On 18 June 2008, the NSW Government announced its energy efficiency strategy as having the following three limbs: a NSW economy-wide savings target; revitalisation of the energy efficiency component of the NSW Greenhouse Gas Abatement Scheme (GGAS); and a $150m business, household and NSW agency energy efficiency program.
In terms of the NSW economy-wide savings target, the NSW Government has followed the Commonwealth Government's aspirational target to reduce greenhouse gas emissions to 60% below 2000 levels by 2050. On 27 February 2009, the NSW Government announced an energy efficiency scheme intended to build on the energy efficiency achievements of GGAS. This scheme, to be known as the Energy Savings Scheme, will commence on 1 July 2009 and will continue until 2020 unless replaced by a national scheme.
On 2 March 2009, the government provided details of the last limb of its energy efficiency strategy, being the $150m business, household and NSW agency energy efficiency program.
Business, household and NSW agency energy efficiency program The program has the following eight measures:
- NSW energy savings target - A NSW economy-wide energy savings target will be set and the state's progress against the target published every 12 months. This measure is being led and established by the NSW Department of Environment and Climate Change (DECC).
- Energy Savings Scheme -The Energy Savings Scheme as established under the GGAS will require electricity retailers to pursue additional energy efficiency measures in households and businesses. The energy savings target starts on 1 July at 0.4% of electricity sales in NSW and ramps up to 4% by 2014.
- Energy savings by large energy users - The state's largest energy users will be required to implement the cost-effective energy savings measures identified in their Energy Savings Action Plans.
- Extra training - Skilled trades and businesspeople will be trained to meet the growing demand for 'green collar' workers, such as plumbers, electricians and interior designers who are able to deliver energy-efficient design, building and other services.
- Low-income Household Refit Program - $63-million has been allocated for home energy audits and free energy savings kits to 220,000 low-income families. Householders will have energy-efficient light bulbs, water-saving showerheads and low-flow tap aerators installed in their homes and receive tailored advice on other ways to save energy. It's estimated this will help cut the average annual power bill by up to 10% or $95.
- Small Business Energy Efficiency Program - $15-million has been allocated to provide on-site advice for 6,000 small and medium businesses. Rebates will be offered to assist initiatives such as lighting upgrades and improvements to air-conditioning and refrigeration. As a result, the average small business is expected to save $7850 on power bills over 10 years.
- Expansion of the Sustainability Advantage Program - An extra $20 million has been allocated to allow DECC to work with an additional 800 medium to large businesses on leading-edge waste reduction and energy- and water-saving measures. It has been estimated that energy use in these businesses will be cut by at least 10%.
- Energy Efficiency Community Awareness Program - $15 million has been allocated to a community awareness program which will provide practical advice on how to save energy at home and work.
- Public sector energy savings - NSW Government agencies will be required to reduce energy consumption. The NSW Government Sustainability Policy includes a target to reduce emissions from energy use in government-owned or tenanted buildings to 2000 levels by 2019-20. The NSW Government is also committed to being carbon-neutral by 2020 (with Cabinet achieving this by mid-2009).
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