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C02 left out of Vic power station review

Andi YuAAP
Environment Victoria says the state's climate laws simply aren't up to the job.
Camera IconEnvironment Victoria says the state's climate laws simply aren't up to the job.

A review of the environmental licences of three of Victoria's largest coal-fired power stations is being criticised for failing to curb their greenhouse gas emissions.

The Environmental Protection Authority on Friday announced new licence conditions for Yallourn, Loy Yang A and Loy Yang B power stations, located in the Latrobe Valley in the state's east.

Changes to the licences include limits to and ongoing monitoring of toxic pollutants such as mercury, as well as air discharge limits which effectively cap carbon dioxide emissions at current levels.

Environmental groups are angry that no restrictions have been placed on CO2 emissions - the gas known to be the major cause of global warming - and there are deep concerns about the affects of air pollution on the local Latrobe Valley community.

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"Imagine reviewing the licences of the three biggest CO2 emitters in the state and not doing anything about those CO2 emissions," tweeted Nick Aberle from not-for-profit Environment Victoria.

The organisation's chief executive said the state's climate laws "simply aren't up to the job and neither is our environmental regulator".

"The three coal power stations in the Latrobe Valley are responsible for more than 40 per cent of Victoria's greenhouse gas emissions," Jono La Nauze said.

"The EPA is required by law to consider climate change when reviewing licences, but has decided not to place pollution limits on the biggest source."

The EPA hit back, with executive director of regulatory standards, assessments and permissioning, Tim Eaton, saying the criticism was "not fair" because the regulator can only operate within the confines of the law and to impose CO2 limits would be outside its mandate.

Mr Eaton said there was no limit for CO2 emissions written into Victoria's climate change act.

"We don't have a framework that gives us a set of numbers to impose," he told AAP.

Mr Eaton said specific guidelines on emissions could be legislated from state or federal government, but suggested federal, as Victoria's electricity grid is connected to NSW, Queensland and South Australia.

The state government has previously indicated it will release interim emissions reduction targets in the coming months, towards the goal of net zero emissions by 2050.

The Victorian Greens on Friday slammed the government over the licence review, calling it "a failure to show climate leadership".

Deputy leader Ellen Sandell said it was disappointing that after a three-year review, Victoria's coal plants don't meet the conditions for toxic chemicals and pollution that exist in China, Europe and the US.

"Today's decision is a blow for our climate and for community health. Solidarity to everyone in the Latrobe Valley, who's born the brunt of coal pollution for decades, and deserves so much better," Ms Sandell wrote on Facebook.

"When it comes to coal, the Victorian Labor government has chosen to look after their corporate mates AGL, Alinta and Energy Australia."

In a statement, the EPA said changes to the power stations' licences had been made to protect the environment and the local community.

The Australian Energy Council which represents Australia's gas and electricity energy retailers said the EPA's review had been "rigorous" and criticism of a lack of action on greenhouse gas emissions was "misguided" because carbon emissions required a national, not state-based, response.

Owner of Loy Yang A power station, energy company AGL, told AAP it had worked with the EPA to comply with all its environmental and regulatory obligations and said it supported "favourable outcomes for all stakeholders".

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