The South Australian Opposition are drafting a Bill that would require all new wind farm development applications to include an independent electricity market impact assessment.
The Liberals claim they fully support renewable energy, but the transition must be managed appropriately.
“Spot prices in SA are on average 150 per cent higher than the national average in 2016/17,” said State Liberal Leader Steven Marshall.
“There is currently no consideration of the broader impacts of wind farms to the electricity market under the Weatherill Government.”
SA’s Energy Minister, Tom Koutsantonis, disagrees with Mr. Marshall.
“What we need to do is smash the monopolies … by interconnecting with other jurisdictions so we can get our renewable energy out to other markets,” he stated.
“What his legislation will do is entrench the monopolies.”
South Australia recently experienced massive spikes in the cost of wholesale electricity, but as we mentioned yesterday, wind power helped keep a lid on pricing. It could have been much higher, more often and for longer.
Conservation SA CE Craig Wilkins said wind and solar was again being unfairly made the culprit for South Australia’s high electricity prices .
“Wind and solar are not to blame for problems in the SA power grid,” stated Mr. Wilkins.
“They are a political scapegoat for broader failures in an electricity market that rewards over-investment in poles and wires and bad behaviour from too few and too powerful big energy companies. As a result, the push down in wholesale prices from wind and solar is not being passed on to consumers. That’s a failure of the power system, not renewables.”
The Conservation Council has supported a call from the social services sector for a summit on the future of electricity supply in SA.
Mr Wilkins says the reality is households, communities and businesses will choose to take up solar panels and wind options as prices for clean power technology continue to fall.
“It’s going to happen whether the old energy utilities like it or not.”
It’s already happening – South Australia has the second highest number of small scale solar power systems per capita in Australia.
In 2010, a 2kW solar power system cost around $8,000 in South Australia; after incentives. Currently, a good quality 5.2kW fully installed solar power system can be purchased for around the same amount.
According to solar provider Energy Matters, a 5.2kW solar power system installed in Adelaide can realise a financial benefit of $1,800 – $2,282 a year depending on installation and power consumption scenario; making payback time very rapid. Adding battery storage can further dramatically reduce reliance on the mains grid.
Top Right Image Credit (Wind Turbine): BigStock
