Dec 07 2016

Climate Review Must Consider All Policy Options

The Federal Government’s Climate Change Review in 2017 must consider all sensible options to repair the existing electricity system, the energy industry said today.

The Australian Energy Council’s Chief Executive, Matthew Warren, said the electricity sector is already exhibiting the effects of a decade of policy uncertainty and consequent investment gridlock.

“Old generators are exiting the market, but political uncertainly means we are unable to build the kinds of assets that can effectively replace them.

“As a result, the grid is now visibly deteriorating. Reliability is being compromised.  The grid will continue to deteriorate until this uncertainty is resolved, which requires effective, efficient, durable, national climate and energy policy.

“To arrive at a well-considered policy the Government’s review needs to assess all feasible options.

“It is no more sensible to say we should just build new coal-fired power stations as it is to suggest we can switch the grid over to 100 per cent renewables over the next decade.

“The practical reality lies, as it always does, somewhere in the middle.  Policy settings should support the building of new gas and renewables generation to deliver the low emissions system Australia needs in the 21st century.  In the meantime, there will continue to be a role, although diminishing, for existing plant in the transition.

“The industry wants to deliver an affordable, decarbonised electricity system at the lowest cost to consumers.  This cannot occur unless banks and investors are able to underwrite the investments necessary to achieve it.

“The Federal Government must leave all policy options on the table as it prepares to undertake this critical review of climate policy in 2017.”

 

About the Australian Energy Council

The Council represents 21 major electricity and downstream natural gas businesses operating in competitive wholesale and retail energy markets. These businesses collectively generate the overwhelming majority of electricity in Australia and sell gas and electricity to over 10 million homes and businesses.

Media contact             Carl Kitchen                0401 691 342

Related News

News

Australian Energy Council congratulates Daniel Westerman

The Australian Energy Council congratulates Daniel Westerman on his appointment as CEO and Managing Director of the Australian Energy Market Operator.

Feb 10 2021
News

New data shows solar shines despite lockdowns

Rooftop solar installation grew by 18 per cent nationally over the last year, according to the Australian Energy Council's latest Solar Report, which showed record growth in solar PV capacity and installations during 2020.

Feb 04 2021
News

Australian Energy Council congratulates Chris Bowen and thanks Mark Butler

The Australian Energy Council congratulates the Hon Chris Bowen MP on his appointment as Shadow Minister for Climate Change and Energy and thanks the Hon Mark Butler MP for his extensive work in the portfolio.

Jan 29 2021
GET IN TOUCH
Do you have a question or comment for AEC?

Send an email with your question or comment, and include your name and a short message and we'll get back to you shortly.

Call Us
+61 (3) 9205 3100