NEG will kill large-scale renewables boom, rooftop solar soars

The proposed National Energy Guarantee using the Turnbull government's preferred greenhouse gas emissions reduction target would snuff out the boom in large-scale wind and solar farms, a new analysis says.

The analysis comes as South Australia's Premier Jay Weatherill says the state will oppose the National Energy Guarantee in its current form at Friday's energy minister's meeting because the policy "will take us backward" and "lock us into a coal industry past rather than a renewable energy future".

Business is urging a constructive approach to the National Energy Guarantee (NEG) at the COAG Energy Council but with Queensland's government going to the polls on Saturday the best federal energy minister Josh Frydenberg can hope for is agreement to seek more modelling to address states' concerns.

The analysis by Bloomberg New Energy Finance shows that the lion's share of new capacity under the NEG would instead come from rooftop solar and batteries "behind the meter" in people's homes and business premises, and gas plants.

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