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Australia energy group warns of renewables slide
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AUSTRALIA: October 18, 2001


MELBOURNE - The Sustainable Energy Industry Association of Australia said yesterday that renewable energy risked losing market share after a mandated government target for its use expired at the end of the decade.


Sustainable Energy Industry Association policy director Peter Szental said the target for electricity retailers to source an additional two percent of their energy from renewables by 2010 needed to be increased and extended.

"All the evidence is that without some additional measures the percentage of renewable energy in the total mix will start to decline from 2010," he told Reuters.

"We are calling on the government to increase the targets and extend the period, especially if we want to meet our Kyoto commitments."

High greenhouse gas emissions from the electricity industry's dominant coal-fired generation is a major issue for Australia, which has said it will limit emissions growth to 108 percent of 1990 levels by 2010.

The Coalition Government, which faces a Federal election on November 10, has yet to commit to ratifying the treaty, while the Opposition Australian Labour Party favors ratifying the treaty.

The SEIA said the Australian Bureau of Agricultural and Resource Economics (ABARE) forecasts for rising renewables use were optimistic.

ABARE forecast renewables use would grown by 2.6 percent a year from 1998/99 to 2019/20.

Szental said the renewable industry wanted the two percent target lifted to five percent by 2005, and 10 percent by 2010, rising by 1 percent thereafter until by 2050 renewables accounted half the electricity used.

It has also proposed a five percent target for co-generation by 2020 and a five percent reduction in energy use through improved efficiency by 2010.


REUTERS NEWS SERVICE

Reuters



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18 OCT 2001
ENVIRONMENT
NEWS

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