Clean Energy Council Strategy Update – A Message from the Chair

Our role is to represent the companies and individuals who are building and operating the energy system of the future. We exist to ensure the clean energy sector has a credible and influential voice in shaping how Australia powers its economy, supports its communities and meets its commitment to reach net zero.

The Clean Energy Council is evolving its role in helping guide this transition. That means providing strong and clear advice to governments and engaging seriously with regional communities where the benefits and impacts of the transition are being felt most directly. It also means maintaining the confidence of investors who are making long-term commitments to build the infrastructure Australia needs.

In May, our long-serving Chief Executive Kane Thornton announced his decision to step down. Kane has made an extraordinary contribution to the Clean Energy Council and to the industry, and we thank him for his leadership over more than a decade. Other senior executives have also chosen to pursue new career opportunities, reflecting a natural period of transition for the organisation.

The Board has commenced a comprehensive process to appoint a new Chief Executive. This search is well advanced and has attracted significant interest. In the interim, CEC Board Member, Brett Wickham, has generously agreed to provide leadership support to the organisation following his departure as Managing Director at Acciona Energia at the end of July. We are grateful to Brett for stepping into this role during a critical period, and we are confident in the team’s ability to maintain momentum as we move toward the next phase.

That next phase for the industry’s peak body involves sharpening our strategic priorities. We recognise that state governments and the federal government each have a critical role in the energy transition. The Clean Energy Council needs to continue to work collaboratively with governments in every jurisdiction in Australia to help shape workable policy settings that can drive confidence and stimulate investment over the long term.  If we fail to get the policy setting right, there are real risks to energy consumers through loss of reliability or a spike in costs, which could in turn lead to government interventions that undermine confidence and stall progress in the transition.  Our job is to work with governments to protect the integrity of the market, to uphold the principle of competitive neutrality, and to ensure that policy decisions support a stable and efficient energy system.

We must also continue building stronger support in regional communities. This is where the infrastructure is being built, and where the impact is most directly felt. In some areas, the rollout of the transition has caused concern and opposition. In others, communities have seen little benefit and have not felt heard. We must help shift that dynamic by promoting industry practices that maximise local benefit and reduce disruption and recognise that what works in one part of the country may not work in another. Local conditions and community expectations must shape local solutions. 
 
Building trust is not a by-product of the transition. It is a prerequisite for delivering it.

We must also be ready to engage constructively with the new Commonwealth Government. This includes - but is not limited to;

• Participating in the energy market reform process to support a transparent and effective system.
• Supporting the accelerated rollout of energy storage technologies including batteries, pumped hydro and long-duration storage.
• Contributing to reform of planning and environmental policies at both federal (including EPBC Act) and state levels.
• Ensuring the successful delivery of the Cheaper Home Batteries Program.
• Helping to shape a national strategy for offshore wind development.
• Supporting the creation of a new energy policy framework for Queensland.
• Contributing to the development of the national transmission strategy and the rollout of renewable energy zones across the National Electricity Market.

We need to be clear and realistic about the important role of gas in the transition. As we have previously stated, gas will be required in the short and medium term and it is critical to supporting the grid as we phase out coal from the system in a controlled and deliberate way. AEMO also supports that renewable energy connected with transmission and distribution firmed with storage, and backed up by gas-powered generation, is the lowest-cost way to supply electricity to homes and businesses through Australia’s transition to a net zero economy.

Without a coherent national policy on gas, we risk extending the life of coal through government subsidies which will lead to a market distorted by ad hoc underwriting of new renewables. That approach undermines the market and leaves incumbent renewable generators exposed. These are the companies we need to continue to invest in the transition and generate electricity for Australians.

Acknowledging this does not weaken our commitment to net zero, it reinforces our role as a credible and pragmatic industry voice in the national energy conversation.

This is a decisive period for our industry. The Clean Energy Council must be a source of credible leadership and practical solutions. We must be a partner to governments and communities and a trusted guide for those who are investing in the future of the system.

An announcement on the appointment of a new CEO and executive team will be made in due course.