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It's an Ill Wind...

May 19, 2006 | 3 Comments

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Australia [Sydney Morning Herald] It was May 2004 and John Howard was looking for an exit clause. A Federal Government scheme to kickstart Australia's renewable energy industry had proved successful beyond anybody's expectations. Wind, the cheapest and most viable source of renewable energy, was one of the biggest beneficiaries of the mandatory renewable energy target.

"The Government's refusal to extend the mandatory target has left hundreds of renewable energy projects unable to secure contracts. One developer last week cancelled two wind farm proposals worth $550 million, while the future of another $250 million project is in doubt."

-- Wendy Frew, at the Sydney Morning Herald

Giant wind turbines were sprouting all over the country, turbine blade and engine manufacturers were setting up shop, and cash was pouring in from foreign and domestic investors. It seemed Australia was finally tackling its greenhouse gas emissions by getting some clean electricity. But not everyone was happy with the mandatory target.

Leaked minutes from a meeting in the chilly confines of Canberra's political corridors show the Prime Minister had called on some of Australia's biggest contributors to global warming -- including the coal and uranium miners Rio Tinto and BHP Billiton -- to help the Government devise a way to pull the rug from under the wind industry, but still be seen to be tackling climate change.

Two years on, it has become clear just how deadly that meeting was for wind power. The Government's refusal to extend the mandatory target has left hundreds of renewable energy projects unable to secure contracts. One developer last week cancelled two wind farm proposals worth $550 million, while the future of another $250 million project is in doubt.

For the full story from the Sydney Morning Herald, see the following link.

Additional Information

Full story at Sydney Morning Herald

Wind Power

3 Reader Comments

Comment
1 of 3

phillip-mather-jr-9606

May 19, 2006

Dear Sir,

B _ _ L S _ _ _ walks and Money Talks, THEY WILL PULL FOR AN UNDERDOG, BUT THEY WILL ONLY FOLLOW A BIG DOG !

Somebody said that, is anyone suprised at this turn of events ?

Don't tobacco company's advertise on TV about helping you quit smoking ? My hope some day the Wind Industry will have such deep pockets.....they will not be "be-holden" to Governments with "inside" interests.

Respectfully submitted, prm jr.

Comment
2 of 3

adrian-akau-36758

May 20, 2006

I am amazed that Australia's Federal Government should be acting the part of Brutus to Caeser, "e to Brute". It would seem that Australia is in dire need of wind energy projects and now to pull the carpet from beneath their feet means collapse of this part of the renewable industry.

Allowing local communities to veto planned wind power but not coal power facilities shows governmental prejudice. Why the pull out at the last minute? Could money be the answer. Perhaps in 2004, the leaders did not expect the wind industry to grow so quickly. Perhaps the thermal coal energy generation and uranium industries now feel threatened. Perhaps the Australian government feels that wind power development is no longer needed for Australians. I really don't know.

I hopt that someone representing the government from down under will offer a rational explanation for this type of behavior.

adrianakau@aol.com

Comment
3 of 3

para-dox-41810

May 21, 2006

I am Australian .... Australia is a net energy exporter .... John Howard's situation in Canberra could be compared in some way's to Bush in the Whitehouse ..... neither of them would survive for very long if they were upset the energy industry power brokers ....

.... so Howard has to do just enough to 'green wash' the government, while making sure the renewable energy has no real immediate impact.

Our best hope lies in other countries who have to progress renewables for energy survival. Eventually the industry will reach a critical mass, and renewable energy prices will come down while fossil fuel prices rise, and it will be a commercial decision to implement cheaper renewable energy.

The Australian government alternative energy programes:
http://www.greenhouse.gov.au/renewable/

.... Paradox

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