Victoria’s large energy users have been included in the Victorian Energy Efficiency Target (VEET) on an opt-in basis – meaning those which have worthwhile energy efficiency opportunities will be able to join the scheme.
The scheme requires energy retailers to achieve emissions reduction targets by helping energy users improve their efficiency and has recently expanded to support a range of energy-saving activities relevant to industry.
These include a methodology where a business can design an efficiency project tailored to its own circumstances and be credited on the basis of an engineering assessment of project savings.
The expansion is said to make the VEET relevant to many more businesses.
“While the VEET has overall benefits, which companies should be conscious of, supporting efficiency projects also has costs which energy retailers pass through to their customers,” saidTim Piper, Victoria’s brand head at the Australian Industry (Ai) Group.
“For years, Ai Group has strongly argued the case that industry should bear the costs only where it can share in the benefits. We have also provided considerable analysis and advice to underpin a practical way forward and offer the best advice to Government.”
From August, sites that use more than 100 terajoules of energy or more each year will be exempt from the costs of the VEET unless they choose to opt in.
If they do so, they will be allowed to receive VEET support for their efficiency projects, but will also be required to share in the costs of the scheme.
“With electricity and gas prices at painfully high levels, there has never been a better time to use energy more productively,” Piper added.