The Productivity Commission’s Draft Report released on 27 April is positive for the electricity sector, renewable electricity and wind energy. Key take-outs relating to the electricity sector include:
Electricity is of key importance to a low-emissions transition, with a significant growth in demand.
Wind will play a central role.
Dry year back-up is necessary.
Technology is fast changing and the future is uncertain.
A high level of reliance on an effective emissions price.
Regulation of distribution needs to evolve.
The Draft report is comprehensive at 500 pages and the section on electricity reflects a high level of industry understanding.
The Chair of the Productivity Commission Murray Sherwin presented a summary of the Draft report at the Association’s 2018 Wind Energy Conference. Click link to view the presentation:
The Commission has picked up on most of the key points made by the Association and other submitters in response to their Issues Paper and it is helpful that they are seeking further information as to whether the RMA unduly constrains investment in electricity generation, particularly wind and hydro.
The Association’s submission can be viewed here: