|Policy Type:||Regulatory Instruments>Other mandatory requirements, Economic Instruments>Market-based instruments>White certificates|
|Agency:||Essential Services Commission|
|Legal References:||Victorian Energy Efficiency Target Act 2007|
Established by the Victorian Energy Efficiency Target Act on 11 December 2007, the Victoria Energy Efficiency Target (VEET) scheme sets targets for energy savings to be achieved by energy retailers, initially in the residential sector. The achieved savings resulting from household energy efficiency activities will create certificates, each certificate representing one tonne of CO2 equivalent. Large electricity and gas retailers, those with over 5000 customers in Victoria, are required to purchase and surrender certificates on an annual basis in proportion to their annual acquisitions of gas and electricity. A penalty will be imposed upon entities who fail to surrender sufficient certificates to offset their liability. The penalty will be financial, and will be based on the amount of shortfall for that year. Surpluses will be carried into subsequent years. Energy retailers must meet their own targets through energy saving activities. Energy saving activities which may be eligible under the scheme include: -modification of an appliance, structure or equipment that leads to a reduction of greenhouse gas emissions ; -replacement of a system or equipment that will lead to a reduction of greenhouse gas emissions; -purchase and installation of an appliance or equipment that has a lower greenhouse gas intensity than a comparable product; -installation of an appliance or any equipment which will result in reduced greenhouse gas emissions. Draft regulations for the scheme were proposed in early August 2008 and are open to stakeholder consultation until 19 September 2008. The scheme, administered by the Essential Services Commission, is to commence on 1 January 2009 and run for three years, until 2011. The schemes target is to achieve emissions reductions of 2.7 million tonnes of CO2 equivalent per year.
Last modified: Tue, 09 May 2017 16:37:00 CEST