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  • Australia faces unprecedented oversupply of energy, no new energy generation needed for 10 years: report

    Australia faces unprecedented oversupply of energy, no new energy generation needed for 10 years: report

    Posted 44 minutes agoFri 8 Aug 2014, 6:05pm

    South-eastern Australia will not need to ramp up energy generation for the next 10 years, even under a worst-case scenario, a report says.

    The Australian Energy Market Operator (AEMO) report says Australia is facing an energy glut never before seen in the history of the national electricity market.

    It raises serious questions about the ongoing viability of existing coal-fired power stations, but might also result in more pressure on the Federal Government to reduce the Renewable Energy Target (RET).

    A spokesman for AEMO, Joe Adamo, says there is no additional generation required to maintain the reliability.

    “Now, that’s under all three scenarios that we model. So what we’re saying is that there’s an oversupply of generation capacity at present. It doesn’t affect the reliability,” he said.

    For the next year alone, Australia will produce up to 8,900 megawatts more than is needed. That is around four times the power produced in a year by Australia’s largest coal-fired power station.

    Electricity use in Australia has been falling now for about four years due to the take-up of rooftop solar systems, greater use of energy-efficient appliances and the downturn in some manufacturing industries that use lots of electricity.

     

    The principal consultant of energy strategies with Pitt and Sherry, Hugh Sadler, says the upshot is that if the coal-fired power stations want to stay running, they will be competing in a buyer’s market.

    “Many of them will have to trade unprofitably as many of them already have been doing for the last year or two,” Mr Sadler said.

    Just last week energy company HRL announced it would close a small coal-fired power station in Victoria’s La Trobe Valley.

    “It was one that was kind of earmarked for closure some three or four years ago but was propped up by some of the industry assistance measures of the previous Labor government,” the Alternative Technology Association’s Damien Moyse said.

    “Those measures have now run out and so as soon as they have that power station has found that it’s no longer economical to operate.

    “That’s really because there just isn’t the need for so much base load power at the moment,” he said.

    Energy in oversupply, but prices still rising

    Despite the oversupply, Australians have continued to pay more for their electricity.

    “The prices have been rising because of the other parts of the cost of electricity, which is the cost of getting it from the boundary of the power station through the meters of all the individual consumers,” Mr Sadler said.

    “And that’s considerably more than half of the total cost of the total electricity that’s supplied to households or small businesses.

    “That’s the part that’s been rising very rapidly over the last three or four years.”

    While all this has been going on, the Federal Government has been reviewing the Renewable Energy Target, which stipulates a certain amount of renewable electricity should be in use by 2020.

    The big electricity companies have been lobbying the Government to axe or at least reduce the RET because renewables like wind and solar are hitting their bottom line.

    “On a demand basis we don’t need any additional investment for generations for some time, and that’s what the AEMO report says,” Mr Moyse said.

    “But the mechanisms that leverage investment into renewable energy and into low-carbon technologies like the Renewable Energy Target are not about, ultimately, providing enough electricity supply to match demand.

    “What they’re about is industry development and restructure mechanisms. They’re trying to, over time, restructure the industry so that more of our generation, irrespective of what the demand level is, comes from renewables or low-carbon technology and less from carbon-intensive generation, such as coal and gas.”

    At present there are millions of dollars in renewable projects sitting on the shelf while their developers wait to see what the Government does with the RET.

    The bottom line, Mr Sadler says, is that there is no future for the large-scale renewable sector in Australia without the RET.

    But he says that goes for other technologies too.

    “In fact, some of the very new gas-fired power stations are going to be withdrawn from the market in a few months’ time even though they are the newest power stations in Australia, apart from the renewable ones, because of the high price of gas means that they can’t compete in the current market,” he said.

    In the meantime, Australians are increasingly voting with their wallets as electricity prices continue to rise.

    There are around 1.5 million rooftop solar systems in the country and the number is increasing.

  • Daily update: Can coal generators fool the government a second time?

