And the lights stay on...The Resources Minister, who is also the Minister for Northern Australia and oversees the infrastructure fund, rejected suggestions that the help for a coal-fired power station would be a “subsidy” that meddled with the market.
“I wouldn’t characterise it as a subsidy, it’s an investment. Governments for decades have invested in energy infrastructure; all the energy infrastructure in Queensland is owned by the state government,’’ Senator Canavan said.
“It’s not unusual and generally those investments have paid off very well. I think most Australians see the central role of government as being investing in infrastructure — roads, rail and energy.”
Senator Canavan said the investment would be comparable to Mr Turnbull’s decision 10 days ago to offer government support for a $2bn expansion of the Snowy Mountains Hydro-Electric Scheme.
The energy security committee of cabinet is waiting on a report into the electricity market from Chief Scientist Alan Finkel before deciding any changes to the sector, with energy security expected to gain a priority so that baseload power generators — including coal-fired ones — are assured a long-term return.
Senator Canavan is talking to Japanese companies that believe they could transfer their “high efficiency, low emissions” technology to the northern Queensland project.
Mr Butler is warning against the use of taxpayer funds for the rail line to the Adani mine or a new power station, claiming the long-term future for coal is one of decline.
“This is something the coal industry needs to deal with. We’ve said as a federal Labor Party we will not support taxpayers’ money going in to support infrastructure or pay for infrastructure around this (Adani) mine,” he said last week.
http://www.theaustralian.com.au/business/mining-energy/libs-looking-to-asia-to-b... A few COMMENTS to send the Lefties into orbitJohn 2 hours ago
While we have legislation that requires 23.5 % of electricity be supplied by "renewables" by 2020, and wind/solar receive 9 cent/KWh subsidies in addition to the wholesale price of about 5 cents/KWh paid for by higher electricity prices, more coal stations will be shutting down. Yet when the sun isn't shining and the wind isn't blowing, we need base load supplies. But running coal-fired generators on an intermittent basis is uneconomic. The RET is slowly but surely destroying Australia as a place for competitive manufacturing industry - so along with the coal exports go jobs. Where is the ACTU?
SimonTigey 2 hours ago
This sounds great, but its all talk. I will applaud once I see the power station up and running. We here in SA badly need a new coal fired power station, we should be first priority!
Frank 40 minutes ago
@SimonTigey How do you propose to get a new coal fired power station past the approvals process? Your totalitarian government will make sure that never happens.
graham 7 minutes ago
No way Jose, get rid of your toxic government first.
Michael 2 hours ago
It would appear that MT has finally gripped the obvious - Australia needs coal fired base load electricity.
Now he needs to convert his conversion to reality. Go to tender and get on with building this very necessary project.
graham 23 minutes ago
@Michael Remember the local banks who have been bullied into an anti coal stance won't finance a power station, so it will have to be financed and owned by willing outsiders, apparently the Chinese.
Terence 2 hours ago
Why build a North Qld coal plant over 1,000 miles from main users with massive transmission losses? Optimistically it will cost $2-3 billion plus, certainly if the CFMEU is involved, and won't be online for FIVE years. Talk about politicians ability to mismanage anything, Australia needs the energy now.
As Hazelwood's power station closes this week, it has been generating 1,400 MW for the last month, not bad for a 53 year old plant, which BTW is more than ALL Australia's wind farms combined generated over the same period.
What is planned to replace Hazelwood's power now? As nothing new is on the table let's hope the wind keeps blowing. MT's thought bubbles are FIVE years away.
We must now prepare for unavoidable and totally unnecessary blackouts.
PR 1 hour ago
@Terence You can't build coal fired power in Vic, Labor won't let you. Industry will have the lotion of moving to QLD,which is better than closing totally
Paul 2 hours ago
Good to see Australia actually use and benefit from one of our biggest exports (coal does have a future!). At least a part of Qld will have energy security. If Govt needs to invest in this, great do it. However, we also have to remove those disincentives for Industry to invest in coal.
GD 5 hours ago
Please, politicians, read Jo Nova's award-winning scientific Australian blog.
Shaun 7 hours ago
If not coal then its nuclear or gas. Make your mind up Labor ( I saw Labor as we need them on side) as Wind and Solar are no go just unsuitable for base load so make the choice now and fast. The first 2GW power station needs to be under construction this year or big trouble. It takes 3 years for gas or 5 years for coal and more for nukes so make the choice now.