Energyfarm.

ANALYSIS

When Julia Gillard and Hillary Clinton announced they wanted to ”make solar power competitive with conventional power sources” within five years, they left out one important detail.

Their goal was based on solar being competitive with coal-fired power after a carbon price had been imposed.

When you think about it this is obvious – if solar power could provide electricity as cheaply as coal-fired power without putting a cost on the emissions from coal, then we wouldn’t need to impose that cost. The problem would be solved. We could forget the whole carbon price thing, because the only reason to have one is to give a leg-up to more expensive, low-emission sources of power.

But according to the executive director of the Australian Solar Institute, Mark Twidell – who will be managing the $50 million the federal government has stumped up for the initiative – cost-competitive solar without a carbon price sounds too good to be true because it is too good to be true.

”Solar is getting cheaper but the prediction that it could enter the market as a competitive alternative in 2015 is based on the assumption that conventional forms of power will be also more expensive by then for a number of reasons, and one important reason would be a carbon price,” he said.

The office of Resources Minister Martin Ferguson was unable to say what carbon price assumptions lay behind the big US-Australian solar announcement or on what basis the prediction of competitiveness within five years was made.

Whatever the assumed carbon price is in the calculation, the obvious problem is that neither  US Secretary of State Hillary Clinton nor Prime Minister Julia Gillard has a carbon price in place yet.

US President Barack Obama has acknowledged the results of the midterm elections mean he is unlikely to get his cap-and-trade scheme through, certainly not this term. Gillard’s cross-party climate committee meets for only the second time tomorrow, so she has a way to go, too.

Politicians know that reducing greenhouse emissions involves two calculations – what changes to make and how to finance them.

The ”how” always involves the cost, which is why they often dwell on the ”what”. What about solar, they say? What about nuclear?

But the gap between the price of coal and solar, or coal and nuclear, or coal and any other power source, has to be bridged by a cost on the emissions from coal-fired power, or by big government subsidies for the alternatives, or by forcing the generators to pay the price gap and then pass it on to consumers. Whichever way, it can’t just be ignored.

Original source: http://www.smh.com.au/opinion/politics/solar-power-plan-without-a-carbon-price-is-too-good-to-be-true-20101108-17kjg.html

A report to be released by Greenpeace today shows the big banks provided loans worth $5.5 billion to the coal industry over the past five years – seven times more than the $784 million lent to the renewable energy sector.

None of the banks would refuse to finance new coal-fired power stations yesterday, but the Westpac media relations manager, Jane Counsel, said apart from historical customers, the bank’s future funding would be likely to focus on projects leaning towards energy efficiency and clean energy, to help make the transition to a low emissions economy.

”Westpac supports the development of an efficient, affordable, safe and secure energy system that recognises and addresses the need to reduce carbon emissions,” she said in a statement.

“Within Australia, in the short to medium term, we do not expect that new coal-fired electricity generation will be attractive from an environmental viewpoint. Therefore the application of technological solutions to reduce emissions is critical.

”We will continue to work with government and with our customers as regulatory frameworks around the introduction of carbon constraints firm up in the jurisdictions where we operate.”

ANZ, recently ranked the world’s most sustainable bank, was the biggest financier to Australia’s coal industry according to the report, by the Dutch economic consultancy Profundo, providing loans worth $1.7 billion.

It was followed by the Commonwealth Bank ($1.6 billion), NAB and Westpac ($1 million each), and Suncorp ($227 million). Two other institutions surveyed, Bendigo Bank and the Mecu credit union, did not lend to the coal industry.

ANZ also provided more finance for coal-fired power stations than any other bank surveyed, at $650 million, compared with Commonwealth ($546 million), Westpac ($454 million), NAB ($382 million) and Suncorp ($18 million).

Greenpeace wants the banks to rule out financing a dozen planned power stations around the country, including Macquarie Generation’s Bayswater B plant in the Hunter Valley and Delta Electricity’s Mount Piper extension near Lithgow, which are both proposed as gas or coal-fired.

A Greenpeace campaigner, John Hepburn, said most Australians opposed construction of new coal-fired power stations. “A lot of people have just voted for action on climate change. Those people would actually be quite outraged to realise their savings in the bank are being used to make the problem worse.”

Commonwealth Bank said it had no financing commitments to the construction of any new coal-fired power stations and had the lowest debt exposure to single asset Australian coal-fired generation financings among the big banks.

A spokesman for ANZ, which topped bank sector rankings last month in the global Dow Jones Sustainability Index for 2010, said the bank was Australia’s leading renewable energy financier and “renewable projects already [represent] one-third of our energy portfolio”.

Greenpeace said the Profundo survey, which collected publicly available data on loans to coal-fired power stations, coalmines and coal port infrastructure, showed bank branding on sustainability was a “triumph of spin over substance”.

A Profundo analyst, Jan Willem van Gelder, said in Amsterdam that banks around the world were struggling to develop responsible lending policies, given climate change and the need to finance a shift to more sustainable energy production.

