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Not so easy being green: light bulb-trader trader seeks NSW state rescue after NSW carbon-price-crash

Posted by gmarkets on 17 September, 2007

 According to Wendy Frew and Marian Wilkinson, a plunge in NSW carbon price – caused by an oversupplied market colliding with investor un-certainty – had critics say the State Government has made it too easy for polluters to partici-pate in the market and that the Federal Government has created ,long-term uncertainty about climate change policy.

Whinge of the week: Paul Gilding, the head of the high-profile energy saving com­pany Easy Being Green, told the Herald the scheme was in crisis and that the survival of his company was on the line. Easy Being Green is abso­lutely at risk of ceasing to exist in NSW if the price stays where it is,” he said. “It means the end of operations in this state and the end of 140 permanent jobs and 100 full-time contractors.”

NGACs feature in Owen Review: “The revelation of the crisis is an embarrassment for the NSW Government, which will release the Owen report this morning, recommending the sale of the state’s electricity retailers and generators. Under the scheme – the first of its kind in Australia – power plants, forestry groups and energy efficiency companies that act to cut greenhouse gas emissions are awarded certifi­cates, each one representing the equivalent of one tonne of carbon dioxide avoided. They sell these certificates to energy retailers, which have to meet mandatory emissions tar­gets set by the State Govern­ment. The costs are passed on to electricity consumers. The certificates generated since 2003 are estimated to be worth about $450 million. But over the past few months a series of federal and state policy an­nouncements has sent the market into a spin”.

The Sydney Morning Herald, 11/9/2007, p. 1

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