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TO: <your local MP name> <address> CC: The Honourable Anna Bligh PO Box 15185 CITY EAST Queensland 4002 Hon. Geoff Wilson PO Box 114 ARANA HILLS Queensland 4054 <Date> RE: Feed-in Tariffs for renewable energy generation Dear <local member’s name>, I believe that a move toward renewable energy is an essential means of addressing climate change, and solar photovoltaic (PV) micro-generation has an important role to play. To that end, I welcome the Queensland state government’s commitment to consider a feed-in tariff for solar electricity generated on rooftops and fed into the electricity grid, however I wish to express my concern with the uncertainty surrounding the design of the scheme. Upon announcing the scheme in Parliament, Queensland Premier Anna Bligh said year “the Solar Bonus Scheme will pay households and businesses 44c for every kilowatt hour generated from solar power systems at work and at home and then fed into the grid”. I believed this to mean that the scheme would be paid on the total production from PV systems, as in the case of all the 45+ schemes internationally. However, since then there have been a number of mixed messages from both the Premier and the Minister for Mines and Energy, Geoff Wilson. This has culminated with the information published by the Department of Mines and Energy (DME) on their website indicating that the feed-in tariff would be paid on the excess electricity generated and fed into the grid, after in-home consumption. This is a very different scheme to that proposed by the Premier with widely different results and implications to grid-connected solar PV system proponents. The scheme as it is now being proposed by DME, based on import/export metering, has significant flaws and drawbacks when compared with a feed-in tariff mechanism based on gross production metering. Import/export metering significantly discriminates against both owners of smaller grid-connected systems and those who are more likely to consume electricity during the day, such as senior citizens or stay-at-home parents. In cases such as these, where instantaneous system production rarely exceeds household consumption, system owners rarely exporting electricity to the grid would not be able to receive the benefit for premium feed-in rates offered, and thus would gain very little financial return on their investment. Further, any return on investment is greatly uncertain as it depends on both the generation of the system and the in-home habits, which change over time. And a system of net export metering creates significant uncertainty in the market, both in terms of potential financial return from the feed-in tariffs for the system owner, and in the cost of the system for the government and wider community. For a feed-in tariff to create a guaranteed level of take-up, it is essential that it is paid at an adequate rate, for a long enough time, and on the total production of the solar system. I call on the government to mandate a feed-in tariff at 60 cents per kWh for at least 15 years; and, most importantly, paid on the entire output of a system via gross production metering. A feed-in tariff set at this level will provide the necessary incentive for individuals to invest their personal finances into solar PV systems, safe in the knowledge that the price paid for electricity generated will adequately pay back this investment over the next 15 years. Feed-in tariffs have been remarkably successful in over 40 countries internationally, and an adequate feed-in tariff in Queensland has the potential to build an industry in sustainable solutions to climate change, provide an alternative to polluting coal, and position the state as a leader in renewable energy in Australia. Climate change is one of the greatest threats facing Queensland. I trust that you, as my elected representative and Ministers, take this issue seriously and ensure that this policy measure delivers a major expansion of renewable energy leading to real reductions in greenhouse gas pollution. I ask for clarification from you on what you believe is the intended metering and billing to be used in the Queensland feed-in tariff scheme, and urge you to only support the Queensland Solar Bonus Scheme if it is paid on the gross production from solar PV systems. Failure to do this will result in a second-class feed-in tariff scheme which will achieve few of the potential benefits such schemes have realised internationally. Yours sincerely, < Insert your name here>