Published on : Mar 11, 2015
Mackay Sugar has warmly welcomed the comments suggested on the Renewable Energy Target (RET) from the Environment Minister Greg Hunt. The sugar milling company holds a bright future of the RET by investing about $120 million in a facility opened in 2013. The facility manufactures renewable energy based on the by-product from crushing sugarcane.
The CEO at Quinton Hindebrand further commented that the company was motivated about the possibility around the policy. The engagement is welcomed between the Opposition and the Government as well as the Clean Energy Council to find common grounds on the level and policy agreement to the renewable energy sector in order to move forward.
RET’s future has remained unclear since the review of the scheme proposed last year. However, the current target laid down by the Labor Government is for 41,000 gigawatt hours to be sourced from renewable energy by the end of 2020. The initial arguing was declined to 26,000 gigawatt hours. But the government recently placed a figure of 31,000 gigawatt hours with the Clean Energy Council and Labor continuing to have pushed for the RET in order to remain higher.
The agreement will soon be reached and make all sides happy. The resolution on the renewable energy target is close and could offer installations on large scale renewable energy, said Mr Hunt in an agreement. This is a significant effort to move ahead.
Mackay Sugar has an agreement with the electricity provider Ergon helping it to safeguard from any lowering of the renewable energy target. Any change beyond 2019 would impact the target value of Mackay Sugar’s co-generation operation.
Mackay sugar of the renewable energy mint money by selling energy certificates to organizations like Ergon. The plant produces one third of energy in the Mackay arena. Mackay Sugar expresses that the higher the Renewable Energy Target, the better it gets. There may be some need to compromise for the emissions intensive sector over the next four years and have the policy certainty decided soon.