This article probably applies more to the smaller geothermal companies than to GDY.
I would argue that the previous government did a better job for the industry than the current one - Turnbull and MacFarlane were strong supporters. With Turnbull in charge the coalition would seem the better choice to develop the industry.
THE Rudd Government is considering an urgent "repair job" to its budget funding for clean energy technologies by redirecting money for solar technology development to kick-start Australia's fledgling geothermal industry.
The possible patch job less than 24 hours after the budget's release was triggered by the deferral of $900 million on promised technology spending in the Government's climate package.
As part of its election promise, Labor dedicated $50 million out of its $500 million renewable energy fund to assist geothermal energy companies drill the preliminary sets of deep and expensive wells needed to access giant reservoirs of underground heat.
But in the budget squeeze, this fund was deferred until the end of next year, delaying some companies ready to start drilling but slowed by the difficulty of drilling up to 5km underground at a cost of up to $15million per well.
Resources Energy and Tourism Minister Martin Ferguson is understood to be looking to solve the problem by tapping into $40million committed this year for the Government's energy innovation fund.
This fund will be used to accelerate research in solar energy storage and efficiency and hydrogen technologies.
Geothermal industry spokesman Susan Jeanes said the industry had sought immediate clarification to ensure development of this potential source of clean energy was not delayed.
"I think we'll get a resolution," she said.
"I think the Government will realise this is something they can't afford to delay on."
Hot rocks company Petratherm's chief executive Terry Kallis said the impact of a delay in the $50 million fund would vary depending on how close they were to drilling.
"We want this fund to accelerate drilling activity and we would like the Government to reconsider that position," he said.
A spokesman for Mr Ferguson said the Government was consulting with the industry to find an appropriate resolution.
Shadow climate change spokesman Greg Hunt claimed the Rudd Government had actually reduced spending on climate change programs over the next two years by $21 million and had made no provision for the introduction of an emissions trading scheme in 2010. He said that over the next four years spending on renewable energy technologies would be less than half of the $500 million committed by Labor at last year's election.
And shadow environment spokesman Sharman Stone claims funding to the Landcare program has been cut by 20 per cent, following the replacement of the Natural Heritage Trust with the new $2.2 billion Caring For Our Country program.
Green groups and the Opposition have slammed the pace of climate change action.
Greens climate change spokeswoman Christine Milne claimed "Kevin Rudd and Wayne Swan have delivered a budget that does little more on climate change than those delivered by John Howard and Peter Costello."
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(20min delay)