The managing director of the Lal Lal wind farm project says the federal government’s renewable energy target (RET) review has created a toxic environment, causing uncertainty for investors and green energy developers.
WestWind Energy is behind the 64-turbine development to be built near Yendon by April 2017.
WWE’s managing director, Toby Geiger, said some early civil works had been undertaken, but the RET review had led to very significant uncertainty about the project’s future.
“It’s to the point where overseas investors I’ve been talking to have commented that the political environ- ment on renewables in Australia is toxic,” Mr Geiger said.
“It’s very sad that word has spread overseas.”
The federal government is currently reviewing the operation, costs and benefits of the RET scheme.
The RET was developed to ensure 20 per cent of Australia’s electricity comes from renewable sources by 2020.
A decision is yet to be made about the renewable energy targets, which Mr Geiger said had brought prospective green energy developers to a standstill.
“Nothing will go ahead until the review is completed, and we’ve been given no specific date,” he said.
Mr Geiger said it would be ideal for the Lal Lal project, costing about $300 million, if the legislation remained the same.
“It would create investor confidence again, and we can continue to work in earnest,” said Mr Geiger.
“If they make changes that affect small-scale energy, it won’t affect us much.”
The 64-turbine project is expected to generate electricity to power 44,000 Victorian homes and create 45 jobs once construction is complete.
“It will generate $2.25 million for the farmers whose land has turbines, and $720,000 per annum for community projects,” Mr Geiger said.
“But right now, everything’s contingent on the energy target’s timing and size.”
For more information, visit: www.retreview.dpmc.gov.au
