Bill Shorten, Labor promise $10bn for clean energy to boost renewables projects

Bill Shorten has promised $10bn for renewable energy projects, under a plan he says will create thousands of jobs.

Labor has promised $10 billion for the Clean Energy Finance Corporation if it wins the next election. Picture: AFP

Bill Shorten has announced a $10 billion capital injection for the Clean Energy Finance Corporation to turbo charge investment in renewable energy projects and a new $5bn fund to upgrade Australia’s transmission and distribution systems.

The Opposition Leader said Labor would also advance micro-economic reform by making available $20,000 grants to manufacturers who wanted expert advice on how to reduce “energy waste” and improve their competitiveness.

Labor would be guided by a 10-year plan aimed at delivering cheaper prices, cutting pollution and creating thousands of new jobs in the renewable energy sector.

Its policy is founded on a 50 per cent renewable energy target and the goal of reducing emissions by 45 per cent on 2005 levels by 2030.

Mr Shorten also revealed that Labor would commit $100 million to the creation of a system of new “community power networks” around the country to help boost local renewable energy projects. The funds would go towards the provision of legal and technical advice to assist locals in taking their own steps to tackle climate change and reduce power bills.

The announcements come on top of the centrepiece of the new ALP plan — to install one million new household battery storage systems by 2025 and help Australian homes to “save over 60 per cent of their bill”.

“Solar panels, plus battery storage, are the conservative, commonsense option,” Mr Shorten said. ‘What can be more conservative than storing energy?”

“Power generated during the day, when perhaps the parents are at work, the kids are at school and there’s little demand for energy, can be stored and put to use in the evening”.

“It just means, I’m pleased to say, the end of that silly slogan about solar not working when the sun isn’t shining”.

The battery plan would commence in 2020 and provide a $2000 rebate for households with an income of less than $180,000. The rebate will be limited to one battery system per home and will not be available for households that have already received the subsidy through state based schemes.

Safety would be a key priority in installations.

“Batteries will have to meet the highest safety and product standards, and installers will have to be licensed electricians with additional specialised training,” Mr Shorten said. “And we’ll provide $10 million to boost the Clean Energy Regulator’s auditing and inspection regime ... I will always insist on the strongest possible workplace health and safety standards”.

Speaking in Sydney, Mr Shorten said the new $5bn fund proposed by Labor would help “facilitate and finance essential upgrades” to key energy infrastructure.

This would include the upgrading of interconnectors across Victoria and NSW as well as the building of new ones like a second connection across the Bass Strait.

The extra funds for the CEFC would double its original capital. Mr Shorten said a Labor government would “use a range of tools to invest in projects and underwrite contracts for clean power generation”.

This would include “concessional loans, equity and contract-for-difference auction schemes”.

The Electrical Services Union backed Labor’s energy policy today but said they wanted Mr Shorten to go further and return all electricity networks to public ownership.

“The ALP’s announcement will go a long way to improving the energy industry from the perspective of jobs, emissions and costs,” ETU secretary Allen Hicks said.

“We believe if Labor holds to this investment strategy policy, it will go far in supercharging Australia

as renewable energy leader. If delivered properly, by licenced electricians, the public can be

confident it will be done safely and will deliver good job opportunities into the future.”

“But the ETU will continue to campaign to see our electrical networks returned to full public ownership.”