The ongoing program is estimated to provide $8.6 billion of assistance over the first three years of the carbon pricing mechanism, targeted at companies that produce a lot of carbon pollution but are constrained in their capacity to pass through costs in global markets.
The most emissions-intensive trade-exposed activities receive assistance to cover 94.5 per cent of industry average carbon costs in the first year of the carbon price. Less emissions-intensive trade-exposed activities receive assistance to cover 66 per cent of industry average carbon costs. Assistance will be reduced by 1.3 per cent each year to encourage industry to cut pollution.
Regular reviews will ensure that the Jobs and Competitiveness Program remains in step with international action on climate change and continues to support jobs and competitiveness.
A guidance paper is available setting out the process by which entities may apply for assistance under the Jobs and Competitiveness Program.
Legislation and Regulations
Clean Energy Act
The Jobs and Competitiveness Program is implemented by the Clean Energy Act. The Clean Energy Act is the central Act of the Clean Energy Legislative Package.
The detail of the Jobs and Competitiveness Program, including which activities are eligible and record-keeping requirements, is established by the Clean Energy Regulations 2011.
Clean Energy Regulations
Regulations to implement the Jobs and Competitiveness Program were made on 22 February 2012, and registered on the Federal Register of Legislative Instruments on 27 February 2012.
The Regulations contain the rules governing the Jobs and Competitiveness Program, how it is to operate, who may be an eligible applicant, what the eligible activities and allocative baselines are, and gives effect to the maximum cap policy for new facilities.
The Regulations also outline how assistance is to be calculated, including for sub-threshold facilities.
The Explanatory Statement sets out how the Regulations are expected to operate.
Clean Energy Regulator
The Clean Energy Regulator came into effect on 2 April 2012. It is a statutory authority that administers the carbon pricing mechanism, National Greenhouse and Energy Reporting Scheme, the Renewable Energy Target and the Carbon Farming Initiative.
The Clean Energy Regulator is responsible for the administration of the Jobs and Competitiveness Program.
Application forms for eligible entities are available from the Clean Energy Regulator.
Department of Industry, Innovation, Climate Change, Science, Research and Tertiary Education
Analysis and Projections Branch
GPO Box 854
Canberra ACT 2601