Media

The Productivity Commission report is a misreading of the implications for Australia of a profound global geopolitical shift already underway: unprecedented government intervention by the United States, European Union, Canada, South Korea, Japan and a growing list of other economies to reposition themselves in the accelerating global energy transition, rebuild manufacturing onshore, and secure clean-tech supply chains against China’s decade-long head start. Read more

As Victoria bans methane gas in new homes, Tim Buckley notes the rollout of green hydrogen is facing its own challenges. Whilst Australia’s $2bn Hydrogen Headstart scheme, set to start in fiscal 2027, has been touted to kick start the hydrogen economy, Tim Buckley warned that handing out money is not an economical or long-term solution. “Subsidies are time limited, which means they are limited in their effectiveness and nature. The industry is not going to be viable absent those subsidies. You ultimately need a price on carbon,, where companies would do the right thing or pay tax for doing the wrong thing, in this case carbon emissions.” Read more

As Victoria bans gas in new homes, Tim Buckley says the decision signals a broader shift in attitudes towards gas. Having sold Australian gas offshore more cheaply than it did domestically the industry is losing its social license. It is now an easier target for reform by governments determined to cut greenhouse gas emissions and household costs. Read more

Tim Buckley said: “Application approvals of new zero-emissions replacement capacity in FY2023 trebled to 7 gigawatts (GW) vs the previous two years, but we are still not seeing grid transmission and planning access bottlenecks removed. There is a record 30GW of new renewable energy capacity now in the connection pipeline, but just 3GW was completed in FY2023. We need to see the rate of completions double to replace end-of-life coal power station capacity inevitably and predictably coming offline.” Read more

AEMO reports the June quarter wholesale electricity prices are down 59 per cent year-on-year. That is a major relief after 18 months of unprecedented fossil fuel hyperinflation,” Tim Buckley said. Read more

As Tim Buckley says, AEMO’s report shows electricity prices are down as fossil fuel hyperinflation driven by war profiteering of coal and gas producers moderates and renewables start to come online. Wholesale electricity in the June quarter have dropped 59% in the June quarter year on year. Read more

CEF’s report into NSW’s energy transition last week recommended the state use social housing and other government-owned buildings to build a steady pipeline of solar-panel “power plants”. Report author Tim Buckley said solar could replace half of the capacity lost when NSW coal-fired power stations Eraring and Vales Point retire in 2025 and 2029 respectively. “It requires next to no grid upgrades, so no cost-of-living pressure, and it can be done really bloody quickly.” Read more

Tim Buckley, director of think tank Climate Energy Finance, said the lack of funding for communities in the REZ had divided people. “We just have to make sure that the communities most affected get some ongoing benefit to ameliorate some of that anxiety and spread the love around,” he said. Read more

Tim Buckley says there are more than enough renewables investment proposals in the pipeline to offset coal closure and deliver lower prices, but we need the NSW government to expedite approvals processes and support the scaling of rooftop solar to bring capacity online. Read more

As the coal lobby argues for Eraring’s life to be extended beyond 2025, Tim Buckley said: keeping Eraring open longer than planned would cost taxpayers between $200 million and $400 million a year in subsidies. He argued the money would be better spent on speeding up the development of renewable energy capacity needed to replace fossil fuels. Read more

Tim Buckley: “There is more than enough new capacity in the pipeline to replace closing coal power stations. It’s a question of whether the NSW bureaucracy is going to actually approve it. We have seen a little bit of a lull in new investment decisions. And that’s really coming back to regulatory inertia. The energy minister must place pressure on the bureaucracy to approve renewables faster. We’ve seen batteries have been built in just 12 months once they get to final investment decision.” Read more

Tim Buckley on ABC TV 7pm News responds to the AER’s Wholesale Markets Quarterly Report, noting that there is more than enough renewables capacity in the pipeline to offset coal power closures – it is a matter of whether the NSW bureaucracy is going to approve it in a timely way. Read more