Solar in Port Augusta
THE POSSIBILITY of solar in Port Augusta closer than ever according to Federal Member for Grey Rowan Ramsey.
After a recent trip to the U.S to visit Solar Reserve's facility, Mr Ramsey said with current Federal support there is no reason it should not happen.
The company in question has already purchased a site in Port Augusta and a tender with the nation's capital could make the project reality.
Mr Ramsey said he was particularly interested in the government support needed to get the American site across the line.
"The primary government support for these types of projects comes in the form of a federal production tax credit of 30 per cent and this in turn converts to a subsidy of about 2.3c US per kilowatt hour, which is 3.2c Australian," he said.
"By comparison, the Australian system is more generous, providing support through the renewable energy target, which is likely to be between 5c and 8c per kilowatt hour through to 2030."
He said further support would be required from the South Australian government in the form of a long-term purchase for the company to provide the state with base load electricity.
An idea which the SA government should consider doing, and may happen soon, according to Mr Ramsey.
If Solar Reserve are successful in securing the Australian Capital Territory's renewable energy auction tender they could begin construction of their site within 12 months.
"If they are prepared to offer a similar deal to Nevada then the chances of this project proceeding are considerably enhanced," he said.
"I recently facilitated a meeting between Solar Reserve and Ian Macfarlane.
"Following the change of Prime Minister we have some new responsibilities on the front bench and I look forward to doing the same now with Christopher Pyne and Greg Hunt as the new relevant ministers, to see if it is possible to elicit support from ARENA."
ARENA is the Australian Renewable Energy Agency which aims to improve the competitiveness of renewable energy technologies and increase the supply of renewable energy in Australia.