Calling the coal generators’ bluff

Many misunderstand that the purpose of contracts for closure was to deal with a threat by coal generators that the lights would go out, not clean-up energy supply. The government now realises it was an empty threat. But questions need to be asked whether Labor's 'clean energy future' is an empty promise?

Back in May I wrote (Climate Spectator: Gillard and Abbott won't dethrone King Coal) that the government’s contracts for closure process was going to fall significantly short of getting agreement on closure of 2000MW of coal generating capacity. Sure enough that’s what has transpired as the government has found the price for closure too high.

The reason why is the owners of Hazelwood (International Power -GDF Suez) and Yallourn (TRUenergy) power stations could see the following events occurring that would ensure the power plants would continue to generate plenty of cash:

{{content.question}}

{{ twilioFailed ? 'SMS Code Failed to Send…' : 'SMS Code Sent…' }}

Hi {{ user.FirstName }}

Looks like you've already taken a free trial

Please enter your payment details

We have sent you a code via SMS to {{user.DayPhone}}

please enter this code below to activate your membership

We cannot send you a code via SMS to {{user.DayPhone}}

If you didn't receive SMS code please

SMS code cannot be sent due to: {{ twilioStatus }}

Please select one of the options below:

Looks you are already a member. Please enter your password to proceed

Please untick this box when using a public or shared device


Verify your mobile number to unlock a FREE trial

Please sign up for full access

Updating information

Please wait ...

  • Mastercard
  • Visa
Mastercard

The email address you entered is registered with InvestSMART.

Please login or select "Don't know password"

Please untick this box when using a public or shared device


Register as a new member

(using a different email)

Related Articles