ENERGY POLICY – AUSTRALIA

Avalanche of renewables may threaten power grid

roymorgansocial Leave a comment

Original article by Perry Williams
The Australian – Page: 1 & 8 : 5-Dec-18

Bloomberg New Energy Finance estimates that clean energy will account for the bulk of investment in Australia’s electric power generation capacity in the next two decades or so. However, the International Energy Agency’s executive director Fatih Birol says the stability of Australia’s energy grid may be jeopardised if measures are not in place to ensure that it can cope with a big influx of renewables. Birol adds that increasing renewables’ share of the energy mix is not the sole solution to global warming. Labor proposes to implement the national energy guarantee as part of its climate change policy.

CORPORATES
INTERNATIONAL ENERGY AGENCY, AUSTRALIAN LABOR PARTY, BLOOMBERG NEW ENERGY FINANCE, LIBERAL PARTY OF AUSTRALIA, AUSTRALIAN ENERGY MARKET OPERATOR LIMITED

Sparks fly in ex-PM’s energy war

roymorgansocial Leave a comment

Original article by Simon Benson, Joe Kelly
The Australian – Page: 1 & 4 : 5-Dec-18

Former prime minister Malcolm Turnbull says the federal government should implement his signature national energy policy, noting that it had been strongly supported by his successor Scott Morrison. Turnbull has also rejected suggestions that the government had shelved the NEG shortly before he was ousted, stating that Cabinet had agreed to put it on hold until there was sufficient support in parliament to pass the legislation. A spokesman for Turnbull has also denied claims that he has discussed the NEG with Opposition Leader Bill Shorten since the leadership spill.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE TREASURY, LIBERAL PARTY OF AUSTRALIA, SMART ENERGY COUNCIL

Do NEG deal with Labor

roymorgansocial Leave a comment

Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 4 : 27-Nov-18

Former deputy Liberal leader Julie Bishop says the federal government risks the same fate of the Victorian Liberals at the state election unless it takes action on the issue of climate change. Bishop says the coalition should seek a bipartisan deal with Labor regarding the National Energy Guarantee, as this would provide certainty for the energy industry. Prime Minister Scott Morrison says climate change is a "very real and serious issue" that has the government’s attention.

CORPORATES
LIBERAL PARTY OF AUSTRALIA, AUSTRALIAN LABOR PARTY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET

Strategy will shut four coal plants

roymorgansocial Leave a comment

Original article by Matthew Denholm
The Australian – Page: 6 : 23-Nov-18

Minerals Council of Australia CEO Tania Constable says Labor must explain how it will guarantee a reliable base-load power supply under its policy of a renewable energy target of 50 per cent by 2030. She has warned that the policy could force four coal-fired power stations in Victoria, New South Wales, South Australia and Queensland to be shut down well before the 2030 target date, in addition to the Liddell plant in NSW. She adds that this would result in a big rise in electricity prices.

CORPORATES
MINERALS COUNCIL OF AUSTRALIA, CONSTRUCTION, FORESTRY, MARITIME, MINING AND ENERGY UNION OF AUSTRALIA, ELECTRICAL TRADES UNION

ALP’s $2000 handout in battery plan

roymorgansocial Leave a comment

Original article by Simon Benson
The Australian – Page: 1 & 4 : 22-Nov-18

Federal Opposition Leader Bill Shorten will announce key details of Labor’s energy policy on 22 November. Amongst other things, Labor will provide households with annual income of less than $180,000 with a rebate of up to $2,000 to install electricity storage batteries. Labor’s aim is for one million households to have storage batteries by 2025, as part of its commitment to a 50 per cent renewable energy target. Labor will also flag plans to implement the federal government’s national energy guarantee if it wins the next election.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. CLEAN ENERGY FINANCE CORPORATION, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

Network CEOs strike back on power prices

roymorgansocial Leave a comment

Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 17 : 7-Nov-18

Energy Minister Angus Taylor will meet with the CEOs of power retailers on 7 November, where he will give them until 1 January to begin reducing electricity prices. Meanwhile, the CEOs of electricity network operators argue that regulated network costs have been cut significantly. TransGrid CEO Paul Italiano says its costs now comprise only 3.4 per cent of the average household electricity bill in New South Wales. Electricity retailers in turn argue that network charges, renewable energy subsidies and wholesale tariffs are the major contributors to high electricity bills.

