Suburb-wide electrification trials to be rolled out across Australia in bid to fuel transition away from gas | Renewable energy
Suburban electrification trials are set to be rolled out across the country under an intervention designed to help stimulate household transition from gas.
Minister for Climate Change and Energy, Chris Bowen, has formally directed Australian Renewable Energy energy The agency (Arena) is considering funding more pilot projects such as Electrify 2515, a community-led initiative to electrify 500 homes in one postcode in Wollongong, NSW.
The pilot, the brainchild of local residents and Rewiring Australia-based co-founder Saul GriffithsSubsidies are provided to reduce the upfront costs borne by families for installing solar batteries and replacing gas heaters, cookstoves and hot water systems with electric alternatives.
trial – Backed by $5.4 million in Arena funding – Received applications from more than 400 families in zip code 2515.
With Arena-backed electrification projects underway in South Africa and the Northern Territory, the agency will now look to fund trials in the ACT, WA, Queensland, Victoria and Tasmania as directed by the Minister.
The referral is the first time Bowen has used his ministerial powers to ask Arena to consider funding a particular type of project, and was part of a deal Labor struck last year with MPs David Pocock, Jacqui Lambie, Lydia Thorpe and David Vane to pass the referral. The future is made in Australia Laws.
Advocates like Griffith and Pocock believe small pilot projects could provide a roadmap for electrifying households across the country, helping to cut greenhouse gas emissions while providing cost-of-living relief.
Analysis in 2023 from the Commonwealth Scientific and Industrial Research Organization (CSIRO) It is estimated that switching to all-electric appliances and an electric vehicle could save the average homeowner up to $2,250 per year on their energy bills.
The main barrier for households to make the switch is often the high initial cost of electrical appliances, meaning any nationwide switch away from gas is likely to hinge on government support.
Guardian Australia understands Labor is considering a package to stimulate household electrification ahead of the federal election in May.
The federal government has already allocated $800 million Upgrading more than 100,000 social housing properties with energy-efficient appliances.
Pocock – who led the negotiations with Bowen – said the subsidy to help households switch to electric appliances was one of the “highest impact, non-inflationary” policies the government could introduce during the cost of living crisis.
“Globally the built environment accounts for 39% of energy-related carbon emissions, so electrification will also have a major impact in our efforts to combat climate change,” he said.
Establishing the Parliamentary Budget Office models, which Pocock commissioned in 2022It found it would cost about $11.3 million above future estimates to support the transition for 1,000 families.
Lambie welcomed Bowen’s guidance but questioned why the government had not acted sooner.
“Surely giving low-income people the opportunity to save money on their electricity bills would be a no-brainer?” She said.
“But they did not do that, but thank God we have a strong opposition bloc and the government has joined the party.”
While Arena’s independent board will decide which projects to fund, the federal government wants to run trials in every state and territory.
“Communities across Australia are seeing the benefits of the clean energy transition, and the Albanian government is providing the leadership and support they need to realize these benefits,” Bowen said.
“Arena’s pilot projects supporting household electrification will help create valuable insights into how households can transition to renewable energy sources and smart energy systems to lower energy costs and reduce emissions.”
