Manufacturers and other businesses could be deterred from seeking financial support through the Emissions Reduction Fund because they won't receive money upfront, says the Clean Energy Finance Corporation.
Emissions reduction fund spending won't change despite cuts to some other 'direct action' components, Shadow Climate Change Minister Greg Hunt has told CE Daily, while Shadow Treasurer Joe Hockey has flagged large cuts to coal programs and 'suspension' of a major renewables scheme.
Cuts proposed today by the Coalition mean most companies would have only one pathway to federal energy efficiency and clean energy funding – competing against farmers, foresters and other businesses for 'emissions reduction fund' money.
A breakdown of who is seeking Clean Energy Finance Corporation support shows the agriculture and waste sectors have been quick to recognise the opportunities, and other parts of industry are likely to rapidly follow suit, says CEFC chief Oliver Yates.
The Minerals Council and the Climate Institute agree that cuts to carbon capture and storage funding are a bad move, but have very different views on what the Budget means for carbon pricing. Plus other Budget reactions.
The Government now estimates the carbon price will drop to $12.10 when the scheme switches to its trading phase in mid-2015, has left a key clean energy grant program untouched, but has slashed support for the coal industry.
Climate Change Minister Greg Combet today announced Adelaide Ice Services had won a $90,000 carbon price-funded grant – on the same day that Opposition Leader Tony Abbott used a site visit to describe it as a corporate victim of the scheme.