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The Victorian Energy Efficiency Target (VEET) scheme is a Victorian Government initiative promoted as Energy Saver Incentive. Framework The Essential Services Commission (Commission) administers the Victorian Energy Efficiency Target Act 2007 (VEET Act) and the Victorian Energy Efficiency Target Scheme Regulations 2008 (the VEET Regulations) with the aim of increasing uptake of energy efficiency measures in Victoria. The VEET scheme, as established by the VEET Act, will play an important role in achieving the Victorian government’s target of reducing greenhouse gas emissions from households by 10 per cent by 2010 and Victoria’s overall emissions to 60 per cent by 2050. The Commission has also developed the Victorian Energy Efficiency Target Scheme Guidelines 2008 (the VEET Guidelines) to facilitate participation in the scheme. VEET Act The Victorian Energy Efficiency Target Act 2007 assented to on 11 December 2007, establishes the VEET scheme which involves the creation, transfer and surrender of Victorian energy efficiency certificates (VEECs) to meet the legislative objectives of: reducing greenhouse gas emissions, encouraging the efficient use of electricity and gas, and encouraging investment, employment and technology development in industries that supply goods and services which reduce the use of electricity and gas by consumers. The VEET Act provides for the scheme to commence on 1 January 2009 and to operate in three-year phases up to the end of 2029. The VEET Act also confers responsibilities and powers on the Essential Services Commission to administer the VEET scheme. VEET Regulations The VEET Act is supported by the Victorian Energy Efficiency Target Scheme Regulations 2008 (VEET Regulations). The Regulations come into operation from 1 January 2009. The VEET Regulations sets out the prescribed activities for the first phase of the scheme (1 January 2009 to 31 December 2011).On 24 December 2008, the guidelines to calculate annual solar energy savings for domestic solar water heaters produced by adding a retrofit kit (collectors and pump) to an existing tank and the guidelines to calculate annual solar energy savings for domestic solar water heaters produced by adding a solar preheater to an existing gas hot water system, were published in the Victorian Government Gazette.In addition, the VEET Regulations specify the level of greenhouse gas abatement attributed to each prescribed activity as well as the shortfall penalty rate to apply should a relevant entity fail to surrender sufficient VEECs to meet their liability under the VEET Act. At the end of the first phase, new VEET Regulations will be made to set a revised scheme target and new prescribed activities for the second phase of the VEET scheme (1 January 2012 to 31 December 2014). VEET Guidelines The VEET Act empowers the Commission to make guidelines for or with respect to any matter required or permitted by the Act to be provided for by the Commission guidelines. The Victorian Energy Efficiency Target Scheme Guidelines 2008 was published in the Victorian Government Gazette on 4 December 2008, with the Guidelines taking effect from 1 January 2009. Review of the VEET Act The VEET Act requires a review of the Act be completed by 31 December 2011. The review will be conducted by a panel independent of the Government and will assess the extent to which the objects of the VEET Act has been achieved, the VEET scheme targets and the level of penalties under the VEET Act. GST exemption for scheme fees under VEET and VRET Under the 'A New Tax System (Goods and Services Tax) (Exempt Taxes, Fees and Charges) Determination 2009 (No. 2)' the fees listed under Schedule 1, Part 3, Items 8.45 to 8.58 in relation to the Victorian Renewable Energy Target Scheme and Victorian Energy Efficiency Target Scheme are GST exempt.Persons who deal in instruments under each of these schemes should seek their own legal advice on their tax obligations.
The Essential Services Commission (Commission) administers the Victorian Energy Efficiency Target Act 2007 (VEET Act) and the Victorian Energy Efficiency Target Scheme Regulations 2008 (the VEET Regulations) with the aim of increasing uptake of energy efficiency measures in Victoria. The VEET scheme, as established by the VEET Act, will play an important role in achieving the Victorian government’s target of reducing greenhouse gas emissions from households by 10 per cent by 2010 and Victoria’s overall emissions to 60 per cent by 2050. The Commission has also developed the Victorian Energy Efficiency Target Scheme Guidelines 2008 (the VEET Guidelines) to facilitate participation in the scheme.
The Victorian Energy Efficiency Target Act 2007 assented to on 11 December 2007, establishes the VEET scheme which involves the creation, transfer and surrender of Victorian energy efficiency certificates (VEECs) to meet the legislative objectives of:
The VEET Act provides for the scheme to commence on 1 January 2009 and to operate in three-year phases up to the end of 2029. The VEET Act also confers responsibilities and powers on the Essential Services Commission to administer the VEET scheme.
The VEET Act is supported by the Victorian Energy Efficiency Target Scheme Regulations 2008 (VEET Regulations). The Regulations come into operation from 1 January 2009. The VEET Regulations sets out the prescribed activities for the first phase of the scheme (1 January 2009 to 31 December 2011).On 24 December 2008, the guidelines to calculate annual solar energy savings for domestic solar water heaters produced by adding a retrofit kit (collectors and pump) to an existing tank and the guidelines to calculate annual solar energy savings for domestic solar water heaters produced by adding a solar preheater to an existing gas hot water system, were published in the Victorian Government Gazette.In addition, the VEET Regulations specify the level of greenhouse gas abatement attributed to each prescribed activity as well as the shortfall penalty rate to apply should a relevant entity fail to surrender sufficient VEECs to meet their liability under the VEET Act. At the end of the first phase, new VEET Regulations will be made to set a revised scheme target and new prescribed activities for the second phase of the VEET scheme (1 January 2012 to 31 December 2014).
The VEET Act empowers the Commission to make guidelines for or with respect to any matter required or permitted by the Act to be provided for by the Commission guidelines. The Victorian Energy Efficiency Target Scheme Guidelines 2008 was published in the Victorian Government Gazette on 4 December 2008, with the Guidelines taking effect from 1 January 2009.
The VEET Act requires a review of the Act be completed by 31 December 2011. The review will be conducted by a panel independent of the Government and will assess the extent to which the objects of the VEET Act has been achieved, the VEET scheme targets and the level of penalties under the VEET Act.
Under the 'A New Tax System (Goods and Services Tax) (Exempt Taxes, Fees and Charges) Determination 2009 (No. 2)' the fees listed under Schedule 1, Part 3, Items 8.45 to 8.58 in relation to the Victorian Renewable Energy Target Scheme and Victorian Energy Efficiency Target Scheme are GST exempt.Persons who deal in instruments under each of these schemes should seek their own legal advice on their tax obligations.
