Abbott government looks to block CEFC’s rooftop solar investment

Facebook
Twitter
LinkedIn
Reddit
Email

Australia’s Clean Energy Finance Corporation (CEFC) has been told by Prime Minister Tony Abbott that it can no longer invest in rooftop solar and wind projects.

A draft mandate has been passed to the CEFC for consultation that stop the so-called green bank from funding packages to reduce the cost of household renewable energy installations.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

The CEFC responded with a tempered statement confirming that it was seeking legal advice and reassuring investors that existing deals would not be affected by the new mandate. As recently as this month, the CEFC agreed a AUS$100 million (US$77 milion) deal to back a solar leasing programme.

“The Corporation is taking advice in relation to the draft mandate and will respond to the Ministers in accordance with the procedure set out in section 66 of the Clean Energy Finance Corporation Act 2012 and will be providing any substantive comment on the mandate in that context,” the CEFC said.

The government has defended itself claiming that it is only redirecting finance to less established technologies as it had always said it had done.

John Grimes, CEO of the Australian Solar Council, hit out at the proposed changes claiming they would impact the poorest first.

“A key focus for the CEFC has been innovative finance models that allow low-income earners, people living in apartments, small businesses, nursing homes and churches to get solar and slash their power bills,” said Grimes.

“By prohibiting the CEFC from investing in solar projects, the Abbott government is stopping the most vulnerable from slashing their power bills”.

“This is about punishing solar families and businesses who stood up to him during the review of the Renewable Energy Target. Now he is using any means available to him to get even,” added Grimes, referencing the drawn-out dispute over the country’s renewable energy target (RET), which Abbott was keen to see abolished. After protracted negotiations with the Labor oppostion a reduced target was passed.

Read Next

June 6, 2025
Independent power producer (IPP) NOA Group has reached financial close on a 349MW solar PV project in South Africa.
June 6, 2025
France has registered zero or negative energy prices for 90% of days in May 2025, according to data from energy storage developer Storio Energy.
June 6, 2025
rPlus Energies has secured more than US$500 million for an 800MW solar-plus-storage project in Emery County, Utah, US.  
June 6, 2025
Eternal Sun has acquired German solar simulator provider Wavelabs, which has resulted in the formation of a new subsidy, Wavelabs Eternal Sun.
Premium
June 6, 2025
Europe must secure the 'strategic segments' of the solar supply chain, according to experts at a PV Tech panel at this year's Intersolar event.
June 6, 2025
Australia’s Solar Energy Industries Association (SEIA) has called on Australia’s climate change and energy minister, Chris Bowen, to “urgently intervene” on a rule change that could threaten to derail the uptake of rooftop solar PV.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
June 17, 2025
Napa, USA
Upcoming Webinars
June 30, 2025
10am PST / 6pm BST
Solar Media Events
July 1, 2025
London, UK
Solar Media Events
July 1, 2025
London, UK
Solar Media Events
September 16, 2025
Athens, Greece