Australian power companies can help lead and accelerate the clean energy transformation according to Energy Australia’s managing director.
Catherine Tanna told Bloomberg that renewables must be fully integrated into a new national energy system for the transformation to take place.
Coal will continue to have a role in Australian energy, Tanna says. Yet she doesn’t think Australia will build any new coal-fired power stations.
According to Tanna, renewable energy provides a great opportunity to achieve lower electricity prices. More affordable power is important for all Australians, no matter where they live or what they earn.
NEG an opportunity for stable policy settings
She sees the NEG is a real opportunity for stable policy settings. It would open up “multiple investment opportunities” as well as making energy more affordable.
Yet she questions why Australian energy policy is so politicised. This subsequently holds back the NEG and makes energy markets less attractive to investors, she says.
Role of coal fired power in clean energy transformation
Rather than a competition between coal and renewables like solar energy, the energy chief wants to integrate renewables with fossil fuel power production.
We have to get “really good” at doing this, she claims. Utilities need to know what’s happening with energy demand, rather than defaulting to supply. The behaviour of mums, dads and families at home is just as important as commercial demand.
Interestingly, Tanna sees the real opportunities in energy storage and batteries like the Tesla Powerwall. Utilities must also integrate this rapidly changing technology.
Political uncertainties cramping energy policy
According to Tanna, energy sector investment will thrive only with a bipartisan policy in place. However, she says energy politicisation is “disproportionate” in Australia.
Other countries seem to solve their energy problems far more easily, despite differences of approach, she says. They do this by taking the politics out of energy policy.
The Council of Australian Governments Energy Council will meet again in August to look at a detailed design of the NEG.
