By utilizing a decentralized rooftop solar energy sector, Australia continues to further its commitment to clean energy.
The Regulatory Review reported that the country has become a world leader in rooftop solar energy – with as many as one-fourth of all the homes utilizing solar panels – and the success is due to "effective, decentralized regulation.”
The country’s states and territories have generated metrics and incentives, such as loans, that help them achieve benchmarks in helping citizens buy the panels for their homes with local communities vowing to obtain specific emissions goals, according to The Regulatory Review.
Australia’s government has worked to eliminate any potential barriers that its citizens would have in enhancing their home's power, saying homeowners looking to add solar panels to their roof need to obtain a permit only if their home is a "heritage preservation" property, the report said.
Additionally, the country employs “mandatory minimum energy requirements” that require home compliance to achieve specific targets, according to The Regulatory Review.
There has been some criticism of the lenient policies, however. For example, Clean Energy Regulator reported that there are severe safety concerns with regard to solar panel installations. Many homes have caught fire, with the blaze blamed on improper installation, it said. Victoria is the only state that requires a post-installment inspection.
On the other hand, some say there is still too much interference.
The Australian Energy Market Operator, for example, can turn off the power to homes when there is a diminished demand on the grounds that it will prevent destabilization of the grid and blackouts due to a swift increase in solar energy, according to The Regulatory Review. Distributed energy resources specialist Dr. Gabrielle Kuiper said that this exercise is a "regulatory overreach” in an article published by the Institute for Energy Economics and Financial Analysis (IEEFA).
IEEFA said that compared to Australia, where one in four homes (25%) have solar panels, the U.S. has only close to one in 20 households (5%) employing solar panels with the energy generated accounting for just under 1% of the total electricity produced in the United States. Some say solar installation hasn't taken off in America because of the contentious process of getting a permit.