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This is intended as comedy but sadly it's also factually correct and remains so today, 5 years after it was made:
"We have an energy market."
'Nuff said.
This is intended as comedy but sadly it's also factually correct and remains so today, 5 years after it was made:
Droll. Often political satire makes a point far better than a dry story. Clarke and Dawe were the masters. Few others came close."We have an energy market."
'Nuff said.
Droll. Often political satire makes a point far better than a dry story. Clarke and Dawe were the masters. Few others came close.
To highlight that difference in how different groups will see it (not actual quotes from anyone but to illustrate):
Big industrial company wanting to build a factory etc: "We're making a huge investment in machinery etc that has a working life of at least 30 years and we need an assured supply of energy to underpin that".
Engineers assessing options for a new power station: "No point building a power station if there isn't going to be fuel available to run it with. Whatever option we go with, it has a long working lifespan and we need to ensure there's fuel available, economically, for that duration".
Gas company: "We don't make money having 50 years worth of gas sitting in the ground, we make money by selling it ASAP".
Therein lies a huge conflict.
To a big energy user or someone focused on maintaining supply well having an abundance of gas in reserve is exactly what you want. You don't commit to using what's not there since that represents an unnecessary risk.
Hence if we look at the historic power developments in Australia, they were all based on proper measurements of coal reserves, water resources (hydro) and so on. They didn't build Loy Yang without drilling a lot of holes in the ground to determine that there was in fact coal where they thought there was coal. Meanwhile the hydro developments were based on decades worth of river flow data in many cases and where that wasn't available proper estimates, itself a major piece of work, were done to ensure that the overall scheme was in fact based on a resource that really does exist. End result is the coal and hydro schemes worked as intended, they had available the expected resource over the life of the facility which is decades.
That a new mine was developed, at huge expense, for Loy Yang rather than using coal from the already in production Yallourn or Morwell mines was for precisely that reason. Whilst it would've worked initially, the coal available from those existing sources wasn't going to be sufficient for the life of the station and was needed for the remaining life of those already built.
A big problem with all this energy stuff is the different timescales involved when compared to most business.
When you're talking about projects taking 10+ years to build and then being in operation for half a century or more and which are based on decades worth of collected data, this really isn't something where short term thinking works.
As a case in point, it was 1918 when Victoria committed to power generation at Yallourn and it'll be 2028, so 110 years later, when it ends. That sort of thing just doesn't fit at all well within the model of anyone seeking to just dig the coal up for a quick $.
This is intended as comedy but sadly it's also factually correct and remains so today, 5 years after it was made:
I'm not sure when the climate change issue was first raised at the scientific level but it was a very long time ago now. I've come across references to it dated from the 1890's.Against this history is simple physics. That is, climate change, and finite natural energy resources due to burning.
If I'd written it then it would have three times as many words but be only half as funny at best.I think Smurf must have written that .
Not meaning to diminish anything in your post but there are several important points to add.It isn't all doom and gloom, Australia is still at the forefront of transitioning to renewables, the fact that a new Govt with a stated intention of pushing harder toward renewables is now in office, IMO will be a spur for the coal sector to pursue active incentives to continue in operation. The previous Govt was leaning toward the market sorting out the demise of coal, whereas now I'm guessing there will have to be some proactive market involvement by the Govt, as they actually want a reduction of 43% by 2030.
How that will be achieved, without the Govt either installing new generating capacity and or paying existing generators, will be interesting.
Very true I've mentioned on several occasions, Australia is one of the largest per capita consumers, early in the thread I mentioned to Bas if we could halve our usage a lot of the coal generators wouldn't be required.Not meaning to diminish anything in your post but there are several important points to add.
First, we did well per capita in 2020 because Australian's have the biggest houses in the world (on average)
View attachment 142822
and we can afford to invest more in private rooftop solar:
View attachment 142821 Next, 2020 was an outlier and 2021 did not look so good for us:
View attachment 142820
The above link notes, "Oceania is no longer the fastest growing region (+5.2%), although its share of global capacity is small and almost all of this expansion occurred in Australia."
The problems we have are well covered in this thread. We are behind in storage, interconnectors for grid scale distribution of renewables (HVDC) - Marinus Link being an example, and DER. And this does not cover where we should have been if Finkel's National Hydrogen Strategy was properly funded rather than getting backburner status.
There's a lot for Labor to do, and if they can avoid the influence of lobbyists and the big donations they hold out it's possible they might get some things right for a change.
This is what really gives me the irrits... Climate action NOW! So long as it's someone else living in a cave, huddled around a single candleVery true I've mentioned on several occasions, Australia is one of the largest per capita consumers, early in the thread I mentioned to Bas if we could halve our usage a lot of the coal generators wouldn't be required.
But being a country of entitled people, the last thing we will do is reduce our personal consumption, we just want our indulgence to be cleaned up.
Very true I've mentioned on several occasions, Australia is one of the largest per capita consumers, early in the thread I mentioned to Bas if we could halve our usage a lot of the coal generators wouldn't be required.
But being a country of entitled people, the last thing we will do is reduce our personal consumption, we just want our indulgence to be cleaned up.
That one's a tad closer than many might realise.huddled around a single candle
What has caused the surge in prices that triggered the cap?That one's a tad closer than many might realise.
In short:
Extremely high prices in Queensland, which have averaged over $800 / MWh over the past week, have now triggered the $300 administered price cap for electricity.
At $300 / MWh the open cycle gas and diesel fired generators can't even cover fuel costs so have withdrawn capacity. This occurred today.
That very nearly put the lights out tonight, a situation that has been temporarily averted through directions but ultimately the problem persists as such.
The $300 price cap has now also been triggered in NSW, extending the problem to that state.
Ultimately this isn't an engineering failure but a financial one. It's a problem needing to be fixed not by those with spanners or in control rooms but by those who came up with what were termed "reforms" back in the 1990's which ultimately created this mess.
More information here:
Energy price and supply update - 13 June 2022
aemo.com.au
It makes it h and to understand why Jim Chalmers said they were not proposing a super profits tax like the UK , unless they have something else in mind.@SirRumpole you will like this article, it explains why a tax on volume is critical, it explains how it is easy to wash profits.
Australia is paying more for gas and the 'tragedy' is the profits are nearly all going overseas
Australia's oil and gas resources are overwhelmingly exploited by global multinationals and most of these corporations pay no tax.www.abc.net.au
The Ukraine war.W
What has caused the surge in prices that triggered the cap?
How so??The Ukraine war.
Haven't you kept up with the events ?How so??
the standard answer to every problem is the Ukraine war lately, doesn't even matter what question is.
The article explains the problem with a super profits tax, the companies don't make a super profit, also as the article says the Arabs put a 35% royalty on the gas ours is from memory 2.5 or 5%.It makes it h and to understand why Jim Chalmers said they were not proposing a super profits tax like the UK , unless they have something else in mind.
So you are saying Australia imports gas from Russia??Haven't you kept up with the events ?
Russia produces most of Europes gas, Europe has boycotted Russian gas so they are looking elsewhere, therefore there is a gas shortage and the price goes up.
Meanwhile, our generator companies haven't maintained some of their stations and unit have gone out of service, plus flooding in coal mines had led to a coal shortage.
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