Antinuclear

In Australia, renewable energy now cheaper than new fossil fuels

Analysts say renewable energy now cheaper option than new fossil fuels
in Australia, Gizmag,  By Antonio Pasolini February 14, 2013 In 2008,
the Garnaut Climate Change Review ranked Australia as the highest per
capita emitter of greenhouse gases of any OECD country and amongst the
highest in the world. One of the reasons for the country’s high carbon
footprint is its reliance on coal for electricity generation – 54
percent of it, according to the Australian Coal Association. But a new
study by Bloomberg New Energy Finance (BNEF) points to a cleaner
energy future with the claim that unsubsidized renewable energy is now
a cheaper option for electricity generation than new coal- or
gas-fired power stations.

According to the BNEF study, electricity can now be supplied from a
new-build wind farm in Australia for AUD$80/MWh (US$83), while the
cost of electricity supplied from a new coal plant is AUD$143/MHh
(US$148) and AUD$116/MWh (US$120) for new baseload gas plants. While
these figures include emission taxation under Prime Minister Julia
Gillard’s carbon pricing scheme that was introduced last year, the
report says that, even without a carbon price, wind energy is still 14
percent cheaper than new coal and 18 percent cheaper than new gas.
The prices are the continuation of a downward trend for renewables in
Australia……
Beijing has signaled plans to implement a quota system that would
require grid operators to source 5 to 15 percent of their electricity
from wind farms.

At this stage, there are no clear signs as to when renewables will
reach grid parity with fossil fuels on a global level. However, clean
energy specialists seem to be convinced that technology and temporary
government policies will take us there, at least in some specific
markets.

“As renewable energy technologies become more cost-competitive, the
importance of government subsidies is set to decrease to create a
sustainable growth platform for both developed and emerging markets,
as well as manufacturers,” predicts Ernst & Young’s Cleantech Leader,

February 16, 2013 - Posted by Christina Macpherson | General News