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The Australian Government's Innovation Report

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Renewable Energy Commercialisation Programme<br />

<strong>The</strong> Renewable Energy Commercialisation Programme is a $54 million competitive grants programme designed<br />

to foster the development of the renewable energy industry in Australia and reduce the emission of greenhouse gases.<br />

Administered by the <strong>Australian</strong> Greenhouse Office division of the Department of the Environment and Heritage,<br />

it provides funds for projects that lead to the commercialisation of innovative renewable energy equipment,<br />

technologies, systems and processes.<br />

<strong>The</strong> programme has awarded funding of between $135 000 and $1 million for 49 projects, including solar<br />

photovoltaic, solar thermal, wind, biomass, hydro, wave, and hot dry rock developments. Three projects were<br />

successfully completed in 2005-06, bringing the number of completed projects under the programme to 30.<br />

It is estimated that 500 direct jobs have or will be created as a result of the programme. Private sector investment<br />

of up to $238 million and exports of $120 million could also be achieved.<br />

Additional benefits include greenhouse gas abatement, rural and regional development, waste minimisation,<br />

salinity mitigation, job and export creation, and diversification of agricultural incomes.<br />

More information about the Renewable Energy Commercialisation Programme can be found at:<br />

www.greenhouse.gov.au/renewable/index.html<br />

Greenhouse Gas Abatement Programme<br />

<strong>The</strong> Greenhouse Gas Abatement Programme (GGAP) targets projects that achieve large-scale, cost-effective and<br />

sustained abatement of greenhouse gas emissions from any sector of the economy, particularly in the target<br />

period 2008-2012.<br />

GGAP is administered by the Department of the Environment and Heritage and funding is provided to private<br />

industry, industry associations and local, state and territory governments to support projects that will result in<br />

substantial emission reductions or substantial sink enhancement.<br />

<strong>The</strong> programme leverages significant private sector investment in large-scale energy efficient and greenhouse<br />

abatement technologies and practices. Under GGAP, the latest industrial plant, equipment and techniques are<br />

being applied to the mining, minerals and energy sectors to deliver greenhouse gas abatement.<br />

<strong>The</strong>re have been three rounds of GGAP. One of the criteria for funding is the extent to which projects accelerate<br />

efforts to research, develop and deploy new technologies or innovative processes. Examples of GGAP projects<br />

include co-generation (the use of waste heat or steam from power production or industrial processes for<br />

power generation), energy efficiency, travel demand management, alternative fuels, coal mine gas technologies<br />

and fuel conversion.<br />

<strong>The</strong> Macquarie Generation project was successfully completed in 2005-06, bringing the number of completed<br />

projects under the programme to four. <strong>The</strong> project has increased the generation efficiency at the Liddell Power<br />

Station located near Muswellbrook in New South Wales by replacing low pressure turbines with modern turbines.<br />

<strong>The</strong> new units were designed to achieve a minimum efficiency improvement of 3% compared with the design<br />

of the original 1960s turbines. This efficiency gain is expected to deliver greenhouse gas emission reductions<br />

of up to 1.66 million tonnes between 2008 and 2012. <strong>The</strong> project will lower water demands, delivering broader<br />

environmental benefits as well as greenhouse gas reduction.<br />

Funding of $66.2 million is allocated to the GGAP over the next four years, during which projects currently<br />

underway will reach completion. According to the 2005 greenhouse gas projections, the programme is expected<br />

to deliver emissions savings of 6.1 million tonnes in 2010.<br />

More information about the GGAP can be found at: www.greenhouse.gov.au/ggap/index.html<br />

Chapter 2 - Initiatives for a dynamic national innovation system 73

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