Labor climate policy requires scrutiny

The ALP’s announcement of key details of its climate policy on Monday was quickly overshadowed by the federal budget, but it could prove to be a more important document in the long-term if there is a change of government at the federal election.

The policy is complex and, unfortunately, the political debate on the details has been poor. Prime Minister Scott Morrison chose to respond to a question about climate policy in Parliament on Wednesday with a dad-joke impersonation of the slapstick character Borat from a 2006 movie.

The government’s failure to engage intellectually is giving the ALP too easy a ride. There are serious questions to be answered.

The ALP must show it has a practical plan that will achieve its promise to cut emissions by 2030 to 45 per cent below 2005 levels while at the same time keeping costs to a minimum.

Read the Editorial from The Age - “Labor climate policy requires scrutiny.”

Australia criticised for lack of long-term climate policy

A global energy body has criticised Australia’s lack of a long-term climate policy and urged a swift embrace of electricity market reform.

The International Energy Agency’s four-yearly review of the country’s energy policies, released yesterday, focuses on the transition to a low-carbon economy and the role of gas — areas the Federal Government chose for special scrutiny.

Executive Director Fatih Birol. 

It says the resilience of Australia’s electricity system is being tested with the transition happening at a faster pace and scope than expected.

However, the IEA says despite pledging to cut emissions under the Paris climate agreement, the Federal Government ‘‘has not yet come forward with durable climate change policies after 2020’’ nor named a long-term goal.

It notes that while Australia has cut the emissions intensity of its electricity sector by 15 percent since 2005, it is still the highest of any IEA member country and double the average.

‘‘The country is not subject to any effective carbon constraint or rate under the Emissions Reduction Fund and its safeguard mechanism,’’ the report states.

‘‘Current energy efficiency measures and climate mitigation policies are not sufficient. To meet its 2030 target, domestic efforts need to increase.’’

While the agency sees the national electricity market, covering the east coast states, as a world-leader, the IEA warns greater collaboration on energy security is needed.

‘‘The energy policy governance in Australia is very complex and fragmented,’’ it states.

‘‘It suffers from frequent changes of policy direction and institutions at commonwealth level.’’

A stable and longer-term framework of climate and energy policies is critical for investors and consumers.

The Turnbull government has proposed a national energy guarantee to ensure a reliable and lower emissions electricity sector.

The IEA says this could be an effective market-based mechanism provided the government can ensure more competition, better connection between the states and stronger rules for the integration of renewables.

‘‘We don’t know the details (of the NEG) yet, but looking at the concept and the highlights, I would say that this is a golden opportunity for Australia to study and to bring the energy and climate targets together,’’ executive director Fatih Birol said.

However, the report warns the policy could not become a silver bullet solution.

Energy Minister Josh Frydenberg says the IEA’s 52 recommendations align with what the government is already doing.

‘‘In particular, the national energy guarantee goes towards the review’s overarching recommendation for a stable, enduring policy response so that Australia can manage the energy transition already taking place,’’ he said.

Dr Birol briefed a group of about 100 stakeholders including Liberal, Labor and Greens MPs on the IEA report yesterday morning.

Greens energy spokesman Adam Bandt said the IEA made it clear the overwhelming majority of pollution cuts for Australia would come from renewables and energy efficiency and that was where the government should be spending its money.

From today’s Shepparton News - “Climate policy void warning.”

Electric cars are breaking our roads, here's how

In 2018, Australia's roads are plagued with problems: the long-term decline in the road death toll has slowed, congestion is tipped to increase and long commutes are linked to poor mental health.

And now a multi-billion-dollar road funding black hole looms.

It's caused by the growing popularity of fuel-efficient cars, prompting a multi-generational reset to national roads policy which will change how you pay to drive.

For the people who rely most on their vehicles, that means trouble.

Read the ABC News story - “Electric cars are breaking our roads, here's how.”

Failure to fully implement Finkel Review causing energy uncertainty: AEMC

The lack of a credible, long-term mechanism to achieve Australia's emissions reduction commitments has created uncertainty and deterred investment in the sector, a key energy market regulator says.

Ongoing security and reliability of energy supply is
 likely to be affected as the shift is made from
synchronous supplies – traditional power sources
such as coal or hydro – to non-synchronous – such
as wind or solar. 

Speaking at an energy regulators' forum on Tuesday, Australian Energy Market Commission (AEMC) chairman John Pierce said Australia's energy markets were undergoing a massive transformation, but it would not be a neat one.

In a discussion paper launched in conjunction with the event, AEMC said energy policy uncertainty in recent years had led to investment delays and consequent electricity price rises and risks to the security and reliability of the system.

"This uncertainty, around incentives for renewable energy or penalties for emissions, has counter-acted the signals for new investment coming from recent high wholesale prices," the paper said.

Read Cole Latimer’s story in today’s Melbourne Age - “Failure to fully implement Finkel Review causing energy uncertainty: AEMC.”