Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Hansard source

Yes, we do, and that is why the government remains firmly committed to the reform of the Renewable Energy Target, as I have indicated. Labor knows some of the problems. Put simply, the current scheme is out of balance and needs fixing because electricity demand is declining. Forecast demand in 2020 is lower than previously anticipated. Forecast for total energy demand in 2020 is now 15 per cent lower. So what was intended to be a 20 per cent target for 2020 is now tracking towards an effective 26 per cent target by 2020, with all of the related consequences in terms of additional cost pressures that comes with that. That is why, as I have indicated before, we are committed to ensuring that the 20 per cent is a real 20 per cent and not a 26 per cent target.

We want to support household solar systems to remain as it is. Pressure on energy-intensive and trade-exposed sectors should be reduced to provide additional support for Australian jobs. The renewable energy sector should have greater clarity by removing the need for review of the target every two years. (Time expired)