Statement from the CEFC regarding proposed changes to the Clean Energy Finance Corporation Act
30 May 2017
The Clean Energy Finance Corporation notes the statement today from the Hon Josh Frydenberg, Minister for the Environment and Energy, regarding proposed changes to the CEFC Act to remove the prohibition on the CEFC investing in carbon capture and storage (CCS) technologies.
Amendments to the CEFC Act are a matter for the Parliament. As a government agency, the CEFC has always complied with the Act, and will continue to do so.
The CEFC is committed to transforming clean energy investment to lower Australia's carbon emissions. Under the CEFC Act, our investments include renewable energy, energy efficiency and low emissions technologies. To date, we have invested more than $3.3 billion in eligible clean energy projects, with a total project value of $8.3 billion, while also delivering a positive return for the taxpayer.
In addition to potential applications in the power sector, CCS can also be used in the industrial sector to capture emissions from chemical processes, as well as fugitive emissions. There are some industrial processes for which there are currently very few alternatives to reducing emissions, making CCS an important technology if these sectors are to achieve deep cuts in emissions.
The majority of existing large-scale CCS projects globally are in the industrial sector, including in natural gas, fertiliser, hydrogen, and iron and steel making. In Australia, there are several industrial pilot CCS projects either in operation or at a planning stage.
The CEFC receives a steady flow of potential projects relating to a diverse range of clean energy technologies. We are in a continuous process of receiving and reviewing new project proposals and investing in eligible commercial projects.
Through our investment activities, the CEFC continues to support the development of a resilient, balanced and secure energy system in Australia, through the deployment of eligible clean energy technologies across diverse areas of the economy.
Media release, 2017