Liberal Senator Guy Barnett has called on the Federal Government to introduce legislation to support renewable energy projects such as the Musselroe Bay wind farm as a matter of urgency.
"The Government had planned to introduce legislation on renewable energy targets midyear to take effect from 2011," Senator Barnett said.
"This is not good enough – northern Tasmanian jobs are on the line now.
"This legislation needs to be introduced as a matter of urgency and the Government's proposed start date needs to be as soon as possible in 2010.
“Labor's policies have caused the price of renewable energy certificates to fall dramatically, which has stalled investment in wind farms around Australia.
"This has led directly to the Musselroe Wind Farm project being put on hold and workers being stood down indefinitely.
"The Government claims this legislation will fix the problem, but there is too much at stake to wait until midyear.
Senator Barnett last week moved a motion that was passed by the Senate condemning the Federal Labor Government for it’s failure to support major renewable energy projects, threatening the projects such as the Musselroe Bay wind farm. The motion was passed on the voices, but was opposed by the Government, including Tasmania's Labor Senators.
Two days later, Minister Wong made an announcement that legislation would be introduced in support of renewable energy projects, but not taking effect until 1 January 2011.
"The Musselroe Bay wind farm will cost more than $400 million for 56 turbines delivering 168 megawatts of power. The company has already spent more than $20 million and Roaring 40's has the full support of the Dorset Council and the local community.
“The Government needs to work with the Coalition to ensure this legislation is drafted correctly.
"We can't afford any more incompetence or lack of action on this major project," Senator Barnett concluded.
Attached: Text of Senate Motion as passed in the Senate – 24.2.10
Notice of Motion 706 – 24 February 2010
Senator Barnett: to move – that the Senate notes:
1. Major flaws in the design of the Federal Government’s Renewable Energy Target legislation have led to a dramatic drop in the price of Renewable Energy Certificates and stalled investment in the Renewable Energy Sector;
2. That the Federal Government was warned of these flaws by industry and the Opposition parties but chose to ignore these warnings;
3. The Federal Government’s failure to act is now threatening the financial viability of major renewable energy projects such as the Musselroe Bay Wind Farm project in North East Tasmania; and
condemns the Government accordingly.