"It doesn't matter how beautiful your theory is, it doesn't matter how smart you are. If it doesn't agree with experiment, it's wrong." Richard P. Feynman

Friday, August 19, 2011

1.5 Billion Consumer Slug from the Rip-Off-Your Neighbour Solar Scheme.

The major energy retailers have warned that an extra 1.5 billion will have to be extracted from the public so the companies can pay over 40 cents per unit for solar power worth 3 cents per unit ,the current wholesale price. It has been said that solar power is obtained by mixing sunlight with large quantities of taxpayer dollars
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CONSUMERS could be slugged with up to $1.5 billion in extra electricity costs next year as the high Australian dollar and a flood of cheap solar panels from China sabotage the Gillard government's push to take the heat out of its renewable energy scheme.
Installers of solar photovoltaic panels developed increasingly sophisticated marketing schemes for cheap rooftop models, and consumers rushed to install the panels before generous federal subsidies were wound back on July 1, causing an unprecedented spike in installations early this year.
This has forced the government's Office of the Renewable Energy Regulator to dramatically revise up its estimates of how many "small-scale technology certificates" the energy retailers will be required to buy next year to soak up the glut of about 20 million.
The certificates, which are created when households feed solar power from their rooftops back into the main grid, cost the retailers far more than electricity from the existing coal-fired power stations.

AGL Energy, Origin Energy and TRUenergy -- the nation's three biggest energy retailers -- have all suggested the costs of this scheme must be passed on to consumers, adding an estimated $1.5bn to power bills.
And the nation's biggest energy retailer, Origin, has warned that a key plank of Julia Gillard's carbon tax plan -- the creation of a $10bn clean energy fund -- could force power costs even higher by providing new subsidies to the solar industry.
The situation will add to the pressure on the government over its target of producing 20 per cent of electricity from renewable sources such as solar power by 2020, which the Productivity Commission has warned is wasting money and delaying cuts to carbon emissions.
It comes as Alinta Energy chief Jeff Dimery said yesterday Australia had no economically viable baseload renewable energy and warned that the Greens' attack on coal-seam gas added to sovereign risks for investors.

2 comments:

  1. Seems Gillard and Swan are heading towards a Novel Prize in creative economics!

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  2. Recent phone calls from promoters selling solar panels. Last call a week ago from Southport Qld distributor selling the 'new highly efficient German panels'. Promise was that these German panels would give 100% output between 6.30 am until 5.30 pm - even on cloudy days!
    The "Pink Bat" Sharks have changed to the solar economy!

    ReplyDelete