Tackling climate change in a practical way

1. Tackling climate change in a practical way 18 May 2016

2. A history of transformation >> How we use >> How we generate >> How we operate Brunswick Electricity Supply Dept Privatisation Energy services SECV 1993 1914 1921 1951

3. Recent history ZCE Privatisation MEFL Brunswick Electricity Supply Dept SECV 1st Solar 1914 1921 1951 1993 2015 - Energy as a community service - Environment as a community value

4. Scenarios: Set & forget Rise of the prosumer Leaving the grid Renewables thrive Common features: Customer-centric Carbon-constrained Smarts Disruption

6. Our Structure 2015 2020

7. MEFL Operating Environment PC Consulting Advocacy ZCE

9. 1. Data analysis

10. 1. Data analysis

11. 1. Data analysis

21. Models and mechanisms Social Enterprise Co-operatives Sourcing finance Funding mechanisms

22. Innovation Framework” Government program and regulatory intervention Innovator push Mainstream acceptance Niche and supported Cost/”unit” Market expansion “Valley of Death” Fully independent Experimental Demonstration Idea Market pull Business and financial sector investment

23. Company Structures Nightingale & Westwyck Innovation risk Financing Approvals

24. NSW OEH Toolkit

25. Social Enterprise Positive Charge Business orientation versus grant-based culture

27. Positive Charge Solar bulk buys: refining model

28. Funding mechanisms Darebin Solar $aver, EAGA project Administrative complexity Financing Innovation risk

29. Moreland Community Solar

30. Co-operative Moreland Community Solar Regulatory barriers

31. Bendigo Model

32. Ownership

33. Case studies Moreland Council Civic Centre Direct ownership and control

34. Case studies Alkimos Beach solar and battery storage Public Private Partnership An Australia-first trial of large-scale battery storage for households with solar panels

35. Case studies Woking Borough Council and Thameswey Ltd. Energy Services Company This project is the first sustainable community energy system operating in a competitive energy market of its type in the world.

36. Case studies Yarra Council and Ecosave Energy Performance Contract These measures will guarantee that Council reduces emissions by 44% from base line levels, saving over $300,000 a year in operational and maintenance costs.

37. Case studies Kenjarhy Leasing A100% Indigenous owned and operatedcompany, and one of a minority of companies who design and construct medium and large-scale solar projects throughout NSW.

38. Case studies Magnetic Island Solar Suburb Joint Venture This project trialed a new, sustainable model for electricity supply to avoid network augmentation.

39. Case studies Melbourne Renewable Energy Project Power Purchase Agreement First collaborative energy purchase of its kind in Australia, providing a replicable and scalable model.

40. Case studies ACT Reverse Auction Power Purchase Agreement The reverse auction feed-in tariff mechanism is the first of its kind in Australia and ensures that the government accesses proven technology at the lowest possible cost.

41. Case studies Hepburn Wind Community-owned asset Australia’s first community-owned wind farm; with the ‘Hepburn Model’ inspiring similar projects to explore the community enterprise model for renewable energy projects.

42. Case studies Lismore Community Solar Community-owned / Leasing Australia’s first Council operated, community funded solar farm.

43. Case studies Yorke Peninsula Biomass project Cooperative Australia’s first straw-fuelled power company, owned and operated in a cooperative style business model.

44. Case studies Vast Solar CSP project Company This project will demonstrate the reliable and safe operation of Vast Solar’s low-cost, high-performance Concentrating Solar Thermal (CST) power system.

45. Crowd-sourcing, donation, soft-loans Good for testing Potential to scale? Legal limits Transaction costs high

46. Barriers Government program and regulatory intervention • Information barriers • Opportunity costs • Split incentives • Institutional barriers • Innovation challenges • Lack of expertise • Technology barriers • Policy and regulation Innovator push Mainstream acceptance Niche and supported Market expansion Cost/”unit” “Valley of Death” Fully independent Experimental Demonstration Idea Market pull Business and financial sector investment

47. MEFL’s model of change NSW OEH Toolkit

48. Opportunities • Celebrating innovation • Collaboration • Local best practice • Public awareness • Co-opting skills into sector • Policy alignment • Standards • Treating climate change as a central risk

49. NSW OEH Toolkit