Energy Minister Chris Bowen emphasized that the government’s renewables plan is the most effective way to ensure affordable and reliable energy for both families and businesses in Western Australia (WA).
The federal Labor government has made a commitment to support the development of more renewable energy projects in WA in the upcoming years.
On July 22, the WA government signed the Renewable Energy Transformation Agreement, becoming the fifth jurisdiction to partner with the federal government in the energy sector.
The federal government stated that this agreement would remove barriers hindering the progress of renewable energy projects in the state.
These investments are aimed at stabilizing the power grid, ensuring adequate cheap dispatchable power during peak times, and enhancing energy reliability and affordability in WA.
In return, the WA government has committed to phasing out its state-owned coal-fired fleets by 2030 and transitioning to renewable electricity generation and storage.
Simultaneously, both the WA and federal governments are dedicated to enhancing engagement with the local community and achieving better economic outcomes.
This includes promoting the participation and benefits of Indigenous communities, improving skills and workforce development, and strengthening renewable energy supply chains.
WA has also initiated the bidding process for the state’s first Capacity Investment Scheme (CIS) tender.
The CIS, a national initiative, aims to introduce an additional 32 gigawatts of renewable generation and storage in Australia by 2030.
The inaugural capacity tender in WA is expected to offer 2,000 megawatt hours of dispatchable capacity in the state’s Wholesale Electricity Market, potentially powering around 450,000 homes.
The report also highlights the necessity for additional gas sources in WA from 2030 onwards to meet the growing demand.
Government’s Response
Energy and Climate Change Minister Chris Bowen commended the agreement, stating that it is the most viable solution for providing affordable energy in WA.
“The reliable renewables plan of the Albanese government is the most recommended by experts to establish a cost-effective, dependable, and resilient energy system that both families and businesses deserve.”
WA Energy Minister Reece Whitby highlighted that the state is already investing $5 billion (US$3.32 billion) in solar and wind farms along with battery storage.
Moreover, he believes that the commencement of the CIS bidding process will accelerate WA’s efforts towards decarbonization.
“The acquisition of additional storage will play a crucial role in supporting wind and solar power during peak demand, complementing existing investments in large batteries in Collie and Kwinana.”
Meanwhile, Shadow Energy Minister Ted O’Brien criticized the federal government’s renewable energy policy.
“This approach is undermining the reliability of our energy system. Therefore, the concerns raised by the energy regulator about future blackouts and brownouts are a direct result of Labor’s existing policy.”
Furthermore, Mr. O’Brien advocated for nuclear power as a more affordable, eco-friendly, and reliable energy source for the nation.
“The Coalition’s strategy of integrating renewables, gas, and nuclear power is crucial for maintaining a stable energy supply, reducing costs, and lowering emissions,” he stated.
“Among the top 20 global economies, Australia stands out as the only country that has not adopted nuclear energy in its energy mix.”
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