Explaining electricity markets to dummies

While economic modelling shows that the injection of lots of solar and wind power via the RET will lower wholesale electricity prices, 95% of politicians and 98% of journalists struggle to understand and accept it.

In speaking to members of the renewable energy sector about what they think is most important to the government’s review of the Renewable Energy Target there is universal agreement: electricity prices.

Abbott has been elected to a significant extent off the back of public anger about how electricity prices doubled between 2007 and 2013, and he knows it. 

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