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Legislation

Framework

The Office of the Renewable Energy Regulator (ORER) oversees the implementation of the Large–scale Renewable Energy Target (LRET) and the Small–scale Renewable Energy Scheme (SRES) to encourage additional generation of electricity from renewable energy sources by providing a mechanism by which small-scale systems and renewable energy power stations can create and sell certificates based on how much renewable electricity they generate or displace.

The LRET and SRES are implemented through the following legislation and regulations:

• Renewable Energy (Electricity) Act 2000
• Renewable Energy (Electricity) (Large-scale Generation Shortfall Charge) Act 2000)
• Renewable Energy (Electricity) (Small-scale Technology Shortfall Charge) Act 2010)
• Renewable Energy (Electricity) Regulations 2001
• Renewable Energy (Electricity) Regulations 2001 - STC Calculation Methodology for Solar Water Heaters and Air Source Heat Pump Water Heaters
• Renewable Energy (Electricity) Amendment (Transitional Provision) Regulations 2010
• Renewable Energy (Electricity) Amendment (Transitional Provisions) Regulations 2009

About the legislation, regulations and supporting regulations

Legislation

The legislation establishes the framework for the:

• LRET including renewable energy targets, which must be achieved over the period 2001 to 2030, liability requirements, and outlines eligibility requirements for renewable energy sources and power stations; and
• SRES including liability requirements, like the quarterly surrender of small – scale technology certificates (STCs), and outlines eligibility requirements for solar water heaters, heat pump water heaters and small generation units (small solar – photovoltaic, wind and hydro electricity systems).

The LRET and SRES are implemented through the following legislation:

• Renewable Energy (Electricity) Act 2000 - No. 174, 2000 (taking into account several amendments made by DCCEE and other government departments
• Renewable Energy (Electricity) (Large-scale Generation Shortfall Charge) Act 2000 - No. 129, 2000 (taking into account several amendments made by DCCEE. On 1 January 2011, the name of this Act will be changed to the Renewable Energy (Electricity) (Large-scale Generation Shortfall Charge) Act 2000.
• Renewable Energy (Electricity) (Small-scale Technology Shortfall Charge) Act 2010.

Explanatory Memorandum

An Explanatory Memorandum (EM) is a document that sets out how a Bill is expected to operate and often provides details of individual provisions of the Bill. An EM focuses on a Bill as it was when introduced to the Parliament. A supplementary EM may be issued if there are significant changes to the Bill.

To view the principle bill EM or amendment bill EMs visit Comlaw at http://www.comlaw.gov.au/Browse/Results/ByTitle/Bills/Asmade/Re/0/renewable%20energy%20(e/. Find the relevant bill. Follow the link and click on the ‘Explanatory Memorandum’ tab.

Regulations

The legislation is supported by the:

• Renewable Energy (Electricity) Regulations 2001 (the Regulations); and
  • The Regulations contain more detailed rules on a number of issues, including additional eligibility criteria for renewable energy sources, accreditation of power stations, eligibility requirements for solar water heaters and small generation units.
• Renewable Energy (Electricity) Regulations 2001 - STC Calculation Methodology for Solar Water Heaters and Air Source Heat Pump Water Heaters - Determination March 2011
  • This Determination is used to provide for the number of certificates a eligible solar water heater or air-sourced heat pump is entitled once listed on the Register of solar water heaters.

Supporting regulations

Supporting regulations, referred to as transitional provisions, are made so that LRET and SRES participants are not disadvantaged by certain legislative and regulation amendments. 

The following transitional provisions support LRET and SRES:  

• Renewable Energy (Electricity) Amendment (Transitional Provisions) Regulations 2010 (2010 No. 205 and 2010 No. 322)
• Renewable Energy (Electricity) Amendment (Transitional Provisions) Regulations 2009 (2009 No. 380)

Explanatory Statement

An Explanatory Statement (ES) is a document that sets out how a legislative instrument is expected to operate, and may provide details of individual provisions of the regulations. An ES will focus on the instrument as it was made, and will not normally pick up later changes.

To view the Explanatory Statements for the principle regulations or amendment regulations visit Comlaw (http://www.comlaw.gov.au/Series/F2001B00053/Amendments). Find the relevant regulation amendment. Follow the link into the regulation amendment and go to the ‘Explanatory Statement’ tab.

To find the regulation amendment ES you wish to view, you may find it easier to view the ORER’s Amendments to the regulations page which contains summaries of the proposed and completed regulation amendments from 2001 to present.  Then use the corresponding ComlawId (ie F2011L01381) or Number (ie SLI 2011 No. 116) to find the correct regulation amendment Explanatory Statement.

Amendments to the legislation and regulations

The Amendments to the legislation page contains summaries of the following amendments:

• Delivery of the enhanced Renewable Energy Target (2010)
• Expansion of the Renewable Energy Target (2009)
• The Mandatory Renewable Energy Target review (2006)

The Amendments to the regulations page contains summaries of the proposed and completed regulation amendments from 2001 to present.

The ORER regularly amends the regulations to:

• set the Renewable Power Percentage (RPP), which establishes the rate of liability. The RPP is set to achieve the interim targets as specified in the legislation for LRET;
• set the Small-scale Technology Percentage (STP), which establishes the rate of liability for SRES; and
• conduct other administrative changes as required and appropriate.

The Department of Climate Change and Energy Efficiency update the regulations to include:

• policy changes; or
• legislative changes as required due to amendments to the Act.

For more information on regulation amendment processes read the Regulatory plan.

Contacts

For administrative information contact the ORER on (02) 6159 7700 or via email at orer@orer.gov.au

For policy information contact the RET policy team at the Department of Climate Change and Energy Efficiency

 

Last updated:Monday August 29 2011