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    Daily update: Can coal generators fool the government a second time?

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    Can coal generators fool the government a second time?; SA wind energy jumps to 43% in July; New study says Paris climate talks won’t keep world under 2ºC; Sowing confusion about renewable energy; and German solar feed-in tariffs shown to be wildly successful.
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    RenewEconomy Daily News
    The Parkinson Report
    Three years ago, coal generators warned the lights would go out if they didn’t receive enough carbon compensation. The absurdity of those claims is now revealed by new AEMO data, which highlights the excess capacity of coal generators. Undaunted, those generators now aim to stop renewables to protect their revenues.
    Wind energy provided 43% of South Australia’s electricity needs in July. With rooftop solar PV, that means nearly half state’s electricity came from variable renewables.
    Hopes the world will do something meaningful to cut carbon emissions hang on the Paris climate talks, but agreement there may not be enough.
    Readers of The Economist may have been surprised for good reason to read that solar and wind are “the most expen­sive way of reducing green­house-gas emissions.
    Brattle Group says Germany has been remarkably successful, given the goal – shared by great majority of population – of ‘de-fossilising’ its electricity sector.
  • Daily update: Sungevity hires APG founder, prepares attack on retail market

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    Sungevity hires APG founder, prepares attack on retail market; NSW shire turns to rooftop solar to offset soaring power costs; First Solar sets new solar cell efficiency world record; Macquarie extends renewables reach with stake in US wind farm; Coal generation, electricity demand rebound after carbon price dumped; How much “easy PV” could Japan build?; and France unveils $US13.4bn energy plan to focus on renewables, efficiency.
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    RenewEconomy Daily News
    The Parkinson Report
    Sungevity has hired the founder and former chief of Australian Power and Gas, hoping he can replicate that success by making it the biggest solar player in Australia, and then use new storage products to attack the dominance of the incumbent energy retailers.
    Warrumbungle Shire will install rooftop solar panels on 80-100 of its council buildings to offset increased electricity costs proposed for public lighting.
    US thin-film giant First Solar achieves 21% efficiency in cadmium telluride solar cell – a new world record that ranks CdTe up with silicon-based PV cells.
    Macquarie Infrastructure Group buys $11.5m stake in Idaho Wind Partners, extending its aggregate power generating capacity to around 96MW.
    The carbon price repeal has immediate impact – causing demand and coal generation to rise. Meanwhile, ramped gas and rampant solar keep push electricity prices in Queensland to new lows.
    Japan’s solar PV success following its introduction of a  feed-in tariff for solar power raises a question, how much “easy PV” could be installed?
    Tax credits and low-interest loans will be used to generate about €10 billion ($13.4 billion) for a new energy plan in France.
  • How Prime Minister Tony Abbott is Championing Coal

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    How Prime Minister Tony Abbott is Championing Coal

    Australian Prime Minister Tony Abbott insists that coal will be the primary source of energy in the future even as many signs point to solar power as having that distinction.
    Recently Tony Abbott told an audience in Houston, TX that the fossil fuel will continue to stimulate progress for developed and developing nations alike.
    Tony Abbott’s latest statement demonstrates the reason Australia has slowly been turning its back on new and renewable energy sources, even as the rest of the world embraces renewables.

    Economist Warwick Smith is among the many critics of Tony Abbott’s insistence that coal and natural gas is the future for Australia.  Smith says the government wants Australia to be stuck with 20th century power infrastructure and that the country’s leaders are doing everything they can to keep the economy too reliant on fossil fuel. He warns that the country will be left behind by other countries in terms of developing new and renewable sources of energy.

    Tony Abbott’s Vision of Australian Energy Future

    Tony Abbott has earned criticisms too because of flip-flopping on the issue of the Renewable Energy Target. Before the election Tony Abbott promised to look into the RET which ensures that 20 percent of the country’s energy comes from renewable energy sources like solar, wind, and hydro. Tony Abbott said the proposed revision of the RET is due to changed circumstances and a plan for Australia to become a superpower in cheap energy. He also reasoned that the Renewable Energy Target is causing a spike in energy prices.

