Government welcomes support for expanded Capacity Investment Scheme
24 November 2023
The Albanese Government has welcomed the support from peak energy bodies, consumer groups and climate advocates, following yesterday’s announcement of an expanded Capacity Investment Scheme:
“The Australian Aluminium Council welcomes the expansion of the Capacity Investment Scheme bringing forward investment and placing downward pressure on electricity prices for consumers, including households and industry.”
"Today's announcement of an expansion of the existing Capacity Investment Scheme (CIS) and the National Energy Transformation Partnership (NETP), will greatly expand the scope of capacity contracts from the Federal Government and looks like a very helpful step to addressing fears that inadequate supply would pose to price and reliability this decade,"
“We welcome the announcement from the Commonwealth as it should provide a level of certainty for investors and consumers in these highly volatile times. We expect this approach will help facilitate the deployment of renewable energy and storage technology while working to shield Australian households and business from significant increases in energy costs,”
Energy Users’ Association of Australia (EUAA)
“Energy Consumers Australia welcomes this morning’s announcement which is both an important step in providing reliable supply to consumers and also a continued firm commitment by Federal and jurisdictional governments to achieving Australia’s Net Zero targets.”
“At a time when investment in renewables has been decreasing, the Government’s expanded Capacity Investment Scheme to 9GW, and plan for 23GW renewable energy auctions, will be critical to boosting the deployment of wind, solar and storage capacity across Australia and meeting the 82% renewable energy target by 2030.”
“The announcement by Minister Bowen to increase the CIS to 32 GW is huge boost and will provide the market with confidence as we transition Australia from a thermal past into a renewable energy future.”
Iberdrola Energy
“Today’s announcement that the Capacity Investment Scheme will expand to include 23GW of new renewable capacity is a welcome move to ensure the industry moves at pace to deliver much needed renewable energy generation.”
“…we have today welcomed news that the Albanese Government has taken decisive action to provide massive support to bring forward new investment in large-scale generation.”
“This is a massive win for Australia – cheaper power bills for all Australians and jobs and investment in regional communities right across the country.”
“This smart investment will double the amount of renewable energy, like solar and wind, in Australia’s grid today. This will make our electricity system cleaner and more reliable while bringing down power bills and securing even more power sector jobs.”
“An expanded Capacity Investment Scheme will draw investment to Australia”
Investor Group on Climate Change
“We congratulate the Federal Government’s decision to expand the capacity investment scheme to smooth the clean energy transition.”
“Clean energy investors strongly welcome this major policy initiative which will unlock significant new investment in new renewable energy generation and storage projects across Australia.”
“Today's announcement by the Federal Government opens the door to investors like HESTA to play a more significant role in Australia's energy transition.”
“Copenhagen Infrastructure Partners (CIP) in Australia welcomes the decision taken by energy ministers to expand the Capacity Investment Scheme, which will increase investment certainty and presents a significant opportunity for all renewables including offshore wind.”
Copenhagen Infrastructure Partners
Under the last Government, Australia saw 4GW of dispatchable power leave the grid with only 1 GW to replace it, and 24 coal plants with a total capacity of 26.7 GW announced their closure dates, with no policy to ensure replacement capacity.
Unlike the LNP, who want to pause the renewable and storage investment we desperately need to chase nuclear fantasies, the Albanese Government understands Australia's huge potential as a renewable superpower and are working to deliver it.