CORPORATES
AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, TRANSGRID, AUSGRID PTY LTD, ORIGIN ENERGY LIMITED – ASX ORG, AGL ENERGY LIMITED – ASX AGL, ENERGYAUSTRALIA PTY LTD, ENDEAVOUR ENERGY LIMITED, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

AGL could face savage hit to earnings

roymorgansocial Leave a comment

Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 6 : 25-Oct-18

Morgan Stanley estimates that the federal government’s proposed measures to reduce electricity prices could potentially slash the 2020 EBITDA of AGL Energy and Origin Energy by up to $361m and $426m respectively. Matthew Blumberg of Hayberry Global Fund adds that government intervention in the electricity sector could in fact result in reduced competition and enable the major players to increase their market share.

CORPORATES
MORGAN STANLEY AUSTRALIA LIMITED, AGL ENERGY LIMITED – ASX AGL, ORIGIN ENERGY LIMITED – ASX ORG, HAYBERRY GLOBAL FUND, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, ENERGYAUSTRALIA PTY LTD, CLP HOLDINGS LIMITED, CITIGROUP INCORPORATED, AUSTRALIAN ENERGY REGULATOR

Cut power bills by new year or else

roymorgansocial Leave a comment

Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 4 : 24-Oct-18

The Business Council of Australia has warned that some of the federal government’s proposed measures to put downward pressure on electricity prices could create investment uncertainty. Amongst other things, energy retailers will be required to offer default price contracts from mid-2019, while energy companies could be forced to divest assets if they fail to take sufficient action. The government also proposes to underwrite investment in new reliable energy sources. Prime Minister Scott Morrison says reducing electricity prices and cutting carbon emissions are not mutually exclusive.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, BUSINESS COUNCIL OF AUSTRALIA, AUSTRALIAN LABOR PARTY, AUSTRALIAN ENERGY COUNCIL, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, VICTORIA. DEPT OF ENVIRONMENT, LAND, WATER AND PLANNING, AUSTRALIAN ENERGY REGULATOR, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

Morrison in bid for unity on energy

roymorgansocial Leave a comment

Original article by Joe Kelly, Ben Packham
The Australian – Page: 1 & 6 : 23-Oct-18

The federal government will establish a price benchmark for electricity retailers, which was a key recommendation of the Australian Competition & Consumer Commission’s review of electricity prices. The "default market offer" rate will take effect from mid-2019, and is part of the government’s commitment to reducing power bills. Meanwhile, National Party MP Keith Pitt rejects suggestions that the Coalition’s climate change policy was the main cause of its poor performance in the Wentworth by-election.

CORPORATES
AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, NATIONAL PARTY OF AUSTRALIA, LIBERAL PARTY OF AUSTRALIA, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, AUSTRALIAN LABOR PARTY, AUSTRALIA. OFFICE OF THE CHIEF SCIENTIST, AUSTRALIAN ENERGY REGULATOR, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE

Barnaby’s coal plan powers up detractors

roymorgansocial Leave a comment

Original article by Ean Higgins
The Australian – Page: 5 : 16-Oct-18

National Party MP Keith Pitt has questioned the viability of the federal government’s Snowy Hydro expansion plan. He argues that investing in coal-fired power stations may be a better option if Snowy 2.0’s cost per megawatt hour is very high. The issue of energy policy has come under renewed scrutiny after former deputy prime minister Barnaby Joyce advocated coal-fired power in preference to Snowy 2.0. However, the University of Queensland’s Professor Tor Hundloe says pumped hydro is much more cost-effective than coal-fired power generation.

CORPORATES
NATIONAL PARTY OF AUSTRALIA, UNIVERSITY OF QUEENSLAND