Linking electricity and safeguards could make wind projects viable, and oblige gentailers to actually Do Something

Linking electricity to the federal government's safeguards mechanism scheme would cover over half of Australia's emissions and provide price support for renewables, incentivizing the purchase of new renewable energy certificates by gentailers. The proposal aims to bring electricity sector emissions into safeguards with a baseline of 114 million tonnes, declining 6% annually, with renewable electricity certificates eligible as compliance units. This inclusion significantly increases abatement demand, with 15 GW of new renewables expected to receive price support by 2036. The article also discusses the impact of a growing gap in the closure schedule of coal plants on prices and supply in the carbon market, highlighting potential abatement outcomes.

https://reneweconomy.com.au/linking-electricity-and-safeguards-could-make-wind-projects-viable-and-oblige-gentailers-to-actually-do-something/