Nsw Bilateral Energy Agreement
New South Wales will receive $960 million in federal funding to upgrade the energy grid and invest in emission reduction initiatives. Finally, the deal will also support a renewable energy pilot zone in the state`s west-central to allow major renewable energy producers to „pump as much energy as possible into the grid“ The Morrison and Berejiklian governments have reached a landmark agreement to lower electricity prices for consumers, reduce emissions and boost grid reliability. Prime Minister Scott Morrison said the deal would secure energy supplies as Australia moves towards renewable energy sources. The Collinsville project was discussed after the Nationals protested the Prime Minister`s overemphasis on renewable energy projects in the run-up to the federal election. The bilateral agreement aims to reduce energy costs, strengthen the grid and reduce emissions across the state by supplying an additional 70 petajoules of gas to the East Coast market. The agreement in South Australia includes a gas target of an additional 50 petajoules per year by the end of 2023 and an ambitious target of 80 petajoules per year by 2030. This is the first in a series of bilateral energy agreements between the federal government and state and territory governments. „It`s a smart state. Cheaper, affordable and reliable energy with lower emissions – this is what is needed to move this state and Australia forward. South Australian Prime Minister Steven Marshall said the deal would create more jobs in South Africa`s energy sector. Two days after Scott Morrison said bilateral agreements with states were the best way to reduce emissions in the energy sector and secure supply, he and New South Wales Premier Gladys Berejiklian will announce details of their deal on Friday. Prime Minister Scott Morrison said the New South Wales Energy Deal was the first in a long series he wanted to sign with state and territory governments across Australia. Morrison`s demand that gas become a transitional fuel until clean energy can be made more reliable doesn`t necessarily sound the death knell for new coal-fired power plants, his office said.
Morrison told the National Press Club that technological advances are the best way to reduce carbon emissions. In this context, the Commonwealth would negotiate bilateral energy agreements with each of the States under which it would reduce emissions. The agreement includes a Commonwealth contribution of $660 million and $422 million from South Australia. Morrison told reporters in Sydney that the $2 billion could be spent on „clean technologies,“ including hydrogen research, energy efficiency measures and „coal innovations to commercialize and use technologies to reduce emissions from coal mining, production and use.“ „We are doing everything in our power to ensure that South Australians get cheaper, more affordable and more reliable energy, but most importantly, lower emissions for the future – both here in South Australia and more broadly, by betting on the incredible technology in which Australia will be the world leader and continue to be a leader,“ Morrison said. „It`s cheaper energy, reduced emissions and, most importantly, job creation in the renewable energy sector here in our state.“ Scott Morrison unveils $1 billion energy deal with South Australian government A bilateral energy and emissions agreement worth more than $1 billion has been reached between the federal government and the South Australian government, the Prime Minister announced. The agreement also promises financial support for the creation of a renewable energy pilot zone in the central-western part of the state to help major renewable energy producers. „New South Wales already has a pipeline of around $26 billion in large renewable and non-renewable energy projects, and the New South Wales government has introduced a number of discounts to keep prices low, as well as a five-year climate change fund of $1.4 billion,“ said Prime Minister Gladys Berejiklian. Berejiklian said the deal will strengthen and diversify the state`s energy sector. „Our agreement also outlines a responsible transition of New South Wales` electricity sector to low-emission technologies, while recognising the critical contribution that energy-dependent manufacturing jobs make to the economy. Coal supply to the Mount Piper generating station, which supplies about 15 percent of the state`s energy, will also be secured.
