INFRASTRUCTURE – ELECTRICTY PRICES
The size of the problem:
The whole community of Australia is seeing the prices of electricity at levels never imagined before. Some businesses are finding the possibilities of continuing in business are becoming more doubtful. The low income earners are struggling to make ends meet and while they are given price relief by different assistance programs this is not fully sustainable into the future. Both the government and the opposition parties have no effective plans for a long term solution as they are only looking at band aide solutions that will need to be continually need to be revisited in the future. The reason we are where we are because the failure to fully comprehend the flow on effect of the sale or leasing of community assets and in this sale of the generating systems and most recently in NSW the leasing of the poles and wires. I made a robust submission that was essentially ignored because the memorization of the funds that could be generated in the now for new projects without counting the forward costs. This link has some details of my submission: Enquiry
The solution from where we are:
The need to take charge of the electricity supply and distribution via either strong directive regulation or by a buyback program is extremely urgent. Both are with potential solutions are with high costs and so proceeding must be with care and a full examination of the full total long term and short term costs. There has been a move towards dependency on renewal energy alone and this may not be totally wise for two main reasons 1. Base line guarantees are hard to meet with renewables alone. 2. Climate change is only an unproven theory and ought not to drive policy alone. It is wise to have as far as possible to have a factual unbiased inquiry into energy production and supply for it seems a balance approach is possibly the wisest way forward so that all production and supply can be used in a balanced way. This is most likely only possible if the government resumed full control of the industry.
Privatization of electricity historically began with the privatization of the electricity bill alone and as electricity has a single final supply and to its final consumption it is not a natural business to privatize and is best as a government monopoly supply business.