Government accused of policy paralysis while uncertainty reigns over renewable energy targets

The full moon sets behind a wind farm in
 the Mojave Desert in California,
January 8, 2004.

The bickering between state and federal governments on renewable energy targets is creating massive uncertainty, according to climate change and energy specialists.

David Blowers from the Grattan Institute says investors, utilities, industry and householders are in the dark about what to expect in 2017.

Mr Blowers said the only certainty was that electricity prices would rise for everyone.

"Electricity prices have already been factored into next year and they're going to be higher," he said.

"Tackling a new energy system makes that inevitable.

"Replacing a lot of generation stock and infrastructure with a whole lot of new stuff is expensive, so prices will rise.”

Mr Blowers said it might be unpalatable, but there must be give and take on both sides if politicians are to reach consensus and enable investment.

Read the ABC story - “Government accused of policy paralysis while uncertainty reigns over renewable energy targets.”