*take nothing for granted!
Unless otherwise indicated all photos © Richard McKie 2005 - 2015

Who is Online

We have 99 guests and no members online

Translate to another language

Costs due to the renewable energy target

 

It is interesting that all parties have steered well clear of blaming Australia’s mandatory renewable energy target (MRET) for any of the past price increases.  Learn more about the MRET here…

Yet, as previously discussed on this website, in 2011 the Independent Pricing and Regulatory Tribunal (IPART), the NSW regulator, blamed the cost of renewable energy certificates for most of that year’s increases.  

IPART  determines the maximum prices charged for regulated electricity services provided by TRUenergy (formerly EnergyAustralia) and Origin Energy (formerly Country Energy and Integral Energy) in New South Wales.

There are now two kinds of certificates under the MRET.  Both are created in response to renewable electricity generation.

Small-Scale Technology Certificates (STCs) are earned by domestic PV solar owners; at a fixed clearing house price of $40 per MWh.  There is presently an excess of STCs in the clearing house and they are being discounted by some owners by around $10.

Large scale certificates have renamed Large-scale Generation Certificates (LGCs); previously called RECs in some places on this website.  The LGC price presently fluctuates between $35 and $45 depending on time of year. 

 

image005 
source: Energy Users Association of Australia http://www.euaa.com.au/green-market-prices/


 

Energy retailers have a legal responsibility to purchase and surrender a proportion of their annual demand.  In 2012 this proportion for LGCs is 9.15%. For STCs the proportion is 23.96%  

Using the above crude numbers it can be estimated that the retailers’ average supply price is raised by around 1.2 cents per kWh; equivalent to around 60% of the carbon tax pass-through.

The actual impact on your electricity bill of these certificates is complex. There are also concessions to trade exposed industry that are factored in.

Like the carbon tax the cost to retailers of renewable energy certificates increases in future.  As the MRET target rises retailers are bound to buy a larger number of certificates and the price of LGCs is also expected to rise due to higher demand.

The MRET is a fixed energy target by 2020 not on the percentage (20%) generated by renewable energy.  The target does not fall with the projected decline in electricity demand as the price rises.

 

Annual MRET Targets 2011-2030 (GWh)*
Year

Target **

2012 16,763
2013 19,088
2014 16,950
2015 18,850
2016 21,431
2017 26,031
2018 30,631
2019 35,231
2020 41,850
2021-2023 41,000

* Targets adjusted as per Subsection 40 (1A) of the Act.
** One gigawatt hour (GWh) equals one thousand megawatt hours (MWh)
Source: http://ret.cleanenergyregulator.gov.au

 

As the table shows, the mandatory target rises fourfold between now and 2020; so that it may be as high as 30% of actual generation by then.

 

 

Add comment


Security code
Refresh


    Have you read this???     -  this content changes with each opening of a menu item


Travel

The United Kingdom

 

 

 

On the surface London seems quite like Australia.  Walking about the streets; buying meals; travelling on public transport; staying in hotels; watching TV; going to a play; visiting friends; shopping; going to the movies in London seems mundane compared to travel to most other countries.  Signs are in English; most people speak a version of our language, depending on their region of origin. Electricity is the same and we drive on the same side or the street.  

But look as you might, nowhere in Australia is really like London.

Read more ...

Fiction, Recollections & News

The Meaning of Death

 

 

 

 

 

 

'I was recently restored to life after being dead for several hours' 

The truth of this statement depends on the changing and surprisingly imprecise meaning of the word: 'dead'. 

Until the middle of last century a medical person may well have declared me dead.  I was definitely dead by the rules of the day.  I lacked most of the essential 'vital signs' of a living person and the technology that sustained me in their absence was not yet perfected. 

I was no longer breathing; I had no heartbeat; I was limp and unconscious; and I failed to respond to stimuli, like being cut open (as in a post mortem examination) and having my heart sliced into.  Until the middle of the 20th century the next course would have been to call an undertaker; say some comforting words then dispose of my corpse: perhaps at sea if I was travelling (that might be nice); or it in a box in the ground; or by feeding my low-ash coffin into a furnace then collect the dust to deposit or scatter somewhere.

But today we set little store by a pulse or breathing as arbiters of life.  No more listening for a heartbeat or holding a feather to the nose. Now we need to know about the state of the brain and central nervous system.  According to the BMA: '{death} is generally taken to mean the irreversible loss of capacity for consciousness combined with the irreversible loss of capacity to breathe'.  In other words, returning from death depends on the potential of our brain and central nervous system to recover from whatever trauma or disease assails us.

Read more ...

Opinions and Philosophy

Syria - again

 

A fortnight ago I was moved to suggest that it was possible that the alleged gas attack in Syria might not be the work of the Syrian Army.  I withdrew the posting when more convincing evidence of Army involvement became available.

Because of our visit to Syria took place just before the most recent troubles began, I have been, perhaps, more interested than most.  I wanted to know why Syria is automatically assumed to be guilty when there are some very nasty groups on the other side?

We are fed so much doctored information, spin, that it is hard to get the facts even when we are directly involved.

So to claim that I know what is actually going on in Syria is fanciful.  Assad vehemently denies responsibility; the Russians are doubtful; and the inspectors have not yet reported.  But the certainty, and aggressive language, of the Western leaders accusing Syria of this latest incident seem extraordinary - do they know something that they are not revealing publicly?

As I have explained elsewhere I have fond memories of Damascus and of Syria in general.  Damascus was the most pleasant and interesting of the cities we stayed in; lacking the extremes of poverty and wealth we saw in Cairo (and in Egypt in general) or the more western normality of Amman in Jordan. 

Read more ...

Terms of Use                                           Copyright