Power Price Rises

It is interesting to see the kerfuffle over Electricity prices today.

One has to feel sorry for the elephant in the room.

Remember the Message from the Premier in March 2012 to direct Treasury to start the legislative changes—across the whole-of-government—required to implement the government's Lower Cost of Living for Families package....

Electricity tariffs and the cost of living. Know your rights.

The Queensland Government has made a commitment to keep the cost of living down for all Queenslanders. As part of delivering on this commitment, the Government has frozen the standard electricity tariff (Tariff 11) for 12 months, starting on 1 July 2012.

In 2012-13, the regulated rate of the standard residential tariff, Tariff 11, will remain the same as the 2011-12 rates, plus the cost of the Commonwealth Government's carbon tax. This is the only cost that will be added to the standard residential tariff and will be shown separately on all Queensland residential electricity bills.

Whilst it is the Government's intent that all residential customers benefit from the freeze to Tariff 11 in 2012-13, some retailers may be charging their market customers above the regulated rate.

Under new legislation, market customers have the right to cancel their contracts or change to a regulated rate if the market rate charged by their retailer is higher than the regulated rate.

Residential customers who are on a market contract also have the right to revert to regulated prices at the end of their contract without paying an early termination fee. It is recommended you contact your retailer to confirm the terms and conditions of your contract and the options available to you.

freezing the standard domestic electricity tariff from 1 July 2012

Contrast the Message from the Premier with the Press Release below.

JOINT STATEMENT

Treasurer and Minister for Trade
The Honourable Tim Nicholls

Minister for Energy and Water Supply
The Honourable Mark McArdle

Friday, February 22, 2013

Statement from Treasurer Tim Nicholls and Minister for Energy and Water Supply Mark McArdle regarding electricity prices

Mr Nicholls:

“This increase is simply unacceptable. The government is committed to finding ways to reduce it, and the reduce the impact on Queensland families.

“The responsibility for this shocking double-digit price rise lies squarely on Labor’s shoulders.

“The Australian Energy Regulator (AER) has been poorly managed by the Gillard Government.

“Network costs, which are controlled by the Gillard Labor Government, represent more than 50 per cent of today’s proposed price increase and, when combined with green schemes and the carbon tax, it’s above 70 per cent.

“Green targets and schemes, like Julia Gillard’s Carbon Tax and Anna Bligh’s excessive solar rebate, have also pushed up the price of electricity.

“Those who can’t afford to put solar panels on their roof are paying the price for Labor’s bungled green schemes.

“Today’s proposed price rise is just another example of how Queenslanders are continuing to pay for the previous State Labor Government’s mismanagement and wasteful spending.

“Under Labor, spending by the State’s electricity businesses was out of control.

“The Newman Government has taken action to reduce the operating and capital costs of Energex and Ergon by $2.1 billion over three years.

“We will continue to reduce costs where we can, but our hands are tied in relation to network costs.

“The Queensland Government does not regulate electricity network costs, the Gillard Labor Government does - today’s proposed increase is out of our control.”

Mr McArdle:

“The Government understands the cost of living pressures that Queensland households are under, and increases like this are just not acceptable.

“The Newman Government will ensure it is reduced to the lowest level possible.

“We will make a submission to the Queensland Competition Authority (QCA), outlining our response, before the final price determination is released on May 31.

“Electricity price rises in recent years have been unsustainable.

“Since being elected last year, the Newman Government has implemented several initiatives to reduce the cost of living for Queensland families.

“We will continue to address cost of living issues, at the same time as growing the four pillars of the economy and reducing debt. The decisions of the past year clearly illustrate that the Newman Government is capable of the task ahead.”

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

The former Queensland Treasurer - Andrew Fraser has been on twitter reminding the current Government of Section 90 of the Electricity Act.



