Victorian Government pulls the plug on energy efficiency

21st May 2014

From the 'kick them while they're down department':

"This morning, the Victorian Government announced its intent to close the Victorian Energy Efficiency Target (VEET) scheme on the back of incredulous modelling results. 

"The Government will:

  • Keep the 2014 target at its current 5.4 million certificates
  • Reduce next year’s target by over 60 per cent  to 2 million certificates
  • Close the scheme at the end of 2015

"The Government’s modelling:

  • Understates the benefits of energy efficiency
  • Overstates the costs of energy efficiency and the VEET scheme
  • Suggests that reducing energy consumption is bad for the economy

"Green Energy Trading is currently working with key industry associations, including the Energy Efficiency Certificate Creators Association (EECCA), to analyse and document the flaws in the Government’s modelling.

"We believe it is important that Victorians know the truth, by receiving a more complete and accurate assessment of the costs and benefits of our energy efficient activities.

"Green Energy Trading has not given up. There is the question of the state election in November. The Labour opposition is on record as supporting the VEET scheme and, should they win this coming election, there is the chance of a reprieve."

Ref: Green Energy Trading Media Release 21/5/14


The Age report by Tom Arup (21/5/14) can be found at

It includes:  "Victorian Greens leader Greg Barber said scrapping the scheme would see energy bills and greenhouse gases rise. This first decision by the new Energy Minister Russell Northe is a stinker. Expect many more like it. He's a captive of the coal industry', Mr Barber said."


Energy efficiency reduces the need for electricity from dirty coal-fired power stations. That must be bad for the economy!