From The Australian:
The Prime Minister, in his first public comments following the weekend conference, today predicted the enhanced renewable energy target would cost consumers “perhaps $60 billion or more” even without the impost of Labor’s floating carbon price.
Mr Abbott conceded renewables played “an important part” in Australia’s energy mix but the government’s target of 23 per cent by 2020 was “more than enough”.
…“Then you’ve got this massive and unnecessary commitment to renewables which will cause a massive overbuild of wind farms, all of which has to be paid for by the consumers.”
It’s true. It will result in an overbuild. A much better approach is a carbon price which simply lets markets force high-polluting power out of business while boosting low-emissions power. But Tony Abbott killed that idea.
If we accept the emissions are going to have to fall, we now have a contest between an unfunded Direct Action policy that will cost households enormously through the rising taxes needed to pay polluters to close, and an imperfect RET that will cause over-building. It won’t cost consumers who will be enjoying low prices owing to the glut of power. But it will cost the economy as yet more capital is squandered via inefficient policy mechanisms before eventually unsubsidised high-emissions power will shut down.
Abbott the carbon wrecker is back in business.
