It is great to see that the NSW government has decided not to go ahead with its decision to retrospectively reduce the amount paid for electricity generated through a Solar Bonus Scheme. It was intending to reduce the payments from 60 cents per kilowatt hour to 40 cents, despite people being told (by the previous government) that the price would remain at 60 cents until 2016.
I strongly support the price of electricity going up because for too long, dirty energy has been subsidised. If we had been paying a true price for the environmental damage being done by coal and oil, our energy use would have been very different. Business would have been encouraged to be energy-efficient. Consumers would have considered the how much energy their purchases would use (and not just the initial price).
We need to invest in the renewable energy, and drastically reduce our energy use, particularly our reliance on coal and oil. I’m not sure that the generous Solar Bonus Scheme was the most effective way to invest in renewable energy, but once it was introduced it was quite unfair to retrospectively reduce the guaranteed price.