    These statements made by Tony Abbott run contrary to recent reports that rooftop solar panels are bringing down the prices of electricity in Australia, one of the sunniest countries in the world. In Queensland, a negative energy price was recorded at AUD -$100 due to low demand and high rooftop energy generation.
    This is possible because it is mid winter in Australia where daily temperatures are tolerable. Households don’t consume as much energy in the early afternoon with peak demand happening in the mornings and afternoons.

    Queensland Solar Power

    Queensland is an example of a region in which solar power has made a lot of headway. There are thousands of households in Queensland with solar panels on their rooftops. Thus demand for electricity retailers plunge during sunny months. Across the country, it is expected that 75 percent of residential buildings and 90 percent of commercial buildings will have solar panels in their roofs 10 years from now.
    Outside Australia countries and firms are embracing solar power and renewable energy. Electronics giant Apple has announced it plans to expand its solar power farm in North Carolina. Meanwhile China is looking to double its solar panel production by 2017.
    American solar panel industry is also aiming at catching up with its Chinese counterparts. The stiff competition between China and the United States is projected to make solar panels more affordable over the next decade.
    With the immense support that other countries are throwing at renewable energy sources like solar power many Australians are wondering why the coalition leader Tony Abbott continues to insist that coal is the future of power generation.

  • Capitalism, imperialism and Zionism

    If not for decades of Western – especially the United States’ – racism and bigotry, legitimate elected governments would today decide and execute policy not only in Egypt, but probably also in Saudi Arabia, Yemen, Jordan, Kuwait, Bahrain and other countries whose governments are today effectively Western colonies in the Middle East.

    This blog examines the damage being done to hundreds of millions of people in the Middle East by that racism and bigotry.

    Sunday, November 27, 2011

    Capitalism, imperialism and Zionism


    I want to put into one place my thoughts on what is the root cause of what, between capitalism, imperialism and Zionism. There is an argument that the Middle East is so strategically important, or has so much oil, that there is an imperialistic or capitalist impulse to station an outpost there, and Zionism is an expression of that impulse. In other words, either imperialism created Zionism, or capitalism created Zionism.

    Maybe instead of “created” the argument can be that imperialism or capitalism sustains Zionism. And maybe instead of “Zionism”, the argument can be that imperialism or capitalism sustains what we know of as the enforced Jewish political majority state of Israel.

    Underneath that argument, I think, is the idea that international strategy, as practiced by powerful states, empires and power-blocs, is a cold and rational endeavor that should not be explained by sentimentality, emotions or individual biases.

    The point of this post is to invite discussion on this topic. So I’ll put my position here first.

    What I believe the arguments that Zionism is an artifact of a broader phenomenon miss is that Zionism makes other things harder. Capitalist goals are more difficult for Israel’s backers to achieve than they would be if there was no Israel. Imperialist goals are more difficult for Israel’s backers to achieve than they would be if there was no Israel.

    Capitalism first, the US capitalist class would have no problem trading with and profiting from Iran’s energy reserves today. The US is foregoing substantial profits for its position with respect to Iran that no US capitalist or strategist believes will ever be recovered.

    Iran is also notable in that there has been a clear contest between capitalist interests and Zionist interests in the US political system and Zionism won. An AIPAC lobbyist recounts the story here:

    So we get ILSA. It passes overwhelmingly. That same year I brought some Conoco guys to AIPAC’s policy conference, where half the House and half the Senate usually attend, and they knew that night that they would never win anything against us. So they began to cooperate. A lot of the oil companies realized, ‘We’re not gonna beat these guys in Congress, so we might as well try to tailor their activities, where we at least have some room to work.’ And I was the go-between. I was the guy.

