The Northern Territory has scrapped the former Labor government’s renewable energy target citing the $5 billion price tag.
The current Country Liberal Party (CLP) government, led by Chief Minister Lia Finocchiaro, said a lack of infrastructure investment coupled with rising power prices and grid instability were reasons for cancelling the 2030 target.
Under the previous Labor government, 50 percent of the Territory’s energy would have been generated by renewable energy sources.
Currently, renewables account for about 20 percent of energy generation.
According to the CLP, the target would set the Territory back $5 billion, a cost that would have to be borne by households—equivalent to $56,000 per home, according to retailer Jacana Energy.
“If we don’t make these changes, Territorians would be paying the highest power prices in the country,” according to Minister for Energy Gerard Maley.
The government has also moved to cap retail power prices and invest in development of solar and battery storage.
The government is also hoping development of the Beetaloo Sub-basin can provide more gas to underpin energy needs.
The Territory Labor Party was contacted for comment.
The CLP’s move comes as the neighbouring Queensland Liberal National Party government also scrutinises the state’s renewable energy developments.
In February, the government put several wind farm developments on hold, while applying tougher criteria for their approval.