90 Deciding prices for non-market customers
(1) The Minister must, for each tariff year, decide (a price
determination) the prices, or the methodology for fixing the
prices, that a retail entity may charge its non-market
customers for all or any of the following—
(a) customer retail services;
(b) charges or fees relating to customer retail services;
Examples—
• charges or fees for late or dishonoured payments
• credit card surcharges for payments for the services
(c) other goods and services prescribed under a regulation.
(2) The price determination must be in the form of a tariff
schedule.
(3) To remove any doubt, the following is declared for a price
determination—
(a) it may be made from time to time and not just once a
year;
(b) a tariff from the tariff schedule for the previous tariff
year may be added to, removed or changed;
(c) it may include network charges;
(d) it can not be made for distribution non-network charges.
(4) The prices, or prices fixed under the methodology, are, for a
retail entity, called the notified prices.
(5) In making a price determination, the pricing entity—
(a) must have regard to all of the following—

(i) the actual costs of making, producing or supplying

the goods or services;

(ii) the effect of the price determination on

competition in the Queensland retail electricity

market;

(iii) if QCA is the pricing entity—any matter the

pricing entity is required by delegation to consider;

and

(b) may have regard to any other matter the pricing entity

considers relevant.

(6) The pricing entity may decide that the notified prices exclude

one of the following—

(a) GST;

(b) the amount fixed by the pricing entity, or the amount

worked out in a way fixed by the pricing entity, as the

net effect on prices of GST and matters related to the

imposition of GST (the net GST effect).

(7) In this section—

distribution non-network charges means charges of a

distribution entity, approved by the jurisdictional regulator

under the National Electricity (Queensland) Law, that—

(a) are referable to a specific customer or retail entity

request; and

(b) do not include network charges.

Examples of distribution non-network charges—

• a de-energisation or disconnection fee

• a reconnection fee

• a meter test fee

network charges means charges of a distribution entity for—

(a) distribution use of system charges for the use of a shared

supply network of the distribution entity; and

(b) any transmission use of system charges payable by the
distribution entity for the use of a transmission grid to
which the supply network is connected.
Note—
For the Minister deciding prices for a particular tariff for the financial
year starting on 1 July 2012, see chapter 14, part 12.

you wouldn't read about it!

There are three screens in front of me.

four corners is on TV: The Gina Rhinehart episode.

I am banging on the keyboard of my computer.

A twitter feed is on my phone beside me....

Some of my favourite people on twitter are journalists......but I am gravitating towards following people who reinforce my own view of the world.

I deliberately follow a few people who have a different view of the world, just to challenge "group think".

Day by day, I am watching from the sidelines as traditional business models for receiving news, views, information and entertainment are collapsing.  

So ....we need new business models.

How do I stay informed?

How much will I have to pay?

How do journalists earn livelihoods, if we all stop reading newspapers, listening to commercial radio or watching commercial television?

Politicians with Passion

Remember when Peter Garrett used to sing political songs and make political statements?

Remember the power & the passion?

This week I had a chat with Capt Quirk, the current Lord Mayor of Brisbane....

When I asked him what he was passionate about.....he responded with:

"Racehorses".....

People, wasting away in paradise
Going backwards, once in a while
Takin' your time, give it a try
What do you believe, what do you believe
What do you believe is true?
And nothing they say makes a difference this way
Nothing they say will do

You take all the trouble that you can afford
At least you won't have time to be bored x2

Oh, the power and the passion
Oh, the temper of the time
Oh, the power and the passion
Sometimes you've got to take the hardest line

Sunburned faces around, with skin so brown
Smiling, zinc cream and crowds, Sundays the beach never a cloud
Breathing eucalypt, pushing panel vans
Stuff and munch junk food
Laughing at the truth, cos Gough was tough til he hit the rough
Hey Uncle Sam and John were quite enough

Too much of sunshine too much of sky
It's just enough to make you wanna cry x2

Oh, the power and the passion
Oh, the temper of the time
Oh, the power and the passion
Sometimes you've got to take the hardest line

I see buildings, clothing the sky, in paradise
Sydney, nights are warm
Daytime telly, blue rinse dawn
And Dad's so bad he lives in the pub, it's a underarms and football club
A flat chat Pine Gap, in every home a Big Mac,
And no one goes outback, that's that

You take what you get, you get what you please
Better to die on your feet than to live on your knees
It's better to die on your feet than to live on your knees

Oh, the power and the passion
Oh, the temper of the time
Oh, the power and the passion
Sometimes you've got to take the hardest line
(repeat)

Did you happen to see Lateline on Thursday night? Paul Keating was interviewed about his perspective on putting a price on pollution.


