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 Static over deal on renewable energy bill 

Static over deal on renewable energy bill

19 Aug, 2009 07:15 AM
THE Coalition was confident last night of cutting a deal with the Government today on a bill mandating that 20 per cent of electricity be generated from renewable sources by 2020.

The Senate is expected to vote on the bill today but it was unclear yesterday whether the Nationals would support the legislation.

There was some unrest in the Coalition party room yesterday as to how far the Opposition should push on the bill.

The Government had linked the bill to its emissions trading scheme. After the scheme was defeated last week, the Government separated the bills. However, the level of assistance for energy-intensive industries was less than it would have been had both bills been passed.

The Government proposed interim assistance for a small group of industries, including aluminium, newsprint and silica, if the emissions scheme is not passed this year.

Cement and sugar refining, among others, will receive no help until it becomes law.

The Liberals are pushing for more assistance for aluminium. It has become a prerequisite for the shadow energy minister, Ian Macfarlane.

The shadow environment minister, Greg Hunt, provided the Government with the final list of demands last night.

Senior Liberals conceded the Coalition cannot afford politically to block this bill after last week blocking the emissions trading scheme.

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