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Tasmania’s energy plan delivering nation-leading results

26 August 2021

Guy Barnett MP

Minister for Energy and Emissions Reduction

The Tasmanian Liberal Government is continuing to invest in exciting new clean energy options like hydrogen and our nation-leading renewables program.

Tasmania recently became the first Australian jurisdiction to be 100 per cent self-sufficient in renewable electricity and we have legislated to be a nation-leading 200 per cent renewable by 2040. Green hydrogen delivered by Tasmania’s renewable energy has the potential to be a key player in decarbonising the world’s environment and Tasmania is at the forefront of this technology push.

As part of the Tasmanian Budget 2021-22 we are committing an additional $100,000 to the Bell Bay Advanced Manufacturing Zone (BBAMZ) regional hydrogen technology cluster to give it the best chance of success. Bell Bay is one of Australia’s strategically important locations for development of the emerging green hydrogen industry and we are working with the Federal Government to maximise the opportunity for Bell Bay to be a national hydrogen hub. As an advanced manufacturing zone with good renewable energy availability, appropriate infrastructure, water availability and port access, Bell Bay is effectively ‘hydrogen ready’ and presents a perfect investment choice.

We have also progressed negotiations with the Australian Government to secure up to $65 million in funding and an underwriting agreement for the $700 million redevelopment of the Tarraleah Power Station. When finalised, this project would double the current generating capacity of the Station, increase its electricity delivery flexibility and also deliver up to 250 construction jobs.

The Tasmanian Budget 2021-22 also includes funding to re-establish the Tasmanian Energy Efficiency Loan Scheme (TEELS) with $30 million in loans over two years. The TEELS supports residential and small businesses, including landlords, with a three-year interest free loan to install energy efficient appliances and solar systems and the Tasmanian Government is working with Renewables Tasmania to re-establish the program.

Additionally, the Tasmanian Government recognises cost of living pressures and we are delivering some of the lowest electricity prices in the country with about 243,000 Tasmanian households receiving a 7.11 per cent decrease in electricity prices and about 29,000 small businesses receiving an 11 per cent drop in regulated prices from July 1 this year.

The Tasmanian Liberal Government is securing Tasmania’s future by delivering a plan of exciting investments into hydrogen and renewables, and downward pressure on electricity prices that will set the State up for an exciting future.