Mark Williamson - Clean Energy Regulator
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Meeting the 2020 RET and opportunities in WA Mark Williamson, Executive General Manager, Clean Energy Regulator
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Transcript of Mark Williamson - Clean Energy Regulator
Meeting the 2020 RET and opportunities in WA
Mark Williamson, Executive General Manager, Clean Energy Regulator
Outline – what’s in this presentation
• About the Clean Energy Regulator and our purpose
• Renewables capacity in Australia
• Progress towards 2020 Large-scale Renewable Energy Target
• Supply and demand dynamics
• The prices behind the projects
• Our compliance position
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 20172
Our purpose: accelerating carbon abatement for Australia
3Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 4
Renewables in Australia – Large-scale
Accredited under the Renewable Energy Target
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 5
Renewables in Australia – Small-scale
Supported by the Renewable Energy Target
Progress towards the 2020 Large-scale Renewable Energy Target
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 6
• 6,000 megawatts of new build to be committed by 2018 and built by
2019 to meet the 2020 Large-scale Renewable Energy Target
• Commitments and build would need to happen early to provide an
adequate supply of large-scale generation certificates along the way.
Renewables in Australia – Firmly announced
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 7
The Investment Pipeline
Footer Details – presentation title and date 8
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Capacity (Megawatts) Generation (Megawatt hours)
Firmly announce as at 27 March 2017 Generation 2016
Estimated generation from 2016 firmly announced capacity blank
LRET 2020 Target Estimated total 2020 demand
Supply and demand dynamics
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 9
Supply and demand dynamics - WA 2016
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 10
New projects in Western Australia
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 11
2016 2017
The prices behind the projects
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 12
LGC Spot Price
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 13
$20.00
$30.00
$40.00
$50.00
$60.00
$70.00
$80.00
$90.00
$100.00
LGC Spot Price2015-2017
$85.75
Large-scale RET legislated at 33,000 GWh
Final surrender date
PPA prices “tumbling”
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 14
Source: Origin Energy
Our posture on compliance
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 15
Our position remains that payment of the penalty or shortfall charge does not fulfil the
purpose of the legislation to support new generation to meet the 2020 target.
It is in the hands of retailers to forwardcontract for the Large-scale generation certificates to cover future liability at
least cost.
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 16
Clean Energy Regulator publications
• LGC holdings – recently published on our website
• Renewable Energy Target Annual Statement 2015
• EY Report: Meeting the Renewable Energy Target: Innovative approaches to financing renewables in Australia
www.cleanenergyregulator.gov.au
Meeting the 2020 RET and opportunities in WA – WA Power and Gas Conference 2017 17
