great opportunity, page-64

FUNDING TO secure coldry plant upscale beyond 2 million tons for local use could be accessed under the carbon tax .

LYP has a 25 year contract to protect with ALCOA , the banks refinanced LYP due to the long term contract with ALCOA.Doubt that refinancing would occur if LYP chooses to pay the $23 tax per ton rather than investing in a BCE that will provide asset value.

2013 funds available under the CEFC plus the 1.2 billion payment to LYP.
Would certainly like to know when THE LYP submission to the clean energy investment authority will be made , details of the submission /information will be public knowledge.
http://www.aph.gov.au/Senate/committee/scrutinynewtaxes_ctte/carbontax/interim_report/c08.htm

Clean Energy Finance Corporation
8.25 The government's carbon tax plan includes the establishment of the Clean Energy Finance Corporation (CEFC). The CEFC is included in the climate change plan budget. Its purpose is to invest in:

... businesses seeking funds to get innovative clean energy proposals and technologies off the ground ... the commercialisation and deployment of renewable energy, energy efficiency and low-pollution technologies (and) manufacturing businesses that provide inputs for these sectors'.[23]

8.26 It 'will not invest in carbon capture and storage technology, which is supported through existing programs'.[24]

8.27 The National Generators Forum has been critical of the establishment of the CEFC, arguing that there was not consultation with the power industry about its establishment and that direct government intervention in the system will create investor uncertainty.[25]

8.28 The CEFC is to receive funding of $10 billion over five years from 2013-14. Capital returned from its investments will be reinvested. At the Committee hearing on 10 August 2011, Treasury officials indicated that its loans would be commercial in the sense that they would:

... not necessarily mean the market rate or the hurdle rates that that these businesses would need to go through. There are a large number of potential clean energy and renewable projects out there that cannot get finance for a range of reasons and the purpose of the entity, the CEFC, is to leverage private sector investment in this area.[26]

8.29 It is intended that these loans 'will earn a positive return', however, any drop in the value of investments by the CEFC would impact on the government's balance sheet.[27]

8.30 In response to a question taken on notice at the hearing on 10 August 2011 the Treasury has advised that:

Recipients of commercial loans provided by the CEFC are expected to be charged an interest rate comparable to that offered by lenders in the private sector.

The objective of the CEFC is to remove market barriers that would otherwise hinder the financing of large-scale clean energy and renewable projects. That is, the CEFC will operate in the ‘market gap’, encouraging projects that wouldn’t otherwise proceed by providing an alternative source of debt or equity to underpin a project’s financial viability.[28]