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Legislative Council - Fifty-Fourth Parliament, Second Session (54-2)
2020-07-02 Daily Xml
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Statutes Amendment (Electricity and Gas) (Energy Productivity) Bill

Second Reading

The Hon. D.W. RIDGWAY (Minister for Trade and Investment) (16:21): I move:

That this bill be now read a second time.

I seek leave to have the second reading explanation and detailed explanation of clauses inserted in Hansard without my reading them.

Leave granted.

The Retailer Energy Efficiency Scheme (REES) is a South Australian Government energy efficiency scheme that provides incentives for South Australian households and businesses to save energy. It does this through establishing energy efficiency targets to be met by electricity and gas retailers. The retailers meet these targets by delivering eligible energy efficiency activities to households and businesses.

The REES underwent a review in 2019. The review recommended that the scheme be expanded from 2021 to include energy demand management and energy demand response (DR) activities.

Modelling of future options for the REES has found that expanding the scheme to include certain productivity activities while maintaining current retailer targets would provide a scheme with a benefit cost ratio of 3.7:1 and energy bill savings for households and businesses in the order of $1.5 billion to 2050.

Energy productivity activities include energy efficiency and other activities that shift the periods when energy is being used. Activities that shift when energy is used do not necessarily reduce the total amount of energy being consumed. They may result in an overall increase in energy consumption but a lower energy bill.

I commend this Bill to Members.

Explanation of Clauses

Part 1—Preliminary

1—Short title

2—Commencement

3—Amendment provisions

These clauses are formal.

Part 2—Amendment of Electricity Act 1996

4—Amendment of section 63AB—Compliance with certain code provisions under Essential Services Commission Act 2002 and requirements of regulations

The changes made to the principal Act by this measure are to change references from energy efficiency to energy productivity.

5—Amendment of section 94B—Energy productivity shortfalls

Part 3—Amendment of Gas Act 1997

6—Amendment of section 59A—Compliance with certain code provisions under Essential Services Commission Act 2002 and requirements of regulations

The changes made to the principal Act by this measure are to change references from energy efficiency to energy productivity.

7—Amendment of section 91A—Energy productivity shortfalls

Debate adjourned on motion of Hon. I.K. Hunter.

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