The report – Quick clean energy jobs for Victoria – is being released ahead of the Victoria state election. It includes five clean energy ideas to create hundreds of jobs at no additional cost to consumers. Instead, it could reduce state spending.
The focus is on solar technologies and energy efficiency. The CEC says that the cost of the proportional discount given to low income households on their power bills could be reduced if their hot water systems were replaced with solar hot water systems.
“Bringing forward budgeted payments to fund solar hot water systems could create new jobs, lock in savings to state budget by tens of millions of dollars and help households to reduce their power bills – all while increasing clean energy use across the state,” the report says.
The report also suggests cutting red tape for commercial solar projects – red tape which it says has made Victoria the “least attractive place” in Australia to invest in innovative financing models for commercial solar – and allowing for ‘three-way contracts’ to help renters or low-income home owners to lease rather than buy a solar power system.
It points out that because of the dramatic reduction in the price of solar panels over the last few years, a home solar system is now affordable for households on lower incomes. The suburbs with the greatest concentration of solar households are the places where the average household is on a low or fixed income, such as Hoppers Crossing and Tarneit.
But the price of solar was only one of the barriers limiting uptake of the technology, and so the reduction in prices hasn’t made solar available to everyone. Aside from cost, the other main barrier to solar is a lack of legal right to install a system (for renters or public housing).
That barrier, the CEC, has created unmet demand for solar. Action from the Victorian Government to help remove those barriers could create a wave of new investment in solar over a short period of time, creating new jobs across the state.
And it recommends the state government revisit insulation in low-income and rural households in Victoria.
“All the negative media coverage around the Federal Government’s home insulation program has scared off policymakers from going anywhere near it, but the reality is that those issues can be sensibly addressed and insulation is another area that represents a massive opportunity for Victoria,” CEC acting CEO Kane Thornton said in a statement on Wednesday.
“By making insulation eligible under the Victorian Energy Efficiency Target, extending the target and introducing an accreditation and training scheme, there is the potential to deliver jobs for tradespeople while helping households to save on their heating and power bills.”
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