• A Contract for Difference (CfD), where the shortfall between the cost to produce renewable gas and the price it can be sold for is covered by the government for an established period of time. [...] Based on these targets and the assumed additional cost per GJ to produce biomethane and hydrogen compared to natural gas, the total cost until 2030 in addition to the status quo for the low ambition scenario is $370M, $1.87B for the medium ambition scenario and $4.0B for the high ambition scenario. [...] generation in Australia, and 20 years later it was 26.7% of the generation mix,7 thanks in significant part to the investments stimulated by the RET and the reductions in renewables technology costs that the scheme helped to drive in the Australian context. [...] If costs were passed onto households and businesses for the proportion of renewable gas that goes to the distribution network, the cost per household/commercial connection per year in 2030 would be $2 for the low ambition scenario, $33 in the medium and $68 in the high ambition scenario. [...] This is comparable to the early consumer costs of the RET, which have been estimated in the range of $50-$100.8 If Option Two (CfDs) were taken up, and none of the costs passed to consumers, government would fund the costs to 2030.
Authors
- Pages
- 9
- Published in
- Australia
