Coalition MP Craig Kelly is calling for an overhaul of consumer laws to keep the controversial Liddell coal fired plant open.
Kelly told radio station 2GB today that the Federal Government should force Liddell’s owner, energy company AGL, to keep the ageing NSW asset operational or sell it.
However, AGL has already rejected offers from two companies. It aims to cease coal-fired power generation in 2022, then repurpose the plant as a hybrid renewable energy generator.
Kelly’s Law: coal provides ‘an essential service’
Kelly’s law would stop major market players limiting production of an “essential service”. This would subsequently apply to actions which “compromise or prejudice” consumers.
In fact, AGL prides itself on being Australia’s largest ASX-listed investor in renewable energy.
According to a ReachTEL poll released by the Climate Council last year, 77 per cent of respondents said public money should not be used to extend Liddell’s life.
Renewables paves way for Liddell coal fired plant closure
The Climate Council also described Liddell as “old, dirty and inefficient”.
A massive $900 million would be needed to keep the fossil fuel plant functioning from 2022 to 2032. A refurbished plant would emit 50-60 million tonnes of carbon dioxide over the same period.
Meanwhile, the Australian Wind Alliance (AWA) says wind, solar energy and battery storage could easily replace LIddell’s 1,680 MW capacity. Rapid uptake of household solar installations is also reducing pressure on the grid, reducing demand for coal-fired power.
According to AWA coordinator Andrew Bray, the biggest blackout threat to the grid now comes from the government’s inability to find a coherent energy policy that supports renewables.
Renewables versus coal: the battle heats up
A pro-coal lobby group led by former PM Tony Abbott wants Energy Minister Josh Frydenberg to prioritise coal in the proposed National Energy Guarantee (NEG).
Only last month, Abbott called for compulsory acquisition of the Liddell coal fired plant by the Federal Government. After that, the plan was to offer the station to energy giant Alinta for purchase.
Meanwhile, states including the ACT and South Australia have criticised the NEG for its weak emissions targets.
The NEG will be debated in August when Council of Australian Governments (COAG) ministers meet to decide its final form.
