New modelling by energy market analysts RepuTex has added to the deepening concern about the proposed National Energy Guarantee, suggesting it is calibrated to achieve an outcome that is worse than doing nothing.
The RepuTex analysis builds on concerns that the modelling used to underpin support for the NEG made a complete hash of estimating what would happen if no policy was in place.
It finds that the “do nothing” scenario still results in a 29 per cent cut in emissions by 2030 – more than the 19 per cent assumed by the Energy Security Board and more than the 26 per cent targeted under the NEG.
That means that the NEG would provide no incentive for any new investment in renewable energy.
Read the story by Giles Parkinson from RenewEconomy - “New analysis shows that NEG is worse than doing nothing.”