pool blankets, solar hot water, LEDs and other energy efficiency technologies at two Leisure Centres additional 150kw of solar PV on Council buildings. DCC has adopted a Community Climate Change Action Plan to support the Darebin community to significantly reduce greenhouse gas emissions with a target of zero net emissions by 2020. A key platform in this program has been supporting the disadvantaged and those most vulnerable to climate change impacts. This has resulted in innovative programs targeted at low income and elderly households which are both highly represented in Darebin including: the Solar $aver program which has resulted in an addition of 545 kw of solar PV on 292 pensioners homes through the Solar $aver program and 306 kw through a bulkbuy program. Cool shade – retrofitting homes with external shading. Fan fair – providing fans and heat wave information to over 1000 vulnerable residents and Various bulk buy and retrofitting projects including the Light$mart program for business. A stronger renewable energy target in line with the climate science The establishment of a State Government greenhouse reduction target should be informed by the latest climate change science. Ideally this target will ensure that global warming is limited to 2 degrees or less1 (a target agreed to by Australia and many other nations). Through our community consultation Council understands that whilst this is a challenging task keeping to 2 degrees or less warming it is what our community expects of governments. The appropriate greenhouse reduction target would provide direction for a suitable renewable energy target. Opinion polls2 have consistently shown that Australians strongly support renewable energy. The most recent Climate Institute poll showed 84% of Australians support more solar and 69% support more wind in the electricity mix. What is abundantly clear is that coal is the least supported fuel with only 13% support. Victorians want more control in how electricity is produced and consumed and strongly support the transition to higher renewable energy mix. The Victorian Government has committed to a 20% renewable energy target by 2020, with the Premier indicating that this target will be exceeded, if possible. It is noted that the ACT government has a target of 90% renewable energy by 2020, the SA government has 50% renewable energy target by 2025, and the national Labor Party has a target of 50% renewable energy by 2030. In this context DCC encourages the Victorian Government to adopt a more ambitious renewable energy target and one in line with the climate science. Well-funded and planned transition away from fossil fuel based economy DCC recognises that Victoria’s electricity supply needs to decarbonise in order to contribute to Australia’s emissions reduction targets and to remain competitive into the future. To reach these targets Victoria’s must increase its share of renewable energy. The Victoria Government should therefore provide the appropriate regulatory and policy framework which assists the development of and investment in renewable energy. Fossil fuel generation costs are predicted to rise whilst renewable energy costs decrease. Large scale renewable energy is already cost competitive with new fossil fuel generated electricity in several examples throughout the world. Multiple independent studies3 have shown that Australia’s electricity supply can be 100% renewable by 2050 without significant departure from business-as-usual costs. 1 http://www.climatechangeauthority.gov.au/chapter-3-global-emissions-budget-2-degrees-or-less Climate of the Nation 2015 – Australian attitudes to climate change, The Climate Institute, August 2015 3 Elliston, B, MacGill, I & Diesendorf, M. (2014) 'Comparing least cost scenarios for 100% renewable electricity with low emission fossil fuel scenarios in the Australian National Electricity Market', Renewable Energy 66:196204. Australian Energy Marker Operator study into 100% renewable energy by 2030 and 2050. 2 Likely advances in roof top solar PV and cost competitive battery storage will result in further uptake of residential generation. The Victorian Government should continue to encourage renewable energy that will displace existing fossil fuel generated electricity through appropriate regulation and policy. A well planned and funded transition from fossil fuels to renewables will provide less disruption for those sectors of the economy that are negatively impacted by this transition. A planned transition will have positive impacts for training opportunities and new employment in the renewable and low carbon economy. The renewable energy industry has the capacity to employ many more people than the fossil fuel industry. Addressing barriers to renewable energy and storage DCC strongly supports the Victorian government commitment to address barriers to the development of distributed generation and energy storage. The electricity market consistently fails to recognise the true value of decentralised renewable energy systems. It is appropriate the Victorian Government review the mechanism for determining a fair price for a Feed-in-tariff. Excessive fees for solar connection at the residential or commercial scale are also matters to be considered and reviewed. The uptake of energy storage can support the existing network and make the network more resilient. Council supports Government leadership in policy and program support for these emerging technological developments. Council is concerned that electricity market uncertainties may reduce the uptake of energy storage systems. DCC encourages the government to provide the appropriate program support measures to incentivise the uptake of energy storage at both residential and commercial scale. DCC supports the uptake of solar PV by low income households and community groups. It is noted that there are significant barriers to many households (rental and higher density units) to participate in the renewable energy transition. Leadership by the Victorian government to provide simpler licensing arrangements for community and not-for-profit owned renewable energy projects would be most welcome and allow greater community participation in the energy transition. DCC also supports the government’s intention to ensure all local governments in Victoria have access to Environmental Upgrade Agreements. DCC has used the ‘Special Charge’ Rate provisions of the Local Government Act to establish the innovative and award winning Solar $aver program – see more details below. Changes to local government regulations which facilitate and reduce unnecessary administrative barriers for ‘voluntary participation’ in schemes such as Solar $aver would be http://www.climatechange.gov.au/reducing-carbon/australian-energy-market-operator/100-centrenewables-study-modelling-outcomes The Zero Carbon Australia Stationary Energy Plan, released in 2010 by Beyond Zero Emissions and the Melbourne Energy Institute, showed how Australia could run on 100% renewable energy in a decade. https://bze.org.au/media/releases/100-renewable-energy-advocates-validated-new-report-130501 a great example of how the Victorian Government can facilitate and expedite the transition to a renewable energy economy. Darebin Solar $aver Program demonstrates that solar PV is beneficial for low income homes and should be supported. DCC has established a leadership position in terms of managing greenhouse gas emissions from Council operations and in working with the Darebin community to facilitate community emissions reduction and respond to increasing energy costs. DCC has adopted a Community Climate Change Action Plan that sets an ambitious carbon neutral target for the Darebin Community by 2020. Through the new Solar $aver program solar energy is affordable and beneficial for low income households. DCC is using a Council ‘Special rates scheme’ to allow pensioner homeowners to pay solar PV back over 10 years. This project is providing economic, social and environmental benefits to our community and has the potential to help low income homes across Australia. Further information on this program is contained in our website at: http://www.darebin.vic.gov.au/en/Darebin-Living/Caring-for-the-environment/EnergyClimate For further information about this submission please contact: Gavin Mountjoy Environmental Strategy Coordinator Darebin City Council