Transgrid White Elephant Must Go

Wednesday, 19 November 2003 10:00

 "The Wollar-Wellington line is another example of the lumbering ineptitude of this under-regulated monopoly," said Jeff Angel, TEC Director. "Transgrid's infatuation with infrastructure is killing opportunities for smarter energy solutions. The government should pull this engineer-driven mammoth into line before the benefits of energy efficiency and renewable energy are lost forever."

Consultants had identified cost-effective energy solutions in a 2001 report which included local gas generation (75MW), energy efficiency (50MW) and wind energy (10MW). These cleaner, cheaper options, supplying well in excess of energy requirements for the area, have been suppressed by Transgrid.

"We call on the ACCC and the Independent Pricing and Regulatory Tribunal (IPART) to conduct an investigation into how these cost-effective solutions have been excluded. Transgrid is displaying all the signs of anti-competitive behaviour in its moves to block the development of non-network solutions."

"Transgrid wants us all to pay for another excessive project which destroys rural communities, increases greenhouse gases and costs more for all NSW electricity users," said Mr Angel.

Energy efficiency programs in NSW have had benefit to cost ratios of 10 to 1. Electricity companies are legally obliged to investigate these options before building their networks, however, they are unwilling to do so because they reduce earnings from electricity sales.

"Transgrid has a clear conflict of interest when it comes to energy efficiency. An independent NSW Demand Management Fund should be set up to immediately fast-track energy efficiency measures for the benefit of the people of NSW and the environment."

Despite planning to spend billions on network expansion across NSW, Transgrid has committed only $1 million per year to demand management in one part of Sydney.

"The government should come clean on whether they want this line to serve the dirty power station planned for Ulan. If so, this is dirty economics - getting Transgrid to foot the bill now for a polluting power station later that the people of NSW don't want."
 

For further information

Contact
:
Jeff Angel or Jane Castle
Phone
:
61 2 9299 5599
Email
:
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:
http://www.tec.org.au/