Library from Australia
The snub to the 2020 Renewable Energy Target by one of the country's biggest business electricity retailers has revived calls for investment in new renewables projects to be halted and exposed the risk of the consequences for consumers of missing the goal. ERM Power on Tuesday revealed it had elected to pay a $123 million penalty charge to discharge its 2016 liability under the RET scheme, rather than backing renewables projects as intended under the RET regulations.
On Monday, deputy prime minister Barnaby Joyce refused to commit the government to maintaining the RET. Tony Abbott and South Australian senator Cory Bernardi have both publicly argued that renewable energy targets should be scrapped.
In a statement to the stock exchange, ERM said the price for the large-scale generation certificates had more than doubled to nearly $90 each, while the penalty to the regulator was valued at $65 per certificate.
On Monday the Australian quoted several unnamed conservative MPs who want to ditch the RET, arguing it would help sharpen the Coalition’s attack on Labor’s plan to lift renewable energy to 50%. Tony Abbott and the South Australian senator Cory Bernardi have both publicly argued for the scrapping of renewable energy targets.
Now is the time to debunk Labor’s myth-making and expose the true cost that its energy policies will have on Australian households and businesses.
A new report has shed more light on how the blackout in South Australia occurred and why wind power disconnected from the electricity network. ...Instead it was the loss of power from the state’s wind farms that is thought to be one of the primary causes of the event.
The Australian Energy Market Operator (AEMO) released its third report today with its preliminary conclusions on the causes of the “Black System” that plunged the entire state into darkness at 4.18pm on September 28. While tornadoes were found to have taken down three transmission lines ahead of the blackout, it was the loss of power from the state’s wind farms that is thought to be one of the primary causes of the event.
“While emissions-reduction policies are politically fashionable, the obvious result of the EU’s policies has been ... growing backlash at the soaring cost of the renewable-heavy mandates. The backlash is also coming from rural landowners who are inflamed by the encroachment of large wind-energy projects on their neighbourhoods. This backlash has forced European policy makers to begin scaling back their plans.”
BHP Billiton chief executive Andrew Mackenzie is furious that another failure of the electricity network in South Australia resulted in the prized Olympic Dam mine being without power for more than four hours overnight.
Prime Minister Malcolm Turnbull accused some state governments of putting too much emphasis on generating electricity from wind farms, putting Australia’s energy security at risk and “distorting the national energy market.”
The nation’s renewable energy strategy has officially blown a fuse. Everything is back on the table after an interim report found last week’s storm-induced statewide blackout in South Australia was the result of a dramatic, sudden loss of wind power generation.
The power failure has cost billions in losses to households and business. It has pitted state and federal governments against each other over fragmented ¬renewable energy targets and left green groups scrambling to shift the blame from renewables to climate change. Most of all, the statewide blackout has left South Australia looking foolish and reminded everyone how security of electricity supply easily can be taken for granted.
The market price of the subsidy households end up paying to wind farms has surged by up to 270 per cent in just two years. A grab-bag of green schemes is expected to add between $90 and $190 to power bills in 2016-17 depending on where consumers live.
It appears investors have been spooked by policy uncertainty, despite an RET subsidy of almost $80 a megawatt hour, which comes on top of the $40-$60 a MW/h that generators are typically paid for participating in the National Electricity Market.
And if the federal process works, not a single turbine will ever start slaughtering birds at Dundonnell. ...The (state-based) environmental effects study which gave the project the green light was a joke. Birds in general will be cut down by the turbines. They do end up turning occasionally; indeed when they really get going they can be very efficient bird killers.
Chris Back called for a moratorium on new wind farms, and no more subsidies for wind energy generators until the Productivity Commission conducted a cost-benefit analysis of the effect the industry was having on the National Electricity Market and retail electricity costs.
If Frydenberg does not give EPBC approval for Dundonnell he can expect a fiery backlash and accusations of turning his back on renewables and new economy jobs. If he does give EPBC approval Frydenberg will be accused of grand-scale environmental vandalism against the Victorian brolga, which is listed as threatened and nests at the proposed wind farm site.
Wind turbines in South Australia were using more power than they generated during the state’s electricity crisis, which has prompted major businesses to threaten shutdowns and smaller firms to consider moving interstate. The sapping of power by the turbines during calm weather on July 7 at the height of the crisis, which has caused a price surge, shows just how unreliable and intermittent wind power is for a state with a renewable energy mix of more than 40 per cent.
Rising energy prices fuelled by South Australia's ambitious renewable energy target have helped send stricken Whyalla steelmaker Arrium cap in hand to governments seeking $150 million-plus in taxpayer aid. Higher energy prices may have added as much as $12 million to Arrium's annual costs, with rising gas prices and South Australia's wind and solar power among the main culprits.
"[South Australia] has moved so far ahead of the rest of Australia in terms of changes of generation", with a prominent role for renewable energy which has forced the closure of coal-fired power stations, he said. "Not only are they paying through the nose for their electricity, but with large price declines last year, and now the big rises this year – you can't get stability in household budgets.