Wednesday 26 August 2020

Collinsville coal power plant will never proceed as renewables are cheaper, Liberal MPs say.

 Extract from The Guardian

Energy

Trent Zimmerman, Dave Sharma and Jason Falinski say feasibility study into Queensland plant should proceed but it doesn’t stack up economicallyLiberal MP Trent Zimmerman

Liberal MP Trent Zimmerman says a feasibility study into the Collinsville project should go head ‘because it was the subject of an election commitment’ but there are cheaper and more environmentally friendly alternatives for energy generation.

Last modified on Wed 26 Aug 2020 04.18 AEST

Liberals who have been outspoken in their opposition to taxpayer funding of new coal projects predict a new power plant in north Queensland being championed by the Nationals will never proceed because there are cheaper and more environmentally friendly alternatives for energy generation.

Ahead of a vote on a disallowance motion during the current parliamentary sitting fortnight, Trent Zimmerman told Guardian Australia his view was the government should not be investing in coal-fired power stations.

But he said a feasibility study into the Collinsville project should proceed “because it was the subject of an election commitment to residents in far north Queensland”.

Zimmerman said any “fair” feasibility study would demonstrate there were better alternatives than a new coal plant in north Queensland. That view was echoed by Liberals Dave Sharma and Jason Falinski.

“The Collinsville feasibility study into a high-efficiency low-emissions plant was an election commitment and we should honour it,” Sharma said.

“But my own view is that new coal-fired power generation, even of the HELE variety, does not stack up economically or environmentally,” he said. “The feasibility study will examine these questions and it does not commit the government beyond that.”

Sharma said Australia’s future was “firmed renewable energy”, not new coal plants, “and this is where the government is investing through initiatives like the grid reliability fund, Snowy 2.0 and the Marinus Link”.

Falinski said the feasibility study should proceed “because it was an election commitment, but it will not lead to a new coal-fired power station being built because there are more economically efficient and environmentally cleaner options for power generation in Australia”.

Labor and the Greens will vote in the Senate to disallow a $3.3m grant to Shine Energy to conduct the feasibility study into a new coal-fired power station in north Queensland. Guardian Australia revealed this grant was awarded on an ad hoc basis, rather than via a competitive process, despite the project having been rejected by a separate electricity underwriting program.

Rex Patrick told Guardian Australia he was “likely to support” the disallowance because he believes electricity generation should “move away from fossil fuels” through the use of gas as a transitional fuel and “towards renewable energy in an affordable and sustainable manner”. His position is not final because he hasn’t yet consulted the government.

Stirling Griff told Guardian Australia he supports the disallowance. Jacqui Lambie is yet to decide her position.

But despite crossbench support to scuttle the study, the Coalition and Pauline Hanson’s One Nation together control 38 Senate votes – enough to block the disallowance motion, barring unexpected absences or a senator crossing the floor.

Hanson and Malcolm Roberts are both outspoken advocates of coal power, and moved a motion as recently as February in support of the Collinsville plant.

Roberts told Guardian Australia he “supports [high-efficiency low-emission] coal, reliable and affordable electricity and the building of the Collinsville coal power station”.

Roberts said he is “inclined to oppose any disallowance that attempts to stop the feasibility study going ahead”.

Shine was invited to apply for the grant two days after the government announced it would be the recipient on 8 February. The Department of Industry, Science, Energy and Resources has insisted the process of drawing up “specific grant guidelines” for a one-off grant is “normal practice” but Labor has referred the grant to the auditor general.

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