Counting the cost of Tony Abbott’s war on renewables

Tony Abbott did his best to kill off renewable energy when he was PM—and he’s still trying it seems. But it is interesting to look back at the consequences of his efforts. The war on renewables was meant to reduce electricity prices. But it has done the opposite—and a lot more.

Tony Abbott did his best, and is still
trying to kill off renewables

The big negative for renewables has been that the uncertainty created by the war led to a collapse in investment in large renewable energy projects. And the compromise 2020 large-scale renewable energy target (LRET), reduced from 41,000 GWh to 33,000 GWh, is now driving much less renewable energy development.

However, even the reduced LRET still means a lot of renewable generation capacity has to be built fast, from a near standing start, to generate 55% more renewable electricity than was produced in 2016, by 2020.

A report for the Clean Energy Regulator estimates an additional 6000 MW of generation capacity will be needed to meet the reduced 2020 target—a doubling of the renewable generation capacity installed since 2001. This has driven up the price of large-scale generation certi cates (LGCs) from a long- term price of $30–$40 to $80–$90 (see box).

Read the RenewEconomy story by Alan Pears - “Counting the cost of Tony Abbott’s war on renewables.”