A Western Australian parliamentary question probes the state government's energy strategy, particularly regarding renewable energy targets, CO2 emissions, and the role of unconventional gas. The government's response largely defers to Commonwealth initiatives and existing frameworks.

AnsweredQoN 3626Legislative Council
Asked
15 March 2011
Portfolio
Energy

QuestionView source ↗

I refer to the Draft WA Strategic Energy Initiative (SEI), and ask -
(1) Why was no Renewable Energy Target set for 2031 in the document?
(2) Does the Government have an energy target for 2031?
(3) If yes to (2), what is the target?
(4) If no to (2), why not?
(5) With reference to nuclear power as referred to page 14 of the document, -
(a) what was the purpose of this statement; and
(b) what relevance does this have to the Draft WA SEI?
(6) Why were current CO2 emissions from energy generation in Western Australia not identified in the document?
(7) How does the Minister expect to be able to establish the impact of renewables in electricity generation when there is no identification of CO2 emissions from energy generation in Western Australia?
(8) Why was there no target for renewables in electricity generation by 2019-20 as opposed to a general expectation of an increase to 20 percent?
(9) Why does the document state that renewables in electricity generation are expected to maintain a level of 20 percent from 2020 to 2030?
(10) Does the Minister expect coal seam gas or unconventional or tight gas to play any role in the future energy economy of Western Australia
(11) If yes to (10), how does this expectation correlate with the Minister’s commitment to pursue cleaner energy generation?
(12) How does the Minister support the document’s assertion that new low-emission technologies ‘will be more expensive than existing technologies until new low-emission technologies will be more expensive than existing technologies until emission costs are internalised, and commercial economies of scale and maturation of the technologies deliver cost reductions’, when assessing a twenty or thirty year period, when electricity prices from conventional sources are already rising and the cost of renewable is reducing a significant rate?
(13) If the Minister can support the document’s assertions regarding low-emission technologies, will the Minister seek to internalize emissions costs and how will this be done?

AnswerView source ↗

Answered
12 April 2011
Responded by
Minister for Energy
Response time
28 days
(1 - 4) The Commonwealth Government national renewable energy target will be the major driver of renewable energy growth in Western Australia over the next decade. The State Government supports the national Renewable Energy Target scheme.
The Strategic Energy Initiative Directions Paper focuses on the actions that Western Australia can take with regard to its markets, regulatory frameworks and institutional capabilities to enhance our capacity to meet the State's share of the national target.
(5) (a) Chapter 2 of the Directions Paper includes a section on the current energy environment, which describes the mix of fuels used in Western Australia. Page 14 refers to uranium deposits with a factual statement about processing, mining and export.
(b) The statement is relevant in describing the energy environment in this State.
(6 - 7) Figure 12 on page 25 shows both the previous and predicted greenhouse emissions from the stationary energy sector. The ABARE forecasts for emission levels from 2007/08 onwards are based on the requirements to achieve a nominal share of the national target, being a 5% reduction of total greenhouse emissions from levels in the year 2000.
(8 - 9) The Directions Paper references the Commonwealth Government's Renewable Energy Target, which was split into a Large-scale Renewable Energy Target and Small-scale Renewable Energy Scheme from 1 January 2011.
The Large-scale Renewable Energy Target has a legislated target of 41,000 gigawatt hours of electricity from large scale renewable projects by 2020. The Commonwealth Government has indicated that the target remains unchanged over the period 2020 to 2030, on the expectation that a carbon pricing scheme will be the primary driver of renewable energy developments during that period.
The Small-scale Renewable Energy Scheme allows for the creation of small-scale technology certificates from small renewable energy systems and solar hot water systems. The Small-scale Renewable Energy Scheme liability is distributed evenly according to each retailer's share of national sales, irrespective of where the systems are installed.
(10) The Directions Paper refers to onshore and unconventional gas reserves as a potential source of fuel that could assist with diversity of energy supplies and increased competition.
(11) Gas plays an important role in Western Australia's energy system, with half the emissions of coal generation per unit of energy. Gas generation is also crucial in providing for peak electricity supply requirements and in balancing intermittent generation from wind and solar photovoltaic sources.
Any future development of coal seam gas or unconventional or tight gas resources would need to be considered in terms of their compatibility with good environmental stewardship and the potential to minimise carbon emissions, as well as meeting any necessary environmental, health, safety and legislative requirements.
(12) The cost of renewable energy technologies is expected to fall as the technologies move through the development-cost curve, and the costs of some technologies are approaching those of traditional generation technologies. Page 24 of the Directions Paper shows the expected relativities for 2020 and 2030, after a period of maturation and increasing scale. This analysis shows that the solar electricity generation technologies in particular will remain at a cost disadvantage.
(13) Internalisation of emission costs is being considered at the national level.
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