“Australia’s electricity grid is not fit-for-purpose and requires additional investment. The long-term benefits include a more stable grid and cheaper power prices thanks to onboarding more renewables,” said Richie Merzian, Climate & Energy Program Director at the Australia institute.
“The evidence shows that wholesale electricity prices have increased in every jurisdiction in the National Electricity Market (NEM) since the Coalition Government came into power, largely due to Australia’s reliance on expensive gas and coal.
“This year, wholesale electricity prices have doubled due to reliance on costly gas and coal power.
“Unlike Germany, Australia does not have an electricity transition plan despite the increasing announcements of early coal fired power station retirements.
“The federal government has to date been focused on intervening in the market to build new gas power stations like Kurri Kurri and attempt to prolong the life of coal fired power stations, as it tried and failed to do with the Vales Point power station.
“State Governments are focused on building massive new Renewable Energy Zones. The federal government could and should be helping by investing in a fit-for-purpose electricity grid.
“If the Government is going to make sensationalist claims about price rises 10 years into the future they should release the full economic modelling so that it can be subject to appropriate scrutiny.”