How Origin Energy is strangling renewables

Energy giant ‘actively blocking renewables‘ http://www.businessspectator.com.au/news/2013/10/23/renewable-energy/energy-giant-actively-blocking-renewables Origin Energy is actively blocking renewable energy, a report has found.Co-produced by Greenpeace Australia Pacific and 100% Renewable, a community campaign for clean energy, the report – titled Strangling Renewables: Origin Energy’s campaign against renewable energy – accuses the energy giant of strangling renewables as part of a strategy to prolong the dominance of gas and fossil fuels.

“As this report shows, Origin is strangling renewable energy in a number of ways, including running a smear campaign against the renewable energy target, which sets Australia’s goal for the amount of our energy produced by renewables, and using misleading public statements to manipulate the general public and politicians alike,” said Lindsay Soutar, the national director of 100% Renewable.

“Origin’s Managing Director, Grant King, has repeatedly said the renewable energy target is a primary driver of increased energy costs. But, that is inaccurate, with the main cause of price rises – at over 70 per cent – due to over investment in poles and wires.”

Greenpeace Australia head of program Ben Pearson said Origin has used its market power to sideline clean energy sources by underinvesting in its own renewables portfolio. “Origin has also underinvested in its own renewable energy portfolio and is blocking other clean energy developers projects from going forward – using its market power to keep renewables on sidelines,” Ben Pearson, Head of Program at Greenpeace Australia, says.

The report shows that Origin has invested heavily in gas projects, including developing new LNG projects and gas generating plants, and also generates 75 per cent of its profit through its retail arm – but increasingly these are threatened by the emergence of cheaper, cleaner wind and solar.“In truth, renewables are working. As this report shows, renewables are reducing energy bills and producing clean energy in an efficient way. Not only that, but wind power is lowering wholesale power prices. And other countries are surpassing us with more ambitious renewable energy goals,” Ms Soutar says.

A review of Australia’s Renewable Energy Target, which is 20 per cent renewables by 2020, is scheduled to occur early next year. Origin boss Grant King has said he would prefer a higher RET target later – such as 30 per cent by 2030.

23 Oct,