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Josh Frydenberg flags changes to allow CEFC to invest in carbon capture and storage

Source: ABC News

Federal Energy Minister Josh Frydenberg has revealed the Government is considering lifting a ban on allowing the Clean Energy Finance Corporation (CEFC) to invest in carbon capture and storage.

"Carbon capture and storage is an important technology," Mr Frydenberg said. At the moment the CEFC, the Government's green bank, is not allowed to invest in it. But amid the Coalition's renewed support for coal-fired power, Mr Frydenberg said that could change. "We're going to look at all our options because of the challenges that we face, namely to ensure energy security [and] energy affordability, as we transition to a low-emissions future," he said. Shadow Energy Minister Mark Butler said it would require the kind of legislation Labor would strongly oppose. "This would be an outrageous act of vandalism against a successful financing mechanism for renewable energy, for energy efficiency projects and for genuine low-carbon technology," he said. "It's no real surprise, I guess, because the Liberal Party has never really supported the CEFC. "It tried to abolish it for three years and now seems committed to making it a finance mechanism for the coal industry, which is unable to attract finance from the private sector." Government interested in low-emission coal-fired plants. Mr Frydenberg said he was also interested in investment in high-efficiency, low-emission coal-fired plants.