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Coalition makes cuts to climate policy

Coalition makes cuts to climate policy

Halving the solar panel rebate was among $338m worth of cuts to the coalition's Direct Action plan.Source:AAP

THE coalition is confident it can still put one million more solar panels on rooftops in a decade despite halving the planned rebate on offer to households under its climate change policy.

The change to the solar rebate program was among $338 million worth of last-minute cuts made to the coalition's Direct Action plan in the lead-up to the federal election.

An incoming Abbott government now expects to spend $2.88 billion over four years on its climate change strategy, revised down from its long-standing forecast of $3.2 billion.

Funding allocated for activities that cut greenhouse gas emissions, like revegetation and improving soil carbon, remains unchanged at $2.55 billion over four years.

The bulk of the savings comes from its decision to halve the $1000 rebate it was to offer up to 100,000 households a year for installing a rooftop solar panel system.

By cutting the rebate to $500, the coalition expects to save $200 million over the first four years of the scheme and still achieve its goal of installing a million more solar systems within 10 years.

The coalition's climate action spokesman Greg Hunt said the cost of solar panel systems had dropped dramatically since Direct Action was designed in 2010.