Australian Government is now accepting applications from eligible electricity generators for cash assistance under the Energy Security Fund.

The Energy Security Fund is an important element of the Government’s plan for a clean energy future, which was announced on 10 July 2011.

As part of the Energy Security Fund, the Government will provide assistance to highly emissions-intensive coal-fired generators in the form of $1 billion in cash payments in 2011-12.

"The Government is working with the electricity sector to ensure a smooth transition over time to cleaner sources of energy," the Minister for Climate Change and Energy Efficiency, Greg Combet, said.

"Energy Security Fund cash payments are being provided as part of a broader package designed to maintain energy security and market stability," Mr Combet said.

Applications for Energy Security Fund cash payments are due by 31 January 2012.

Applicants can also choose for their application to be passed to the Clean Energy Regulator when it is established on 2 April 2012 for the purpose of applying for Energy Security Fund free carbon units.

The Energy Security Fund cash payments measure is being led by the Department of Climate Change and Energy Efficiency.

Energy Security Fund Cash Payment Guidelines setting out the application process and associated documents are available on the Department’s website: www.climatechange.gov.au.