Feds favour large-scale solar over wind

Jul 13, 2015, updated May 13, 2025
Wind turbines near Burra
Wind turbines near Burra

The Federal Government says the nation’s so-called green bank is doing what it was meant to do – funding large, not small-scale, solar projects.

Labor believes a government investment ban on wind energy has been extended to projects such as rooftop solar, based on a second revision of a directive to the Clean Energy Finance Corporation.

South Australian Treasurer Tom Koutsantonis says the directive to the CEFC could put at risk “thousands” of South Australian jobs.

But Finance Minister Mathias Cormann says the new directive takes the CEFC back to its original policy to focus on new, rather than established or “mature”, technologies.

Investing in wind farms wasn’t what the corporation was set up for, he argued.

“While the CEFC continues to exist it should focus on the next opportunity – large scale solar and better energy storage,” he told ABC radio on Monday.

“We want to push it to the next level.”

 SolarReserve's 110-megawatt solar energy plant with storage.
American company SolarReserve’s 110-megawatt solar energy plant with storage in the Nevada desert.

Koutsantonis today tried to link the federal decision to South Australia’s growing unemployment crisis.

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“While Tony Abbott thinks wind farms are ‘awful’ – we know they are a crucial industry in this state and a source of immediate and future job opportunities for South Australians,” Koutsantonis said.

“The renewable energy sector supports more than 3000 jobs in South Australia – about 40 per cent of these jobs are in the regions.”

Climate Change Minister Ian Hunter said renewables contributed to 39 per cent of total power generation in SA.

He said he would be meeting with other climate change ministers this weeks and “we will be calling on the Federal Government to end its ideological opposition to renewable energy”.

Asked if the government was taking a back-door approach to nobbling the corporation, Environment Minister Greg Hunt said, “I respectfully and categorically disagree”.

“Its purpose was to focus on innovation.”

Renewable energy advocates have been enthusiastic supporters of the potential for large-scale solar in South Australia, particularly in Port Augusta where the coal-fired power station is set to close.

READ MORE: Saving Port Augusta: a blueprint from afar

– with AAP

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