Mr van Gelder said if there was less supply of capital for coalmining companies and coal-fired power stations, then loan interest rates would rise and coal industry projects would become less attractive. “I don’t think that is yet the case, but it wouldn’t surprise me if it would happen in near future,” he said.

Original source: http://www.smh.com.au/business/clean-energy-to-trump-coal-for-bank-lending-20101001-16138.html

We have not been paying for our electricity so that is much more of an incentive for householders and industry to consume considerable amounts of electricity

Murdoch University business and development lecturer Peter McMahon warns West Australians will pay dearly through their hip pockets for living in one of the least-sustainable societies in the world.

His report, which examines the energy, transportation,environment, farming and mining sectors, covers WA sustainability from 1829 to 2020.“The energy-intensive WA economy faces huge challenges as carbon-control schemes and peak energy trends will raise energy costs dramatically,” Dr McMahon said.

“Rising living standards in WA have led to the state being the highest energy-user and the worst polluter and waste generator in the country.”

In his report, WA2020, Dr McMahon said the state needed to make significant policy changes in the next decade to avoid dramatic price increases and tackle drought, soil erosion and salinity problems.

Energy Minister Peter Collier said the state’s thirst for energy was because West Australians had been living in a “fool’s paradise” for too long.

“We have not been paying for our electricity so that is much more of an incentive for householders and industry to consume considerable amounts of electricity,” Mr Collier said.

“It has sent all the wrong messages to the community.
“We are moving towards a user-pays system with electricity and that has a two-fold effect.

Number one, it means that the State Government won’t continue to bail out Verve Energy to the tune of billions of dollars and number two, the community are much more aware of the fact that it costs to use electricity so it sends the right message.”

But he said the state was making progress, especially when it came to the switch to renewable energy. By 2012 WA would produce 8.9 per cent of its energy from green sources including wind, solar and wave generators, he said. So far 18,000 households have installed solar panels, which feed energy directly into the grid.The state pays householders 40c a kilowatt hour for excess power.

Environment Minister Donna Faragher did not respond to questions about Dr McMahon’s report. Dr McMahon claimed WA’s isolation, size and diverse landscape was delaying much-needed action. The report urged the Government to make urgent policy changes in areas such as energy, transportation and mining.

Original post: http://www.perthnow.com.au/news/special-features/west-australians-to-pay-for-dirty-living/story-e6frg19l-1225914730176

You’d think that the Organization of Petroleum Exporting Countries (OPEC) in the Persian Gulf would have nothing to do with alternative energy initiatives, right?  Since they have close to a quarter of the global petroleum reserves literally underfoot, you might assume that they’d try to prevent the development of alternatives, or at least not be interested in using them.  It turns out, however that even the oil rich Gulf is diversifying the energy sources beyond fossil fuels, both for business diversification and as a result of real need.

Selling off natural resources

The Gulf Cooperation Council (GCC) countries are facing increasing shortages in domestic energy supply, and their economies depend on selling petroleum to other countries rather then burning it  for their own needs.  Many of these countries face gas shortages, and they recognize that petroleum supplies are finite and need to be managed wisely and husbanded for the future.

One way of supplying this power is through renewable energy sources like sun and wind. Saudia Arabia, Oman, Dubai and Kuwait all have programs to promote and develop solar and wind power farms, solar powered desalination, more efficient use of oil through fuel cells, carbon sequestration, oil gasification, and green building.  The city of Masdar in Abu Dhabi aims to be the first carbon neutral area in the world through clean energy initiatives and cooperation with the Massachusetts Institute of Technology.

Peter Barker-Homek, chief executive of Abu Dhabi’s National Energy Company (TAQA) described his available alternatives to oil and gas:

“. . . you start looking at clean coal, and nuclear power is also something that has to be in the global energy mix. In the countries that have run good nuclear programs, they are remarkably safe. We still don’t have a resolution as to what you do with the depleted uranium at the end of its life cycle.

Solar, thermal — perfect in the Gulf

“But in a world that is oil constrained, keeping that barrel of oil so you can get a refined product is extremely valuable.    Renewables will only account for 10% to 20% of any country’s energy mix, though solar or thermal power, if it’s going to be perfected anywhere, is going to be perfected in the Gulf. The amount of sunlight in a day makes it a perfect environment. ”

Alternative or renewable energy technologies are growing and present an opportunity for investors, but will become a real solution only when they become cost effective and widespread, according to Forbes.com.  Demand for petroleum is still increasing worldwide, especially in the developing world led by China and India, and they will not switch away from their use of oil unless the alternative is competitive.

Western economies can help this process along by making clean technologies more attractive for investment and innovation, first by reducing the subsidies for the oil companies, next by taxing “dirty” fossil fuels.  Finally they can also give carefully selected incentives to alternative technologies until they reach maturity in large scale applications and low cost.

And who knows?  Maybe the answer to GCC (Global Climate Change) will come from the GCC.