    Not only or even primarily for moral reasons or to be consistent with its professed values, the United States should abandon Zionism for commercial or capitalist reasons. The Middle East would be much different if there had never been an Israel and it would be much different if the US had abandoned Zionism and advocated a one-state egalitarian resolution to the Zionist conflict at any point in its history.

    But in those alternative Middle Easts, the United States, it is pretty clear to me, would be collecting more profits in the region rather than less. The huge commercial advantages that US firms enjoyed relative to the rest of the world immediately after World War II would be dissipating more slowly and would today remain larger rather than smaller if the US had not associated itself with Zionism.

    Strategically again, the US’ goals are more difficult to reach because of its commitment to Zionism than it would be without. The United States does have a strategic interest in ensuring that no one state gains monopoly control over all of the oil in the region. For that reason, Iran, Iraq, Kuwait, UAE and Saudi Arabia have to remain in some modicum of balance, with none completely dominant over the other.

    But there are other places where the US has an interest in some modicum of balance. For example between France, Great Britain and Germany, between Brazil and Argentina or between South Korea, China and Japan. Those other places are instructive in that the balance does not have to be of artificially weak states.

    Iran, Iraq and Saudi Arabia have to, by US strategic goals, be not substantially out of balance with each other, but also – and this is the unique result of the US commitment to Zionism – each weaker than Israel, a country with fewer than six million Jews and no significant natural resources.

    Other than the oil states, the United States maintains a string of pro-US colonial dictatorships in Egypt, Jordan and others that provide the US no strategic service at all other than protecting Israel as an enforced majority Jewish political state from those countries’ populations.

    The US can strategically tolerate popularly accountable governments in Japan, Brazil and France but cannot in Israel’s region because its commitment to Zionism poses a more difficult constraint on US strategic policy in the Middle East.

    It seems that from a US strategic point of view, the Middle East has worked out for the best. Again, the US was in an unparalleled position of world dominance after World War II and it had enough resources to conduct its strategic policy while bearing the constraints imposed by Zionism. That does not mean Zionism did not make it more difficult.

    The United States is actively fighting against the people of the Middle East in a way that it is not fighting against the people of Europe or the people of South America. For the first time that I remember, the administration of the president of the United States, while in office, has begun to admit that it does not believe it can win that fight forever.

    First, we cannot ignore the long-term population trends that result from the Israeli occupation. …

    Second, we cannot be blind to the political implications of continued conflict. …

    And then finally, we must recognize that the ever-evolving technology of war is making it harder to guarantee Israel’s security. …

    Looking again at Iran, a plausible-sounding argument can be made that the Shah was trading oil on what for technical reasons, were the best prices he could get. But there was no explaining his relations with Israel. Just as there is no explaining Mubarak’s or Tantawi’s maintenance of the blockade of Gaza or Jordan’s or Saudi Arabia’s coordination of their policy regarding the Palestinians with the US and Israel.

    Looking at the Cold War, again remembering that the US entered the Cold War with tremendous material and strategic advantages, there should have been no contest for the allegiance of the most religious region in the world for the side that believes that the public sphere should coexist with the separate religious sphere against the side of militant athiests.

    Religion should have been one of the US’ most powerful weapons for use against the USSR in the Middle East. Zionism instead turned it into a weapon the USSR could use against the US. Nasser, speaking before an audience of trade unionists, justified his relationship with the Soviet Union not in terms of the advancement of workers (and this was a trade union audience) but in terms of the Soviet Union’s offers of assistance in overcoming Zionism.

    We must know and learn a big lesson today. We must actually see that, in its hypocrisy and in its talks with the Arabs, the United States sides with Israel 100 per cent and is partial in favour of Israel. Why is Britain biased towards Israel? The West is on Israel’s side. General de Gaulle’s personality caused him to remain impartial on this question and not to toe the US or the British line; France therefore did not take sides with Israel.

    The Soviet Union’s attitude was great and splendid. It supported the Arabs and the Arab nation. It went to the extent of stating that, together with the Arabs and the Arab nation, it would resist any interference or aggression.

