Australia's Renewable Energy Guarantee of Origin: A Vision for a Green Future
Key Ideas
- Australia introduces rules for Renewable Energy Guarantee of Origin, including Product GO for green hydrogen, green steel, and low emissions fuels under the $22.7 billion Future Made In Australia project.
- The GO scheme aims to boost green industries, create jobs, and support the country's target of achieving Net Zero emissions by 2050, providing accountability for new products like green hydrogen and low-carbon fuels.
- The below-baseline compromise in the law allows for certificates for renewable energy generators established before the scheme begins, with restrictions on their use and retirement to prevent market distortion.
- The GO scheme will replace the Renewable Energy Target, certifying low-emissions products and helping to decarbonize the economy, with certificates showing emissions throughout the product lifecycle and enabling claims for the new hydrogen production tax incentive.
Australia has opened the rules for its Renewable Energy Guarantee of Origin, introducing the Product GO (PGO) for low-emissions products starting with green hydrogen, green steel, and low emissions fuels, under the $22.7 billion Future Made In Australia project. The GO scheme, part of the government's agenda to become a renewable energy superpower, has received positive sentiments for its potential to create jobs, boost green industries, and support the country's Net Zero emissions target by 2050. The legislation, which passed the Senate in December, includes a below-baseline compromise for renewable energy generators established before the scheme's implementation, with restrictions on the use of certificates to prevent market distortion. The GO scheme aims to replace the Renewable Energy Target and certify Australian-made low-emissions products to decarbonize the economy, with certificates offering transparency on emissions across the product lifecycle. The scheme is expected to operate by mid-2025 and will enable claims for the hydrogen production tax incentive while facilitating economic decarbonization and helping products avoid carbon border taxes.
Topics
Utilities
Renewable Energy
Carbon Emissions
Legislation
Government Initiative
Export Market
Green Industries
Economic Decarbonisation
Energy Certification
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