18 June 2014
The Clean Energy Finance Corporation (Abolition) Bill 2013 (the Abolition Bill) was again rejected by the Senate on 18 June 2014.
The CEFC is continuing its focus on fulfilling the positive duty required of it under the Clean Energy Finance Corporation (CEFC) Act, 2012 to perform the Corporation's investment functions and respond to the range of projects on which it has been approached to consider for investment.
The CEFC's total portfolio now stands at some $700 million. With the contribution of over $1.8 billion by our co-finance partners, investments in projects of total value of $2.5 billion have been achieved.
These projects, once operating, are expected to deliver an estimated 4 million tonnes of CO2-e abated annually with a return (i.e. benefit) to the taxpayer of around $2.40 per tonne of CO2 abated (net of government cost of borrowing).
The Corporation is on track to reach $800 million to $1 billion invested in its first financial year with further new investments to be announced shortly.
Interest in CEFC finance remains strong. We currently have proposals from over 150 project proponents seeking CEFC finance of approximately $4 billion (for total project costs of around $11 billion).
The future of the CEFC remains a matter for the Australian Government and the Parliament to properly determine.
As it continues its role, the CEFC will work constructively with the Australian Government and the Parliament to provide a positive contribution to all efforts to make Australia more productive and reduce emissions at lowest possible cost.
Should the Abolition Bill become law, the CEFC Board is committed to a smooth transition of the CEFC's assets to Government and an orderly shutdown with minimum market disruption.