Original post: www.greenprophet.com/2008/08/gulf-countries-renewable-energy/

Energy Minister Peter Collier has announced State Budget funding of $23million to introduce a residential net feed-in tariff scheme, providing a subsidy to householders with new and existing photovoltaic, wind and micro-hydro systems.

The scheme will open for applications from July 1, with payments to be made from August 1.

It will be available for residential installations where the system is owned by the home owner, including tenanted properties.

“The net feed-in tariff scheme has been set at 40 cents per kilowatt hour (kWh) on electricity exported into both the South West Interconnected System (SWIS) and regional grids,” Mr Collier said.

“This is in addition to the price paid under the existing Renewable Energy Buyback Scheme, which will allow householders to receive a minimum of 47c/kWh.

“This provides a genuine incentive for home owners to install renewable energy systems, which not only has a positive impact on the environment but it will also help householders manage their electricity bills.”

A feasibility study is also being undertaken into the potential for a similar scheme for businesses.

The Minister said the scheme would help system owners recover the cost of installing solar photovoltaic systems, with recipients receiving the net feed-in tariff payments for 10 years.

“The scheme will not require any changes in metering for existing system owners,” he said.

“The State Government recognises the substantial interest within the community to install household renewable energy systems, and the introduction of a feed-in tariff will provide an on-going benefit to households and the solar industry in Western Australia.”

Current system size under retailer buyback schemes, up to 5kW for Synergy customers and up to 10kW per phase for Horizon Power customers, will apply.

Both electricity retailers will administer the net feed-in tariff scheme on the SWIS and regional networks respectively.

Original source:
www.mediastatements.wa.gov.au/Pages/WACabinetMinistersSearch.aspx?ItemId=133582&minister=Collier&admin=Barnett

September 2010

Energy Farm this month made an agreement that will see more efficient high quality panels being imported into Perth in 250watt and 290watt sizes.  Designed in America and manufactured in India, the panels are of very high quality/efficiency and include longer warranties than many panels coming out of China.

Energy Farm sees this as a real step forward for the home owner who now has the option to put less panels on their roof due to these highly efficient modules and they make a great addition to our growing list of panel brands and options.  To top it off, they are a great looking module, the image pictured above is a closeup of a panel that is on one of our staffs roof!

Waves crashing on to Australia’s southern shores each year contain enough energy to power the country three times over, scientists said on Tuesday in a study that underscores the scale of Australia’s green energy. The research, in the latest issue of the journal of Renewable and Sustainable Energy, comes as the nation is struggling to wean itself of years of using cheap, polluting coal to power the economy and to put a price on carbon emissions.

Oceanographers Mark Hemer and David Griffin from the state-funded research body the CSIRO looked at how wave energy propagates across the continental shelf and how much is lost. The aim was to build a picture of the amount of energy on an annual basis and how reliable that source is.

The government has passed laws that mandate 20 percent renewable electricity generation by 2020 to curb carbon emissions and wind power is likely to make up the bulk of the green energy investment. Wave power is still in early development.

“So what we’re saying is that we can achieve that target if we harness 10 percent of the available wave energy resource,” Hemer told Reuters from Hobart.

Hemer and Griffin used complex computer models to map how the energy in the waves attenuates near the shore. They looked at the annual cycle both in terms of mean wave conditions and the 10th and 90th percentiles.

This means that 10 percent of the time waves are smaller than the mean and for the 90th percentile the waves are larger than that value for 10 percent of that time.

“Basically what this means is that there is still a fairly large resource for 90 percent of the time,” said Hemer. And this is crucial because some types of renewable energy, such as wind and solar panels, are limited because they can’t generate steady power 24 hours a day, unlike coal or gas.

Wave power has much greater potential to deliver steady power supplies, but connecting it to the grid in remote areas could be a problem.

“Averaged over the whole year, Australia’s southern coastline has a sustained wave energy resource of 146 gigawatts (1,329 terawatt-hours/year),” the researchers say in their study, or three times Australia’s total installed generation capacity.

The government, facing an election on Saturday, is under pressure to put a price on planet-warming carbon emissions and further boost investment in cleaner energy.

The country is one of the developed world’s top carbon emitters and relies on coal to generate about 80 percent of its electricity.

Hemer and Griffin’s work has created a series of maps of the coastline that helps wave power investors find the right sites and design projects that can cope with calm and stormy conditions and how frequent these might be.

Their work is different from some past studies, which used wave data from deep-ocean waters.

The researchers don’t advocate any particular wave power technology.

But there are three firms in Australia developing technologies, including Fremantle-based Carnegie Wave Energy, which has a system based on large buoys suspended just below the surface near the shore.

Hemer and Griffin’s estimates are based on the amount of energy along the coast at 20 meters deep, since many emerging wave power systems are likely to be at that depth or less.

Ideal sites included Portland in Victoria and Albany in southern Western Australia because of easy grid connections.

Source: http://uk.reuters.com/article/idUKTRE67G2G420100817