Antinuclear

Hans Joseph Fell warns on Australia’s economic need to foster renewable energy

The end of baseload? It may come sooner than you think, RENeweconomy, By Giles Parkinson   20 February 2012  Hans Joseph Fell interviewe d by RENeweconomy

“…….Q: What is your assessment of policies in Australia?

A: You have wonderful research for renewables in Australia, at ANU, Sydney University and elsewhere. Research is very important but without market introduction it is not so useful, and you do not have enough deployment. You need a good feed-in-tariff. But you do have a carbon price, which balances a bit the high external cost of fossil fuel production, so it balances a little the uncompetitiveness of renewables.

The main thing is that Australia is the biggest exporter of uranium and coal – most investors believe that when uranium and coal prices rise, it is good for their business, because they have a bigger income. But I believe that this is not stable in future. It happens already in Germany, the higher the coal price is rising, the more coal fired power stations they close, because they are uncompetitive with renewables. The higher they go, the less coal other countries will buy from Australia. I see most new investment  in coal is a stranded investment.

Q: That message is not getting across.

A:  That’s because they believe it will go on., but it will not go on. The oil price will be the leading price for all energies. Peak oil is already here, the IEA says it is. In coming years we must fear declining oil production. This will lift price very high, and that will increase pressure on people, banks and nations. The only chance to come out of this economic crash is to go renewables…… http://reneweconomy.com.au/2012/the-end-of-baseload-it-may-come-sooner-than-you-think-29425

February 21, 2012 - Posted by Christina Macpherson | AUSTRALIA - NATIONAL, business