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Australian state solar FIT scale-back makes industry ‘scapegoat’
28.10.2010
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http://www.newenergyworldnetwork.com/renewable-energy-news/by-technology/solar-by-technology-renewable-energy-news/australian-state-solar-fit-scale-back-makes-industry-%e2%80%98scapegoat%e2%80%99.html

The cutback of the solar feed-in tariff in the Australian state of New South Wales has been slammed by local suppliers as a ‘knee-jerk’ reaction which makes the industry a scapegoat for rising electricity costs.

The government of New South Wales implemented a state-wide reduction of the tariff awarded to solar installations to a third of what they were previously, to 20 cents from the previous 60 cent level.
Tony Thornton, who is CEO of the country’s largest provider of solar power systems Solar Shop Australia, said the solar industry has been made a scapegoat for a government seeking to distract the electorate from the real reasons behind rising energy costs.
‘Skyrocketing electricity prices in New South Wales are the product of the state government’s mismanagement of infrastructure, and its attempt to lay the blame at the feet of the solar industry is nothing short of shameful,’ Thornton said.
He said the government was pre-warned that the FIT was too generous and would lead to a boom or bust situation,
‘Now without any consultation, the government makes this decision to slash the solar feed-in scheme and the emerging solar industry is left to pick up the pieces,’ Thornton said.
Solar power has less than a three per cent penetration into the Australian market and Thornton said it is continued rising energy prices that is driving the average consumer to leverage on the FIT and install solar power at their homes.
Thornton said, ‘Over half of our customers are baby boomers and elderly looking to reduce or eliminate their electricity bills in retirement.’

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