Wind power hit by renewable energy certificate crash

Up in smoke

Another disaster for the green energy brigade, as the price of renewable energy certificates, essential for investment in wind power, sinks to a new low:

AT least $1.5 billion worth of investment in wind farms is in limbo after a collapse in the price of renewable energy certificates.

There is also uncertainty about when a revamp scheduled for next month will restore prices to viable levels.

And the nation’s biggest baseload renewable energy generator, the NSW Sugar Milling Co-operative, faces receivership by February unless the price paid for RECs almost doubles in the next three months. RECs effectively subsidise renewable energy projects such as wind farms and solar schemes, which receive one certificate for each megawatt of power they produce above a baseline set by the Office of Renewable Energy Regulator.

And what has caused the dramatic price drop? Oh noes, it’s another “green energy” scheme:

The low prices have been caused by a glut in RECs issued to households that have taken advantage of government-subsidised solar-panel installations. The collapse triggered a revamp of the entire RET scheme in February and prompted Climate Change Minister Greg Combet to wind back the solar credits program earlier this month. Uncertainty over the future of the RET comes as the new Victorian Liberal government takes a tougher line on planning approvals for wind farms, increasing the buffer between houses and turbines and declaring several mountainous and coast areas “no-go zones”. (source)

Bravo to the new Victorian government for slowing the wind farm nonsense, at least. And in other news, it’s heartwarming to see two lefty environmental action groups at each other’s throats:

The Greens candidate for the seat of Clarence says she is surprised and disappointed by a campaign to help Wooli residents deal with erosion.

The national advocacy body Get Up has launched campaign to try and block the Clarence Valley Council’s proposed strategy of a ‘planned retreat’.

Local candidate, Janet Cavanaugh, says the council’s policy to relocate residents to other areas of the village is the only ‘realistic’ approach.

“I would have expected from Get Up that they would have actually consulted with their local members before taking on what is a very complicated issue,” she said.

“I disagree with the fact that they are criticising the planned retreat as a legitimate form of climate change adaptation.

“They’re calling for alternatives, though the campaign is extremely vague on what those alternatives should be.”

Ms Cavanaugh says Get Up’s stance is misguided and will further confuse residents affected by erosion. (source)

Keep it up – saves us the bother.

Comments

  1. The Loaded Dog says:

    “…it’s heartwarming to see two lefty environmental action groups at each other’s throats”

    Hmmm, yes, I think a round of applause is in order…

  2. Outstanding. Drinks all around.

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