The Forum > General Discussion > Renewables part in South Australia's network collapse
Renewables part in South Australia's network collapse
- Pages:
-
- 1
- 2
- 3
- 4
- Page 5
- 6
- 7
- 8
- ...
- 19
- 20
- 21
-
- All
The National Forum | Donate | Your Account | On Line Opinion | Forum | Blogs | Polling | About |
![]() |
![]() Syndicate RSS/XML ![]() |
|
About Us :: Search :: Discuss :: Feedback :: Legals :: Privacy |
The most efficient way to provide the infrastructure would be something based on the pre corporatization model, where the state provides the infrastructure (contracting individual projects out to the private sector if the private sector can complete them more efficiently). Rather than trying to make a profit, the state utility would merely aim to break even, and pass the savings on to the customers. But federal government policy has made the states cash strapped and fearful of debt so the states decided they wanted better financial results instead of better serving the economy's long term needs. They started skimming profits off. The profits were increased until the utilities became cash cows for the state governments. Then they sold off the utilities; effectively they were selling off a licence to rip off electricity consumers. And the regulators have been too weak to stop any of this.
Renewable energy is not challenging the sustainability of the SA system at all. Adding more capacity doesn't destabilise the system; it merely creates minor technical challenges that can easily be overcome.
Getting investment in SA is indeed a significant problem. The boom of the 1959s and 60 was driven by more than cheap reliable energy; it was mainly driven by a lower award wages, largely due to a lower cost of living that was the result of plenty of cheap land. That's gone now, though land here's still much cheaper than interstate capitals.
But the energy deficiency of last week was a one off. Normally SA does have a reliable electricity supply, and costs for business are competitive despite the Federal takeover of the industrial relations system.
And FWIW I agree that Germany would be better off retaining nuclear power. It's far less sunny than SA, and has a much greater population density, so the cost of renewables would be far higher there than here.