The federal government and NSW have reached a $2 billion energy deal that requires NSW to release huge amounts of gas for domestic use in exchange for building new interconnections, relying on new non-coal electricity generation, and funding emissions reduction projects. A „historic“ deal between the Morrison and Berejiklian governments, which will invest more than $2 billion in a new gas energy deal, has been called a „climate crime“ by the Greens. „This new agreement to reduce energy and emissions will take us to the next level,“ Marshall said. „Our agreement with the Commonwealth today will allow us to continue to strengthen and diversify our energy sector here in New South Wales – securing traditional energy sources while increasing investment in renewable energy across the state. He reiterated his view that gas would be the best transition fuel until clean energy technology could provide a reliable energy supply as existing coal-fired power plants reached the end of their lifespan. New South Wales Premier Gladys Berejiklian has called the combination of traditional energy sources and investment in renewable energy a „diversification“ that the state`s energy sector needs. Under international pressure to reduce fossil fuel consumption, the federal government has been criticised for continuing its plan to increase the amount of gas in Australia`s energy system. The two governments will jointly sign the Hume Link interconnection, which connects the expanded Snowy Hydro program to the national energy grid, as well as the NSW-Queensland interconnection. However, Berejiklian said the New South Wales energy deal did not make the approval of the controversial Santos gas mine a foregone conclusion. The shortlist of 12 projects for this project includes five gas projects, two of which have been approved, six pumped hydroelectric plants and coal baron Trevor St Baker`s proposal for coal processing at Vales Point on Lake Macquarie.
The federal government has already promised that in case of development of new gas fields, a reserve will be set up to ensure the satisfaction of domestic demand. To supply Mount Piper, Berejiklian suggested that „other [coal-fired] plants will reach the end of their life cycle in the near future, so then there will be opportunities for us to transfer these [supply] agreements to Mount Piper.“ Morrison said he hoped other states would quickly sign similar bilateral agreements that were first marked with states last year by Energy Secretary Angus Taylor. The New South Wales Government has committed to facilitating investment opportunities to inject an additional 70 petajoules of gas per year into the East Coast market and remove barriers to coal supply at the Mount Piper power station, which is facing severe shortages. „The focus on gas will help South Australia meet its own gas needs and support efforts to prevent projected deficits in the East Coast gas market from 2023 as part of our gas recovery,“ he said. A spokesman for the prime minister clarified that this did not mean he would slam the door on so-called clean coal if it proved feasible. Morrison stressed that the government would not build or subsidize a new HELE plant, but could take it back by agreeing to be an end consumer of its electricity. Four Corners revealed last week that the government was accused of pressuring experts to question its gas firing plan — something Energy Secretary Angus Taylor has denied. „There is no credible plan to reduce emissions and the price of electricity that does not include the increased use of gas as an important transition fuel. As part of the plan, the Federal Government and the Government of New South Wales will jointly take over the supply of HumeLink and Queensland-NSW interconnections to enhance grid reliability. „It is clear that the federal government and the Government of New South Wales have already made the political decision to proceed with this project.“ „I want households and businesses to pay less for their electricity, and I want to continue to reduce emissions – this deal does both,“ the prime minister said. The agreement aims to provide South Australians with more affordable and reliable energy, harness gas supplies and kick off work on a new interconnection between South Africa and New South Wales. Berejiklian said the plan was aimed at reassuring citizens: „We have a clear plan.
[to] reduce our emissions, which we know many people feel strong. This led to a rebuke from the prime minister, who said Kean „doesn`t know what he`s talking about“ in relation to the federal cabinet. South Australia`s Minister of Energy and Mines, Dan van Holst Pellekaan, said the „historic“ commitment would help the state achieve 100% net renewable energy by 2030. „Australia is a world leader in gas exports, but there is a shortage of gas at home. Gas exports are four times higher than gas supply to the Australian market. Taylor said the increased targets would bring benefits to both South Australia and the domestic electricity market. . Morrison said the deal, which follows similar deals with the new South Wales and Tasmanian governments, would be a „key factor“ in the country`s economic recovery from COVID-19. Through this partnership, both governments have committed to take a number of initiatives that will do so: „We seem to have taken a step towards a serious plan, rather than the rhetoric and bluster we have seen in the past,“ he said. But the Greens rejected Morrison`s claims, arguing that reliance on „toxic methane“ puts Australia`s „weak climate goals on the path to failure.“ .
