Federal Energy Minister Angus Taylor has ruled out scrapping the Small-Scale Renewable Energy Scheme (SRES), telling The Guardian the government has no plan to change it.
“The SRES and the large-scale renewable energy target are around until 2030,” he said.
“They fade between now and 2030, there’s decline as technology continues to improve. That’s our position.”
When asked if the government would scale the SRES back or change it, Mr Taylor said the deeming rates fall every year between now and 2030.
“We are not proposing to change that,” he said. “That’s designed to ensure the subsidy comes off as technology continues to improve.”
Related article:Craig Kelly: Coalition must ditch SRES subsidies
The Smart Energy Council said the announcement was a huge win for the solar industry.
“The Smart Energy Council and Solar Citizens have campaigned hard to maintain the SRES,” the Smart Energy Council said.
“We could not have achieved this fantastic result without the strong support of the solar industry and solar homeowners around Australia, as well as strong support from the ALP and Greens.”
The announcement comes after prominent Liberal party backbencher Craig Kelly last week called for the Coalition to scrap the current SRES subsidies for households and businesses.
Mr Kelly said the Morrison Government needed to wind up the scheme, which the ACCC recommended to be abolished as well.
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What is the SRES?
The SRES creates a financial incentives for individuals and small businesses to install small-scale renewable energy systems. This is facilitated through the creation of technology certificates which renewable target liable entities have a legal obligation to buy and surrender to the Clean Energy Regulator on a quarterly basis.
The following systems may be entitled to small-scale technology certificates:
- solar photovoltaic (PV) panels
- wind turbines
- hydro systems
- solar water heaters, and
- air source heat pumps.