    Today every Arab knows foes and friends. If we do not learn who our enemies and our friends are, Israel will always be able to benefit from this behaviour. It is clear that the United States is an enemy of the Arabs because it is completely biased in favour of Israel. It is also clear that Britain is an enemy of the Arabs because she, too, is completely biased in favour of Israel. On this basis we must treat our enemies and those who side with our enemies as actual enemies. We can accord them such treatment. In fact we are not States without status. We are States of status occupying an important place in the world. Our States have thousands of years of civilization behind them -7,000 years of civilization. Indeed, we can do much; we can expose the hypocrisy – the hypocrisy of our enemies if they try to persuade us that they wish to serve our interest. The United States seeks to serve only Israel’s interests. Britain also seeks to serve only Israel’s interests.

    West ended up militarily overpowering Nasser’s Egypt by using resources from its member countries but we should not lose sight of the fact that but for Zionism, the West need have no more reason to defeat Egypt than it ever had to defeat Brazil in war.

    Zionism makes dictatorships like Iran’s Shah or those of Egypt, Saudi Arabia, Jordan, UAE, Kuwait and others necessary from a US strategic point of view while at the same time provides a clear, easy to understand and nearly universally agreed-upon popular criticism of the stooge dictatorships the US needs. This is an intrinsically unstable arrangement and US strategists have the luxury of tolerating more stable arrangements everywhere else in the world.

    The place where US strategic policy is most likely to go wrong, the place where the most strategic, diplomatic and military efforts must be exerted to prevent US strategic objectives from failing is the Middle East. Because of Zionism.

    So I still believe the best explanation for US support of Israel is that US Jews form the heart of an effective lobbying group on Israel’s behalf. Because of this lobbying, the United States pays a far higher price to achieve its capitalist and imperialist objectives than it does elsewhere in the world and that it would if it advocated a South Africa-style one state resolution to the conflict over Zionism.

    Posted by Arnold Evans at 11:11 AM 16 Comments

  • Deviant and Proud Monbiot

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    Deviant and Proud

    Posted: 05 Aug 2014 12:27 PM PDT

    Do you feel left out? Perhaps it’s because you refuse to succumb to the competition, envy and fear neoliberalism breeds
    By George Monbiot, published in the Guardian 6th August 2014

    To be at peace with a troubled world: this is not a reasonable aim. It can be achieved only through a disavowal of what surrounds you. To be at peace with yourself within a troubled world: that, by contrast, is an honourable aspiration. This column is for those who feel at odds with life. It calls on you not to be ashamed.

    I was prompted to write it by a remarkable book, just published in English, by a Belgian professor of psychoanalysis, Paul Verhaeghe(1). What About Me?: The Struggle for Identity in a Market-Based Society is one of those books that, by making connections between apparently distinct phenomena, permits sudden new insights into what is happening to us and why.

    We are social animals, Verhaeghe argues, and our identity is shaped by the norms and values we absorb from other people. Every society defines and shapes its own normality – and its own abnormality – according to dominant narratives, and seeks either to make people comply or to exclude them if they don’t.

    Today the dominant narrative is that of market fundamentalism, widely known in Europe as neoliberalism. The story it tells is that the market can resolve almost all social, economic and political problems. The less the state regulates and taxes us, the better off we will be. Public services should be privatised, public spending should be cut and business should be freed from social control. In countries such as the UK and the US, this story has shaped our norms and values for around 35 years: since Thatcher and Reagan came to power(2). It’s rapidly colonising the rest of the world.

    Verhaeghe points out that neoliberalism draws on the ancient Greek idea that our ethics are innate (and governed by a state of nature it calls the market) and on the Christian idea that humankind is inherently selfish and acquisitive. Rather than seeking to suppress these characteristics, neoliberalism celebrates them: it claims that unrestricted competition, driven by self-interest, leads to innovation and economic growth, enhancing the welfare of all.

