Government Incentive Rebates and Grants
What is the Energy Saving Scheme?
By 2030 Australia has committed to reducing its carbon emissions by 65%. To this end, electricity retailers have mandatory emission reduction targets to meet. If electricity retailers cannot meet the targets naturally and through their own operational changes, one of their options is to purchase Energy Saving Certificates (ESCs) to offset their emissions. ESCs are the tradeable currency of the Energy Savings Scheme (ESS) which creates financial incentives for organisations to invest in energy efficiency technologies.
The Energy Savings Scheme reduces electricity consumption in NSW by creating financial incentives for organisations to invest in energy savings projects. Energy savings are achieved by installing, improving or replacing energy savings equipment.
The Energy Savings Scheme is governed by NSW legislation. It places a mandatory obligation on Scheme Participants to obtain and surrender energy savings certificates, which represent energy savings. The development of the policy framework is the responsibility of the Office of Environment and Heritage and the Department of Planning and Environment, Division of Energy, Water and Portfolio Strategy. More information is available at www.energy.nsw.gov.au
The Energy Savings Scheme creates incentives for organisations to implement energy saving activities.
The Independent Pricing And Regulatory Tribunal (IPART) administers and regulates the Energy Savings Scheme. They are the government body who assess applicants to become Accredited Certificate Providers (ACP). ACPs can create ESCs based on the energy savings, provided the saving is a Recognised Energy Saving Activity (RESA). The ACP must also be compliant with the rules and regulations of the ESS.
An ESC is a representation of carbon emission reduced by the implementation of energy efficient technologies and decommission of old technology. Each ESC represents one notional megawatt hour of energy abated. The ACP can reduce the cost of the technology to the end user in exchange for the ESCs created in the upgrade. The ACP will then, provided that the technology upgrade is compliant with the ESS rules and regulations, exchange the certificate to recover the cost of the upgrade. The Green Guys Group is an accredited certificate provider.
What does this mean for my business?
To put it simply, the ESS creates opportunities for businesses in NSW to access energy efficient technologies at an affordable price. If you are an eligible business, you can receive a lighting upgrade at a greatly reduced cost in exchange for the ESCs. You receive a low cost upgrade and benefit from the energy savings for all future electricity costs.
Can I receive a Free upgrade?
At present, businesses in NSW can only receive upgrades at a reduced cost, this cost is quickly recovered through the savings in electricity.
Is it worth it for me??
To create value from ESCs you need to be an ACP and ensure that the upgrades are compliant with the ESS. You also need to create a high volume of certificates to sell to energy retailers. Because of this there is little to no value for individual ESCs per business, except to receive a highly subsidised upgrade, and ongoing savings from the energy efficient technology.
Let us help you out.
We would love to have a chat with you to see how we can assist you in finding your perfect LED Lighting Upgrade solution, and to help you better understand the government incentive schemes. You can request to have one of our specialists give you a call so that you can ask all your questions, and have them answered.
Please fill in this quick form, so that we can get in touch with you as soon as we can.
Alternatively, you can just call us!