Australian Govt. To Slash, Then Eliminate Solar Power Rebates

[hatrack]

THE Federal Government has slashed solar electricity rebates to community organisations and schools and will phase out financial incentives for residential and commercial solar power installations by the middle of next year.

The Australia Greenhouse Office, which offers cash refunds to home owners, community groups and developers installing photo-voltaic (PV) panels to generate electricity, quietly halved the maximum rebate to community organisations on January 1, from $8000 to $4000. Rebates available to private home owners will be gradually reduced until the program is closed in 2007.

Vice-president of the Australian Business Council for Sustainable Energy, Mark Twidell, said the rebate was providing the stimulus for the solar power industry. He said industry representatives would seek talks with the Federal Government over the rebate's future.

Installations of PV systems in Australia's cities declined markedly from 2003 when rebate levels to home owners were first reduced using the same $4000 cap. Solar-generated electricity is free and emits no greenhouse gas emissions, but PV systems are expensive and a considerable investment up front. Owners of PV systems can sell their power into the electricity grid, but are currently paid the same price as for power generated in cheaper coal-fired power stations.

EDIT

http://www.theage.com.au/news/national/canberra-slashes-solar-power-rebates/2006/01/15/1137259945071.html

[FloridaPat]

1. Dumb and Dumber.