    At the heart of this story is the notion of merit. Untrammelled competition rewards people who have talent, who work hard and who innovate. It breaks down hierarchies and creates a world of opportunity and mobility. The reality is rather different. Even at the beginning of the process, when markets are first deregulated, we do not start with equal opportunities. Some people are a long way down the track before the starting gun is fired. This is how the Russian oligarchs managed to acquire such wealth when the Soviet Union broke up. They weren’t, on the whole, the most talented, hard-working or innovative people, but those with the fewest scruples, the most thugs and the best contacts, often in the KGB.

    Even when outcomes are based on talent and hard work, they don’t stay that way for long. Once the first generation of liberated entrepreneurs has made its money, the initial meritocracy is replaced by a new elite, which insulates its children from competition by inheritance and the best education money can buy. Where market fundamentalism has been most fiercely applied – in countries like the US and UK – social mobility has greatly declined(3).

    If neoliberalism were anything other than a self-serving con, whose gurus and think tanks were financed from the beginning by some of the richest people on earth (the American tycoons Coors, Olin, Scaife, Pew and others)(4), its apostles would have demanded, as a precondition for a society based on merit, that no one should start life with the unfair advantage of inherited wealth or economically-determined education. But they never believed in their own doctrine. Enterprise, as a result, quickly gave way to rent.

    All this is ignored, and success or failure in the market economy are ascribed solely to the efforts of the individual. The rich are the new righteous, the poor are the new deviants, who have failed both economically and morally, and are now classified as social parasites.

    The market was meant to emancipate us, offering autonomy and freedom. Instead it has delivered atomisation and loneliness. The workplace has been overwhelmed by a mad, Kafka-esque infrastructure of assessments, monitoring, measuring, surveillance and audits, centrally directed and rigidly planned, whose purpose is to reward the winners and punish the losers. It destroys autonomy, enterprise, innovation and loyalty and breeds frustration, envy and fear. Through a magnificent paradox, it has led to the revival of a grand old Soviet tradition, known in Russian as tufta. It means the falsification of statistics to meet the diktats of unaccountable power.

    The same forces afflict those who can’t find work. They must now contend, alongside the other humiliations of unemployment, with a whole new level of snooping and monitoring. All this, Verhaeghe points out, is fundamental to the neoliberal model, which everywhere insists on comparison, evaluation and quantification. We find ourselves technically free but powerless. Whether in work or out of work, we must live by the same rules or perish. All the major political parties promote them, so we have no political power either. In the name of autonomy and freedom we have ended up controlled by a grinding, faceless bureaucracy.

    These shifts have been accompanied, Verhaeghe writes, by a spectacular rise in certain psychiatric conditions: self-harm, eating disorders, depression and personality disorders. Of the personality disorders, the most common are performance anxiety and social phobia; both of which reflect a fear of other people, who are perceived as both evaluators and competitors, the only roles for society that market fundamentalism admits. Depression and loneliness plague us. The infantilising diktats of the workplace destroy our self-respect. Those who end up at the bottom of the pile are assailed by guilt and shame. The self-attribution fallacy cuts both ways(5): just as we congratulate ourselves for our successes,we blame ourselves for our failures, even if we had little to do with it.

    So if you don’t fit in; if you feel at odds with the world; if your identity is troubled and frayed; if you feel lost and ashamed, it could be because you have retained the human values you were supposed to have discarded. You are a deviant. Be proud.

    www.monbiot.com

    References:

    1. Paul Verhaeghe, 2014. What About Me?: The struggle for identity in a market-based society. Scribe. Brunswick, Australia and London.

    2. http://www.theguardian.com/commentisfree/2010/oct/18/conservative-financial-crisis-opportunity

    3. http://www.theguardian.com/news/datablog/2012/may/22/social-mobility-data-charts

    4. http://www.theguardian.com/commentisfree/2007/aug/28/comment.businesscomment

    5. http://www.theguardian.com/commentisfree/2011/nov/07/one-per-cent-wealth-destroyers