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renewables stuck for a while , page-2

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    Crikey has the same theme of incumbent resistance to the entry of renewables: http://www.crikey.com.au/2011/11/17/suntech-calls-an-australian-solar-boom/

    "Such a scenario would appear to be a significant threat to the energy incumbents, particularly in the coal and gas industries, because it would reduce opportunities for new deployment and eat into their earnings because of the impact of solar and other short run marginal cost technologies in the so-called merit order effect (more on that tomorrow). It would also come as a shock to the government, which forecasts just 5% solar by 2050 in scenarios painted in its Clean Energy Future package. The long-awaited energy white paper, which will be delivered in the next month or so and will become the blueprint of the country’s energy planning over the next decade, will also be unlikely to have such a bullish forecast, seeing that none of the 23-person panel advising the government is a specialist in solar technology.

    Indeed, Jarnason says the main impediments to the industry are not cost but regulatory barriers, with politicians seemingly unaware of the technology’s potential. “Unfortunately, politicians view solar PV, and probably to an extent all renewable energy, as a political exercise than an energy generation exercise,” he said. And the small numbers of incumbent generators, retailers and network operators are highly influential and also keen to maintain regulatory barriers. “They’d rather not have to change,” Jarnason said. “Solar PV is a form of distributed energy, so (the utilities) need to rethink how to generate supply to get you and I to pay for their energy.” This echoes the thoughts from the CEO of US utility NRG Energy."

 
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