Wednesday, 2 August 2023

Environment and Planning Committee

Inquiry into Renewable Energy in Victoria

Sheena WATT (Northern Metropolitan) (17:29): I rise to speak on the Victorian government’s response to the Environment and Planning Committee’s report on the inquiry into renewable energy in Victoria, and in doing so I would like to note the nation-leading work that the Andrews Labor government is doing to cement Victoria’s position as a world-class renewable energy powerhouse. When the EPC’s final report on the inquiry into renewable energy in Victoria was handed down in the last term of Parliament, it highlighted one key thing: that when it comes to transitioning to renewable energy, the Andrews Labor government is delivering.

Since coming to government we have not wasted a moment in getting on with the task of securing a clean, green future for generations to come. We have set ambitious renewable energy targets of 65 per cent by 2023 and 95 per cent by 2035. We are set to be decarbonising at one of the fastest rates in the world, with our world-leading emissions reduction target of 75 to 80 per cent by 2035 and net zero by 2045. We have invested $1.6 billion into clean energy, the largest investment of any state ever, and committed to bringing back government-owned energy with the SEC, which will cut the cost of household electricity bills, create thousands of jobs and help maximise the potential of Victoria’s transition to renewable energy. The government’s response to the EPC inquiry into renewables is just further proof that we are not just talking about combating climate change, we are actually getting on with delivering.

I would like to bring your attention to just one of the many aspects of this report that we are taking action on: assisting households in the transition away from gas. The gas sector contributes around 17 per cent of Victoria’s net greenhouse gas emissions, so electrifying households and businesses across the state is an important step on the road to meeting our emissions reduction targets. In 2022 the Andrews Labor government released its gas substitution road map – and I was delighted to be at that event – the first road map of its kind in the nation, which details how we will use energy efficiency, electrification, hydrogen and biogas to cut carbon emissions and save Victorians money on household bills while doing it. In fact going all-electric can save new home owners around $1000 per year, or over $2200 with solar installed, while converting to an all-electric home can save households $1250 a year, with a further $950 in savings if you have an existing solar system.

We are also making sure that all Victorians, including low-income and disadvantaged energy users, can make the transition away from gas, which was a key direction of the gas substitution road map and one of the recommendations made in the EPC’s initial report. Through the Big Housing Build we are ensuring that all new social and affordable housing units are energy-efficient, with all-electric specifications pursued where possible. Our energy efficiency in social housing program is also upgrading major gas appliances in 35,000 social housing properties to energy-efficient electric alternatives. This work is supported by the Victorian energy upgrades program, which offers up-front incentives for households and businesses looking to reduce their gas use by installing new equipment, like energy-efficient electric water heaters, to support their energy transition.

All of this is of course underpinned by our recent announcement that from 1 January 2024 gas connections to new homes will be banned. This means that all new public buildings, like schools and hospitals, as well as new homes and residential subdivisions, including public and social housing, will only connect to an all-electric network, making cooking and turning the heat on not only more affordable but also better for the planet.

It would be remiss of me not to acknowledge the incredible powerhouse of work that the Honourable Lily D’Ambrosio, the Minister for Energy and Resources, Minister for the State Electricity Commission and Minister for Climate Action in the other place, has put into positioning Victoria as leaders in climate action. As Minister D’Ambrosio notes in the report response, ‘addressing climate change is a collective endeavour’, but the significant strides Victoria has made in the fight for climate justice could not have been possible without her leadership, so I would like to acknowledge that.

We of course hear a lot of talk in this place about climate change, but only the Andrews Labor government is walking the talk when it comes to real climate action and building a better, healthier planet for future generations to enjoy.