Antinuclear

Only in Australia, one imagines, can a proposal by the government to slash the country’s renewable energy target by more than half be proclaimed by the “experts” as a “victory” for the moderates. Such is the toxic nature of this government’s antipathy to all things clean and green, and wind farms in particular. Welcome to Team Australia. Open to vested interests.

Devastation for the renewable energy industry appears to be the only outcome for the political manoeuverings going on in Canberra. As if this was not evident enough, Keppel Prince – the largest manufacturer of wind towers in the country – mothballed its business and sacked 100 staff on Thursday. It’s a decision that reflects the grim reality – there will be precious few, if any, new wind farms built in Australia in coming years. The Coalition government and its anti-wind element simply won’t allow it. And it is the simple mechanics of what is happening now in the federal policy area.

The Coalition knows through its policy of obfuscation that even with a “something is better than nothing” approach, the industry will wither on the vine. The only way to encourage investment is for the Coalition to agree to a robust target – something it has no intention of doing. Even a compromise deal – something rather than nothing – is unlikely before 2015, because there are only two weeks left for the parliament to sit.

The Abbott government came to power with an unstated platform to kill the large-scale renewable energy industry in Australia, and it is largely succeeding.

The wind industry – and the large-scale solar industry for that matter – is getting desperate. Investment has come to a standstill, some international players have left, others are on the verge of doing so, and the local players are on the verge of financial ruin.

The trouble is, even a little “something” (in the form of a compromise deal of around 31,000GWh) could be disastrous for the industry. It would push back many projects by years, cause many remaining international developers to leave Australia, and put existing investments in peril because of the fall in the price of certificates.

Only a few wind farms – such as those contracted by the ACT government from its own 90 per cent renewable energy target – and some smaller-scale solar farms will get built. The rest of the industry will remain at a standstill.

This, of course, would suit the Coalition. Their policy is driven by a host of factors, not least their hatred of wind farms, their refusal to accept the climate science, and their commitment to the interests of energy and industry incumbents. Little wonder that Australia’s reputation as a safe investment destination is being trashed. It has fallen from 4^th to 10^th on an index of investment attractiveness, has fallen to last on another survey on climate and clean energy policies, and ranks below poor Caribbean and African countries in terms of investment…………http://reneweconomy.com.au/2014/renewable-energy-target-about-to-get-an-abbott-style-haircut-98671