RenewEconomy - Sophie Vorrath
Scott Morrison has wasted no time in signalling what direction his
“new generation” Coalition government will be taking on renewable energy
and climate change. And other political parties and observers have
reacted with anger and dismay.
As Giles Parkinson
writes here today,
the new prime minister has not only ended the experiment of combining
the energy and environment portfolios, but has appointed one of the
country’s most prominent anti-wind campaigners as energy minister, and a
former mining industry lawyer as environment minister.
His
chief of staff is a former deputy CEO of the Australian Minerals Council.
With Angus Taylor the new “minister for getting energy prices down,” and
Melissa Price
looking out for the environment (but not climate change), Morrison
appears to have abandoned any efforts to seek emissions reductions in
the electricity sector, or anywhere else for that matter.
So how is the news being taken elsewhere?
“It seems climate change is the portfolio that dare not speak its
name,” said Labor’s energy and climate spokesperson, Mark Butler, in
comments emailed to RE.
“Who has responsibility for climate change in the Morrison
government, or have they finally given up any pretence and under PM
Morrison there simply isn’t any climate change policy?”
Greens climate and energy spokesperson Adam Bandt said Morrison’s
ministry sent a crystal clear message on renewable energy and on climate
change.
“By breaking the Environment portfolio away from Energy and handing
the latter to a coal-hugger, Scott Morrison has given the middle finger
to climate change and renewable energy,” Bandt said.
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“Scott Morrison, the man who literally hugged a piece of coal on the
floor of the House of Representatives, has appointed another coal-hugger
to set the country’s energy policy.
“Angus Taylor has made a name for himself amongst the hard-right by
undermining renewable energy. Since he entered Parliament, he has been
on a crusade to destroy the Renewable Energy Target.
“Having the coal crew running Australia’s climate and energy policy is a recipe for more drought and more bushfires.
“When Parliament resumes, I will be confronting the new Energy
Minister about his record on climate change and renewables. We must
stand up to these coal-hugging zealots before they destroy our country
and our planet,” Bandt said.
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And on the other side of the equation, Liberal MP George Christensen –
the Coalition’s member for Dawson, in Queensland’s north – has welcomed
the new appointments, saying on Twitter he is looking forward to
Morrison and Taylor getting to work on establishing a “major equity fund
for new coal-fired power” and abandoning renewable energy subsidies.
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With a view to the energy market, ITK analyst and regular RE
contributor David Leitch said the appointment of Taylor “a cause for
some despair” for anyone hoping for bipartisanship on energy policy.
“There will likely be no meaningful federal government climate
policy, no attempt to do anything towards our legally binding, but
unenforceable COP 21 obligations,”
Leitch said in his article today.
“Taylor brings far too much negative history to the portfolio to be
ever seen as anything other than a roadblock, not even a speed-hump, but
a straight out roadblock.”
Executive director of The Australia Institute, Ben Oquist, told the
ABC on Monday that, while it was the Coalition’s prerogative to separate
its energy portfolio from climate, “we can’t separate… energy prices
and reliability from emissions reduction.
“And I think a lot of people will be looking for early signals from Angus Taylor that he understands that,” he said.
“We are going to decarbonise our electricity network… in the end
we’ll have to if we are going to meet our Paris targets and address
climate change. And anyway, renewables are cheaper.
“Given that, industry is going to be looking for a signal that Angus
Taylor understands that, because if we don’t get that signal there won’t
be investment certainty.
“And remember, these are investments that last 30 and 50 years, not
the five months, potentially, until the federal election, not event the
three years until the next government,” Oquist said.
But already, industry seems resigned to the fact that investment certainty for renewables is as far away as ever.
“It is now apparent that the NEG is headed for the well populated
graveyard of attempts at Australian energy policy and a further period
of policy uncertainty is likely,” ASX-listed wind farm developer Infigen
Energy said in its 2018 Annual Report.
“In any event, equally significant to the success of any new policy
settings will be government confidence in that policy’s capacity to
deliver outcomes that are market based. This requires governments to
refrain from sponsoring initiatives that undermine investor confidence and heighten risk,” the report said.
“Unfortunately, energy policy remains in a fluid state,” Infigen CEO
Ross Rolfe echoed, during the company’s results briefing for FY2018 on
Monday morning.
“We are no closer to achieving a national policy framework that
delivers on the goal of affordability, reliability and emissions
reduction.
“With the RET largely satisfied, new generation will respond to electricity price dynamics only,” he said.
Energy Networks Australia said it welcomed the appointment of Taylor,
at a time when Australia’s complex energy system was transforming
rapidly.
“Enduring policies that can deliver affordable and reliable energy as
we transition to a low emissions future continue to be the priority for
energy networks,” said ENA chief Andrew Dillon, in a statement on
Monday.
“I look forward to briefing Minister Taylor on how a more connected
future can increase competition and how we are working with the
Australian Energy Market Operator to create Open Energy Networks that
can harness the growing level of distributed generation to put downward
pressure on prices.”
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