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Election 2018: Jay Weatherill sets eight-year target for SA to run on 75 per cent renewable energy

CAN South Australia run on 75 per cent renewable energy? Premier Jay Weatherill seems to think so, and has announced a 25 per cent renewable storage target — the first of its kind in Australia — to support his pledge if Labor is re-elected next month.

Energy prices expected to drop from mid-2018

PREMIER Jay Weatherill has announced a 25 per cent renewable storage target — the first of its kind in Australia — to support his pledge to boost green power to 75 per cent of the state’s energy generation within eight years if re-elected.

In a controversial move set to spark national debate, Mr Weatherill will on Wednesday announce that a re-elected Labor Government would set a new renewable energy target of 75 per cent by 2025.

To help meet the target of 25 per cent storage by 2025 Mr Weatherill has committed an extra $20 million over the next four years to SA’s Renewable Technology Fund, which launched in March with $150 million in the kitty.

Read the reaction to the announcement from the Liberals and SA Best

In addition, a large-scale solar and battery “microgrid” will be installed the former Holden site in Elizabeth to supply cheap renewable energy to its tenants.

Carnegie, a renewable energy company, will deliver the $8.3m project and will receive a $3m grant from the SA Government.

SA generates 48.9 per cent of its energy from renewable sources and was set to meet the current 50 per cent target, set in September 2014, within the next year.

Doubling down on his commitment to renewable energy, Mr Weatherill insisted it was translating into cheaper power prices.

SA Greens Leader Mark Parnell, SA Best Leader Nick Xenophon, Liberal Leader Steven Marshall and Premier Jay Weaherill at the Party Leaders environment debate. AAP Image/David Mariuz
SA Greens Leader Mark Parnell, SA Best Leader Nick Xenophon, Liberal Leader Steven Marshall and Premier Jay Weaherill at the Party Leaders environment debate. AAP Image/David Mariuz

“Our projects with Tesla’s Elon Musk have generated global headlines,” he said.

“The world is now looking to SA, and we’re sending yet another signal to renewable energy leaders their investment is welcome in our state.”

California has successfully implemented a storage target on which Labor based its policy.

SA Labor has been criticised over its existing 50 per cent renewables target as the state has faced soaring power prices and the 2016 statewide blackout.

On Wednesday morning, Opposition Leader Steven Marshall labelled Mr Weatherill an “energy fraud”, and slammed the new renewable energy plan.

Federal Energy Minister Josh Frydenberg has echoed Mr Marshall’s disapproval, saying the target is “complete madness”.

But SA Best leader Nick Xenophon said he was open to supporting the plan and would release his energy policy “today or tomorrow”.

Mr Marshall told The Advertiser he believed the State Government’s target, of 75 per cent renewable energy by 2025, would only lead to higher prices at a time when South Australians were crying out for cost of living bill relief.

“(The Labor Party) have reverted to the lazy option of increasing the renewable energy target - that’s not a policy, it’s a recipe for higher prices in this state,” he said.

“South Australians are sick of sky high prices and under Labor’s plan, prices will increase even more.”

Prime Minister Malcolm Turnbull has been among the fiercest detractors, labelling it a “reckless energy experiment” which has left the state dependent on a “long extension cord into the Latrobe Valley” where energy was generated by burning brown coal.

SA Energy Minister Tom Koutsantonis said that this summer, SA’s power supply had been more reliable than the coal-reliant grids in the eastern states.

He said renewables were “under attack” from the Turnbull Government’s National Energy Guarantee.

“We now have a situation where powerful companies make huge profits from the limited

competition in the system, to extract massive profits out of customers for their shareholders,” he said.

“We are increasing the RET to send a signal to investors that we want to see more renewables and more competition in the grid here in SA.

Labor to crackdown on wage theft if re-elected in SA

“More competition from wind, solar, batteries and pumped hydro will lower bills for families and help businesses grow.”

Recent Australian Energy Market Commission modelling forecast SA households would save $150 on their power bills in the coming year and a further $150 the following year, driven by new wind and solar generation.

It would bring the state’s average annual household power cost down to $1600 but bills were still forecast to be higher that in NSW and Victoria, where typical households would pay about $1100.

SA Liberal Leader Steven Marshall has promised to abolish any state renewable energy target if elected.

SA Liberal leader announces plan if he wins government

Nick Xenophon supports the existing 50 per cent target but was yet to release SA Best’s energy policy.

The SA Renewable Technology Fund has leveraged more than $1.2 billion in proposed private investment in new projects which Labor believes puts the state well on its way to meeting the new target.

Meanwhile, Origin Energy has put in a development application to expand its Quarantine Power Station on Torrens Island by up to 180MW.

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Original URL: https://www.adelaidenow.com.au/news/sa-election-2018/election-2018-jay-weatherill-sets-eightyear-target-for-sa-to-run-on-75-per-cent-renewable-energy/news-story/b244dce21801d52135d0c5942d3ba958