Bizarre termination of RET by Abbott Government

The Abbott government has devised a plan in relation to what aspects of the Renewable Energy Target are getting aborted completely. The 16,000GWh project and the small solar systems rebates are put to halt which means that the small scale renewable energy scheme is also getting diminished due to this plan. This situation is leading to the overall abolishment of the projects that are a part of renewable energy schemes.

This all scenario will lead to the expensive electricity and blockade formed for the wind power sector in Australia. With all this in consideration the gas power stations will get more boost resulting in the electricity price rise and solar systems getting limited to the domestic levels only. The businesses that use the electricity will also have to pay the higher prices due to the governmental plan.

But of course the decision is so upheaval that there are doubts about the decision and plan being the final call.

Environment Minister Greg Hunt who is really concerned with the source of energy production accused John Grimes chief executive of Solar Council that he has been lying that government is making any decisions that include cutting off the solar support and he also added that government is really looking forward to maintain RET, but in case he have been unaware of the truth then the only way for him to keep his dignity intact is that he resigns from his position and protest against this decision.

News leak

The decisions of this level are limited to the small group of people that include Prime Minister Tony Abbott, Industry Minister Ian Macfarlane, Environment Minister Greg Hunt and some of the advisers. If the news is leaked then it is for sure that the approval of Abbott is must.

This news outbreak really tells that the news leak might have been a way of testing of what results it gets politically and also publicly. This would play a very important role in determining whether to really implement this decision or let it go.

Apart from this another reason why the news was leaked is that they want the renewable energy retailers to negotiate over the cut. The Abbott’s government is no able to get any cut through the senate but this might be the way to make sure that the renewable energy industry agrees to give the cut as it is much better than getting closed up by the reelected Abbott government.

Brian Loughnane who is a Liberal Party’s federal director is presenting his ideas of slowing down things so as to ensure reelection. Fighting RET in rebelliousness to one’s own election commitment seems totally out of line as it is opposite to the advice given by him.

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We cannot say that there is no hidden agenda behind this news leak or unofficial decision. Because if we see the back line of people who brought Abbott to the rise of leadership, they have no concern with the environmental changes and they negate the fact of greenhouse gas emissions greatly. In fact, they consider them to be against socialism. However, it is very much possible that this leak becomes and official decision which in that case would bring financial havoc.

In the past John Hewson who was the liberal leader was one of those people who were passionately in favor of the RET. This is more emotional then logical as these politicians are considering the word of geologists more than what the meteorological bureaus are saying about around the world about the greenhouse gas emissions. Although they have no expertise in science yet, understanding about the deteriorating environment is a very common thing.

Abbott can try to cap shares of renewable energy markets at 20 percent but the truth is that he wouldn’t be able to win over the ones who are committed and passionate for the safer and better environment, but there is very much chance that either he gets the cut or he will abolish the whole thing completely.

The Clean Energy Council’s chief executive, Kane Thornton, sent out a letter to his members recently which stated in relation to their lobbying of the government on the RET that:

Kane Thornton, The Clean Energy Council’s chief executive sent a letter to his colleagues regarding RET and said that; there is no point in screaming unless the people with authority are willing to pay attention. But there is also no point in paying nice when you are getting ignored. This was why he met the prime minister and told him that we had enough.

As it goes for Abbott he might have decided to follow the political path of Niccolo Machiavelli that he also told to the Italian feudal princes that:

Men should be well treated or they should be crushed. Because the ones with light injuries can avenge for themselves while the ones with deep injuries doesn’t. So the injury done to the man should be deep enough that no one can take their revenge back.

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The Author

I took an interest in the Australian energy sector close to ten years ago and since then have monitored the trends, technologies and direction of the Australian Energy Market. I was drawn to the Australian solar market in 2008 and since then have worked heavily in the field. I am partnered with national and international solar energy companies, from manufacturers of solar panel and inverter technology, online software developers that introduce tools to quote, monitor and manage solar power systems and media organisations who like myself, closely monitor the solar and renewable energy sector.

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