mark williamson - clean energy regulator
TRANSCRIPT
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Meeting the 2020 RET and opportunities in WA
Mark Williamson, Executive General Manager, Clean Energy Regulator
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Outline – what’s in this presentation
• About the Clean Energy Regulator and our purpose
• Renewables capacity in Australia
• Progress towards 2020 Large-scale Renewable Energy Target
• Supply and demand dynamics
• The prices behind the projects
• Our compliance position
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 20172
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Our purpose: accelerating carbon abatement for Australia
3Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017
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Renewables in Australia – Large-scale
Accredited under the Renewable Energy Target
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Renewables in Australia – Small-scale
Supported by the Renewable Energy Target
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Progress towards the 2020 Large-scale Renewable Energy Target
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• 6,000 megawatts of new build to be committed by 2018 and built by
2019 to meet the 2020 Large-scale Renewable Energy Target
• Commitments and build would need to happen early to provide an
adequate supply of large-scale generation certificates along the way.
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Renewables in Australia – Firmly announced
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The Investment Pipeline
Footer Details – presentation title and date 8
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Capacity (Megawatts) Generation (Megawatt hours)
Firmly announce as at 27 March 2017 Generation 2016
Estimated generation from 2016 firmly announced capacity blank
LRET 2020 Target Estimated total 2020 demand
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Supply and demand dynamics
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Supply and demand dynamics - WA 2016
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New projects in Western Australia
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2016 2017
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The prices behind the projects
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LGC Spot Price
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$20.00
$30.00
$40.00
$50.00
$60.00
$70.00
$80.00
$90.00
$100.00
LGC Spot Price2015-2017
$85.75
Large-scale RET legislated at 33,000 GWh
Final surrender date
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PPA prices “tumbling”
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Source: Origin Energy
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Our posture on compliance
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Our position remains that payment of the penalty or shortfall charge does not fulfil the
purpose of the legislation to support new generation to meet the 2020 target.
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It is in the hands of retailers to forwardcontract for the Large-scale generation certificates to cover future liability at
least cost.
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Clean Energy Regulator publications
• LGC holdings – recently published on our website
• Renewable Energy Target Annual Statement 2015
• EY Report: Meeting the Renewable Energy Target: Innovative approaches to financing renewables in Australia
www.cleanenergyregulator.gov.au
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