If you haven’t seen it yet, please take a moment to watch former Prime Minister Keating’s interview about economic reform.



After watching former Prime Minister Paul Keating, it is worth having a look at Can Do roping in his family to passionately tell us he has a plan (but then telling us nothing about what the plan is). It is hysterical......

Sustainable Business Weekly QLD Edition [Biodiversity, Stradbroke, Water, Power, Gas]

The Society of Sustainability & Environmental Engineering (SSEE) Have a QnA forum scheduled for 24 May 2011 with a presentation on Electric Vehicles (EV’s), followed by a Panel discussion on roads, rail, rates, rides etc…

A subsequent QnA forum will consider the vulnerability and sustainability of our industrial food system.

ASBG are still negotiating the next round of Environmental Management Practitioner’s Workshops, Safety Management Workshops (including changes to Dangerous Goods labelling).

When the details become available, ASBG will help unpack & explain the implications of a Carbon Price for businesses.





Biodiversity Strategy

The Queensland Government is seeking feedback on Building Nature’s Resilience: A Draft Biodiversity Strategy for Queensland its plan for conserving biodiversity over the next 10 years.

The plan places nature's resilience at the centre of the state’s conservation efforts and attempts to recognise the critical role of all Queenslanders in delivering real change to biodiversity.

The strategy has been developed in draft to provide an opportunity for all interested parties to have their say about the future of Queensland’s natural environment.
While key stakeholders were engaged throughout its development, the opportunity now exists to further adapt the draft strategy to meet the needs of the community.
The main strategy document is accompanied by Protected Areas for the Future: Cornerstones for Terrestrial Biodiversity Conservation which provides a deeper look into how an expanded protected area system will be developed.

Feedback can be provided on the Get Involved website or by email to biodiversity@derm.qld.gov.au.

Comments can also be posted to: Feedback on Queensland’s draft biodiversity strategy, Biodiversity Integration Unit, Department of Environment and Resource Management, GPO Box 2454, Brisbane QLD 4001.
For further enquiries phone 13 74 68 (13QGOV).

Due to the recent natural disasters the consultation period has now been extended until 8 April 2011.

Stradbroke Island

ASBG member Sibelco Australia (formerly known as Unimin) has taken out full page ads in the Courier-Mail depicting Premier Anna Bligh and Honourable Kate Jones (minister for Environment & Resource Management) sitting on a sand dune that used to be a sand mine.

For better or for worse, the Queensland State Government has brought forward the timetable for the cessation of sand mining on Stradbroke Island. Whilst it might seem like a good idea to declare another National Park on Stradbroke Island, it should be noted that many of our National Parks are poorly managed & are home to feral fauna & noxious flora.

While there are many examples of mining companies who have not been good stewards of the land, there are also many examples of environmental management & rehabilitation by responsible mining companies. Sibelco encourage your feedback and invite you to use the 'Questions and Comments' link.

Can Do’s Water policy

The LNP’s Candidate for the Seat of Ashgrove in the (yet to be announced) Queensland State Election is now writing the State Opposition’s policies for them.
If elected in Ashgrove, Campbell Newman is committing the LNP to amalgamate the five bulk water (bodies) that were set up, save all the money in the administrative costs.

Can-Do Campbell wants to write off the non-performing assets, & believes Queenslanders should repay the debt for these water assets over a 40-year period, not a 20-year period




Poles & Wires push up Power Prices

A recent update paper from the Australian Government's climate change advisor, Professor Ross Garnaut, has confirmed that renewable energy is not the major culprit in electricity price rises and acknowledges its increasingly important role in distributed generation.

The notion that renewable energy sources such as solar power substantially drive up electricity prices is a bandwagon that some corners of the media have been happy to jump on and stay on, even while much has been published to bust that myth.

Professor Ross Garnaut has weighed in on the argument in his latest Climate Change Review Update, published last week.

The paper states recent electricity price increases have mainly been driven by increases in the costs of transmission and distribution; an issue that Minister for Resources and Energy, Martin Ferguson, warned of in March last year.




Coal Seam Gas

This week there was an escalation of tension between farmers and British Gas at Tara, west of Brisbane.

Environmental Campaigner – Drew Hutton was arrested by police for blockading British Gas workers, attempting to construct a pipeline.