Turnbull’ Trilemma: PM’s Power to Rise (or Fall) with National Energy Guarantee

The reason that Australian governments give for policies set to squander $60 billion in subsidies on wind and solar power is a three-way mission to deliver (1) reliable, (2) affordable and (3) low-CO2-emissions electricity.
After the debacle that’s played out in Australia’s wind power capital, South Australia, the odds of that trifecta ever becoming a reality are clearly nil.
Sure, generating power and reliably delivering it can be done without generating much CO2 gas. But unless nuclear power is used as the generation source, power consumers can expect to pay the highest power prices in the world, just like South Australians, Germans and Danes (all wedded to the delusion that a country can run on sunshine and breezes).
In short, combining wind and solar with pumped hydro and much hyped mega-batteries comes with an obscene price-tag. South Australia has just thrown $150 million of taxpayer’s money at Californian Carpetbagger, Elon Musk for a battery pack that will ‘power’ the economic basket case for all of four minutes when the wind stops blowing.
Australia’s self-inflicted energy crisis is the product of deliberate and considered action. Now that the results are in (an unmitigated disaster for businesses and householders, alike), the officious bystander would be entitled to stand gobsmacked at the ponderous inertia demonstrated by the Federal Coalition government.
PM, Malcolm Turnbull is clearly incapable of unwinding any of the policies that caused the damage in the first place. Instead, the next best thing is yet another layer of government intervention in a market already so tangled and distorted that it resembles a crippled octopus.
Because Turnbull’s proposal for a National Energy Guarantee is a policy directed at undoing the obvious and inevitable harm that the Federal government’s Large-Scale Renewable Energy Target has done (and continues to do) to Australia’s once reliable and affordable power supplies.
On the broader level, the NEG is like a rabid dog chasing its tail, or placing more and more Band-Aids on top of bloody Band-Aids.
The stated objective of the LRET is to subsidise purportedly low emissions wind and solar to reduce CO2 emissions in the electricity generation sector. The NEG is accompanied with an Emissions Obligation which has the same objective.
If ever there was an unnecessary policy duplication, having the LRET still in place with the introduction of the NEG and its Emissions Obligation sits as the prime example.
On one side of the fire stands the Energy Security Board trying to ameliorate the damage, on the other side stands the Clean Energy Regulator literally throwing petrol on the conflagration.
In this piece, Alan Moran unpacks the obscene cost of running two horses in the same perverted policy race.

STOP THESE THINGS

The reason that Australian governments give for policies set to squander $60 billion in subsidies on wind and solar power is a three-way mission to deliver (1) reliable, (2) affordable and (3) low-CO2-emissions electricity.

After the debacle that’s played out in Australia’s wind power capital, South Australia, the odds of that trifecta ever becoming a reality are clearly nil.

Sure, generating power and reliably delivering it can be done without generating much CO2 gas. But unless nuclear power is used as the generation source, power consumers can expect to pay the highest power prices in the world, just like South Australians, Germans and Danes (all wedded to the delusion that a country can run on sunshine and breezes).

In short, combining wind and solar with pumped hydro and much hyped mega-batteries comes with an obscene price-tag. South Australia has just thrown $150 million of taxpayer’s money at Californian Carpetbagger, Elon…

View original post 1,826 more words

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s