The Australian Institute of Company Directors’ (AICD) bi-annual Director Sentiment Index shows directors are concerned about energy prices and policy, but are bullish on renewables.
When asked what are the three main economic challenges currently facing Australian business, the top two responses from Australian company directors were energy related – high energy prices (30%) and energy policy (29%).
Energy policy was also named as the top issue of importance the Federal Government should address in the short term and the second most important over the long term. Issues concerning energy policy have increased in importance compared to the first half of 2017.
“In the short term, directors were clear that energy policy needs to be addressed quickly, with 58% of directors nominating it as a priority,” said AICD MD and CEO Angus Armou.
With regard to areas of infrastructure investment in order of importance, renewable energy was number one, ahead of nuclear and coal power; which were well down the list at 8 and 9 respectively.
“Fifty-two per cent of directors rate renewable energy sources as the top area of importance for infrastructure investment, followed by regional infrastructure and roads,” states the report.
Renewable energy infrastructure investment also topped the list in the second half of 2016.
The latest Director Sentiment Index report can be downloaded here (PDF).
National Energy Guarantee Update
While on the topic of energy policy, the controversial proposed National Energy Guarantee (NEG) will be discussed at a COAG Energy Council meeting to be held on November 24. The meeting will decide whether the states will allow the NEG to proceed to detailed design phase.
As we’ve mentioned previously, there are serious concerns the NEG will discourage large-scale renewables and nobble small scale solar power.
Prior to the COAG Energy Council meeting, Energy Security Board Independent Chair Dr Kerry Schott will be holding a live webinar on the NEG this Friday between 11am – 11.45am AEDT.
Dr. Schott will be discussing the proposed mechanism and the presentation will be followed by a live question and answer session.
“This is a public event open to anyone with an interest in Australia’s energy future”, says the ESB.
Further details and registration for the webinar can be viewed here.
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So company directors view energy policy as a major issue. These are the self same directors with their buisiness group lobbyists such as AI and BCA with their high profile climate change denialist past figure heads such as Warburton and Newman. They fought tooth and nail to ensure that progressive action on climate change and the associated policies to replace Australia’s coal burning polluters with cheap clean renewable energy was successfully thwarted.
If you are looking for a reason why Australian buisiness struggles to compete on the international stage you need look no further than the leaders of buisiness and industry who now have the temerity to complain about the consequences of their ideological driven incompetence.
The above article is interesting in its “paying lip service” to the matter.
As an example, some weeks ago, I sent an email message to Bunnings, asking whether they intended installing and using photovoltaic panels on all of their roof areas (I was advised that the local Bunnings Warehouse has no rooftop photovoltaic panels installed, and, no plans for installation), as it would make financial use of the roof areas, cut electricity costs and provide electricity security for the company (in WA, the electricity supply is unreliable and erratic), if accompanied with sufficient batter storage, and, could make extra revenue for the company. And, the Bunnings stores each have quite large roof surface areas.
I have not received either acknowledgement of the email message, or, a response to the email message.
In the context of the proverb “charity begins at home”, a question should be asked – how man of these companies, use the whole of their (usable) roof areas for photovoltaic electricity generation, and use sufficient storage batteries to ensure continuity and stability of electricity supply?
How many of these companies “have put their money where their mouth is?
And, these company directors and their associated companies need to not support, financially or otherwise, any political party or candidate that does not explicitly support the replacement of all combustion based electricity generation, with clean energy generation and the widespread use of battery storage.
For example, instead of the federal government misappropriating public money (the $1 billion loan) to fund the Adani coal mine, that money should instead, be diverted to the Clean Energy Finance Corporation, to fund interest-free loans to provide domestic rooftop photovoltaic systems and storage batteries, for households (this, in addition to, retention of the current subsidies for such systems, with the addition of subsidising the supply and installation of storage batteries associated with domestic clean electricity generation), for something like up to 2kW of generation capacity and 15kWh of battery storage, per bedroom of each dwelling. Assuming that the average such loan would be $40,000, and, that the “billion” of the dollars of the Adani coal mine loan, is one thousand million, rather than a true billion (a million million), that would provide for at least 25,000 such loans, across Australia, which would have a significant effect on electricity supply reliability, and, would increase Australia’s international standing, in terms of environmental responsibility and economic stability, which could lead to increased trade with, and therefore, increased investment in, Australia.
And, it should be rembered, especially by these company directors, that the advent of domestic rooftop photovoltaic systems in Western Australia, saw an end to the rolling electricity supply blackouts each summer, due to the previously unmet (before the advent of domestic rooftop photovoltaic systems) demand for electricity.
So, it is in the interests of these company directors, and their companies, to consider all of this material, to protect and improve their companies’ prospects.
Because it is not made explicitly clear in my previous post, where I said
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And, these company directors and their associated companies need to not support, financially or otherwise, any political party or candidate that does not explicitly support the replacement of all combustion based electricity generation, with clean energy generation and the widespread use of battery storage.
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it should instead, be
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The company directors and their associated companies, instead of supporting, financially or otherwise, any political party or candidate that does not explicitly support the replacement of all combustion based electricity generation, with clean energy generation and the widespread use of battery storage, need to support, financially and otherwise, only political parties and candidates that explicitly support the replacement of all combustion based electricity generation, with clean energy generation and the widespread use of battery storage, in every election and by-election.
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