Our Ref: D15-55000

Contact: Silvana Predebon

10 November 2015

Proposed VEET Activity Regulation Changes October 2015

Energy Policy and Programs

Department of Economic Development, Jobs, Transport and Resources

GPO Box 4509

Melbourne VIC 3001

To whom it may concern

Support for Victorian Energy Efficiency Target (VEET) Proposed Activity Regulation October 2015

Macedon Ranges Shire Council commends the Government’s decision to continue and strengthen the VEET scheme, and welcomes the opportunity to provide feedback to the Victorian Energy Efficiency Target (VEET) Proposed Activity Regulation Changes.

Victorian local government councils have a strong record of supporting and implementing measures that improve energy efficiency within their own operations and within their local communities. Macedon Ranges Shire Council believes that the VEET scheme needs to recognise and build upon efforts undertaken to date by councils across Victoria.

For example, Victorian councils have already achieved significant savings and emissions reductions through adopting energy efficient street lighting in residential streets. Across the state, over 256,000 residential street lights have been, or are in the process of being, changed to more efficient light types, reducing greenhouse gas emissions by an estimated 1.56 million tonnes over the life of the new lights.

Macedon Ranges Shire Council manages a large asset base of street lights and outdoor lighting, and is particularly pleased to note the Proposed Activity Regulation Change to include the ability for non-building related lighting (such as street and outdoor lighting) to be included under VEET. This has been listed Under Schedule 34 – Commercial Lighting in the document “Victorian Energy Efficiency Target (VEET) Proposed Activity Regulation October 2015”, with changes proposed to commence on 1 January 2016. Macedon Ranges Shire Council strongly supports the inclusion of these lights within the VEET Program.

Given that the Federal Government Community Energy Efficiency Program (CEEP) is no longer available, and the Emissions Reduction Fund (ERF) is unlikely to provide much (if any) co-funding or support for local government, enabling councils to generate certificates for street lighting upgrades will assist Macedon Ranges Shire Council, and many other councils, to overcome the key capital cost barrier to undertaking a changeover of residential streetlights to realise the many benefits associated with energy efficiency.

For Macedon Ranges Shire, this would result in reducing greenhouse gas emissions by an estimated 14,765 tonnes of greenhouse emissions and savings of around $5M over the life of the assets. Savings that are passed onto ratepayers.

Enabling councils to generate certificates for lighting upgrades will provide a much-needed incentive to take on the next phase of work and investment needed to upgrade lights on major roads. Based on conservative estimates, there is around 726,000 tonnes of emissions reductions to be achieved by changing to energy efficient hardware for major road lighting in Victoria. Councils will prioritise these upgrades if provided with an adequate incentive to do so.

If you have any questions in relation to the above matter please do not hesitate to contact council’s Environmental Policy Officer, Silvana Predebon on phone number 03 5241 9659.

Yours sincerely

Fi Cotter

Manager, Strategic Planning and Environment