Iemma electricity plans are unnecessary and dangerous

Analysis released by the Greens shows that there is no need for new generating plant if the state begins to phase out inefficient household electric hot water units.

Commenting on a story on page 9 of today’s Sydney Morning Herald, Dr Kaye said: “Privatisation and new base-load plant are completely unnecessary and would drive up costs and greenhouse gas emissions.

“All that the NSW state government needs to do is ban the installation of new electric off-peak hot water units, and provided interest free loans for solar and high efficiency gas water units.

“This would reduce demand for electricity to the point that existing supply would be more than adequate for many years to come.

“Our analysis shows that the total cost to the NSW government of interest free loans to households to cover the installation cost
difference between a solar unit and an off-peak unit would be less than $4.6 million a year.

“The Iemma government is being panicked into approving new base-load capacity and privatising the industry, without looking at the lower cost options.

“If the Iemma government ignores the potential for solar water heating and other efficiency measures, it risks locking NSW into a polluting and expensive base-load plant.

“The Owen Inquiry was set the wrong questions. Focusing on base load inevitably leads to high emissions answers like coal-fired generators and privatisation. The real issue is meeting consumer’s energy needs while reducing greenhouse gas emissions. The answer is demand side measures like improved efficiency and solar water heating and maintaining a publicly owned industry.

“Premier Iemma’s leadership abilities are on trial. His response to the Owen inquiry will test his capacity to break free from the coal pressure groups in Cabinet, led by Treasurer Michael Costa, and take the state to an energy efficiency, renewable future,” Dr Kaye said.