NSW’s Fresh Start: A New Era for Energy, Or More Of The Same?

With NSW Labor led by Chris Minns seizing power in New South Wales, what lays ahead for renewable energy, emissions reduction and electricity bills?

NSW Labor went into the election with its “Fresh Start Plan”. On energy, emissions and renewables, it primarily consists of:

NSW Energy Security Corporation

The incoming Minns Labor Government has committed to creating the NSW Energy Security Corporation. This is to be a state-owned body with a mission to accelerate investment in renewable energy assets.

Seeded with a $1 billion investment from the existing Restart NSW Fund, the NSW Energy Security Corporation will partner with industry on projects including medium to long duration renewable storage solutions such as pumped hydro, and community batteries to maximise benefits of rooftop solar.

Enshrining Emissions Targets Into Law

Currently, NSW has aspirational emissions reduction targets. NSW Labor introduced a private members bill back in 2021 to legislate these targets, but this was unsuccessful.

Labor has committed to legislating targets including net zero by 2050 and an interim 50% reduction on 2005 carbon emissions levels by 2030.

Net Zero Commission

The Minns Government will establish the “Net Zero Commission”, which will be charged with the task of developing the net zero plan and monitoring its progress; including impacts on employment and energy prices.

Power Bill Sugar Hit (For Some)

And on the issue of energy prices and short-term relief, households receiving income support, pensioners, Seniors Health Card holders and Family Tax Benefit recipients will receive a $250 rebate in several instalments over a year. However, under a re-elected Liberal and Nationals Government, every household in NSW would have been eligible under a scheme similar to that in Victoria.

Who Will Be The New NSW Minister For Energy?

That is yet to be confirmed. Jihad Dib has been the Shadow Minister for Energy and Climate Change, and it’s widely expected he will take over the Energy portfolio from outgoing Energy Minister, Matt Kean.

Keening For Kean

Matt Kean wasn’t the Messiah, nor was he a very naughty boy. But he was a true believer in renewables. RenewEconomy’s Giles Parkinson has opined the loss of Matt Kean as the state’s minister for energy “is a potential disaster for Australia’s energy transition, although it does not need to be.”

Some had hoped Mr. Kean would take a crack at the NSW Liberal leadership given Dominic Perrottet is stepping down. But Mr. Kean said yesterday he had decided to not throw his hat in the ring as he wishes to spend more time with his family. And good luck to him.

Filthy Elephants In The Room

While there’s hope and indications a Minns Government will build on the Perrottet Government’s renewables legacy, the fossil fuel minefield remains.

One of the issues is the future of the coal-fired Eraring Power Station  – the state’s largest power station and an emissions-spewing monster. In February last year, Origin Energy announced its intentions to close down Eraring Power Station in August 2025, 7 years early. But early this month Mr. Minns created a stir when he said he would consider buying back Eraring, and potentially keep it running past 2025.

Another particularly thorny issue is the Narrabri gasfield project. The Australian Petroleum Production & Exploration Association (APPEA) is already calling on the incoming government to enable investment in new supply, and specifically mentioned the controversial project.

Original Source: https://www.solarquotes.com.au/blog/minns-energy-nsw-mb2875/