The Australian government is passing through an ‘uncertainty’ scenario due to climatic change and renewable energy sector. However, the decision taken by government was to play down the governmental support to renewable energy that leads the sector into serious menace.
Image Credits: Re-Innovation
According to Stacy Nichol’s, a founder of small electrical business at Queensland’s Gold Coast hired 6 people early this year. Nevertheless, the time when the government publicized its plans in front of the nation with respect to renewable energy, she forced to cut down his workforce to reach at 2 employees.
Ms Nichols reported that, "I have a van set up for solar work sitting on the street, with no solar work or staff due to Tony Abbott, a prime minister"
Most of the companies associated with the renewable energy sector such as dealing in solar and wind energy operatives have been hugely affected as a result of decision taken by the government. Moreover, it would further impact the annual renewable energy generation targets of 41,000 gigawatt hours (GWh) to 27,000 gigawatt hours (GWh) by 2020.
The government responds that the decline in renewable energy target is mainly caused of a cut in overall consumption in electricity due to high power rates. The government added that the new targets will grant them certainty to the renewable sector.
the new target still has to make its way through parliament either with the support of the Labor opposition or of a number of independent senators in the Upper House - neither of which is a sure thing.
The new targets still needs to pass via parliament with the help of labor opposition or through independent senators, and this is more likely to be impossible. In anticipation to this settlement, businesses men linked with renewable energy sector are encountering with vague future outlook.
This tragic move not only a devastator for the small renewable energy operators but hurt the giant ones such as Keppel Prince Engineering, a leading wind turbine tower manufacturers located in Victoria who claimed that, the verdict of government had cut off the jobs of 100 employees from our company and pose the clouds of disappointments over the industry. Similarly, many companies like Pacific Hydro and Hydro Tasmania have been infected with this announcement.
The sack in the RET will vigorously influence over the Australian’s renewable energy sector which is the contributing 21,000 career opportunities countrywide, said Clean Energy Council.
The reduction in RE targets would cause 64% drop in overall prospective investment and badly hit the renewable energy industry. Kane Thornton, CEO of the Council added that, “consumers will end up paying higher, not lower power bills because of the cut in supply.”
This reduction will drive the renewable energy generation towards the darkness, he said.
