Penny Wong (SA, Australian Labor Party, Minister for Climate Change and Water) Share this | Hansard source

Senator Abetz, I will take that interjection because actually, yes, you might be surprised, it is the government who have been arguing for a market mechanism through the Carbon Pollution Production Scheme—obviously a market that is well regulated. We do think the renewable energy target needs to be complemented by significant direct support, as I said, for the development, commercialisation and deployment of emerging renewable technologies, including geothermal, and I would remind the chamber that the government have done this. We have a $4.5 billion Clean Energy Initiative, announced as part of the 2009-10 budget, which includes just over $1½ billion to support research and development of solar technologies and $465 million to establish the Australian Centre for Renewable Energy. The geothermal industry has, I am advised, received some $83 million in targeted grant support through government programs since the year 2000. Under this government, the geothermal drilling program, which is part of the Clean Energy Initiative, has seen $14 million in grants awarded in April this year, with $36 million remaining in the program. Applications under the second round of that program closed on 4 August. I also indicate that my colleague Minister Ferguson announced two successful projects under round 1, including $7 million each for the Limestone Coast project from Panax and MNGI’s Paralana project. It is also open to the geothermal industry to apply for grants to support demonstration of renewable energy technologies under the $300 million Renewable Energy Demonstration Program, which is also part of the Clean Energy Initiative.