An independent review by the Emissions Reduction Assurance Committee (ERAC) into the Australian Federal Government’s Climate Solutions Fund has dismissed calls to access dedicated climate funding for upgrades to extend the operational life of coal-fired power generators. ERAC said that it would be difficult to estimate the impact of upgrading a coal-fired power generator on overall emissions, particularly when the upgrade would extend the generator’s operating life and lead to an overall increase in Australia’s greenhouse gas emissions.
Delta Electricity , owner of the 42-year-old Vales Point power plant in New South Wales, had been lobbying for taxpayer support to help pay for replacement of turbines, arguing that this would reduce the overall emissions of the facility. After the company’s request had been rejected, former federal Environment Minister Melissa Price request a formal review of how the fund could be used.
The $2 billion Climate Solutions Fund is one of the main pillars of the Australian Government’s climate policy intended to help it achieve its Paris Agreement goal by 2030.