A new report from Nexa Advisory has revealed the slow rollout of transmission lines means Australia will not only fail to meet its climate targets but pose a threat to the reliability if its power systems.
Nationals Leader David Littleproud says the transmission lines required for Labor’s net-zero plan is “destroying” the environment.
Mr Littleproud told Sky News Australia that it is “tearing up prime agricultural land”.
“And your food security and driving up your food prices.”
As the Labor government looks to double its renewable energy output by 2030, delays in the enormous roll out of transmission lines could spell trouble for Australia’s transition to clean energy.
In its report, titled We Plan and Don’t Build, Nexa revealed all but one transmission line development has suffered delays with set backs spanning from one to five years.
The average delay across the country is about three years, while Victoria has suffered the worst setbacks, running four years behind schedule.
The delays in transmission line rollouts has put Australia behind its climate targets and could pose a risk to the reliability of the nation’s power. Picture: Istock
South Australia is the best performing state, suffering just one-year setbacks, while NSW and Queensland are delayed by two years.
A key issue with the delays is delivering new transmission interconnectors needed to connect the renewable generation and the storage capacity required to replace the outgoing coal-fire power stations.
The report said the key roadblocks to keeping the projects on schedule were excessive red tape, lack of national planning and coordination and community opposition.
Nexa Advisory CEO and former AGL Energy executive Stephanie Bashir warned the government needed to tackle these roadblocks if it wanted to foster a smooth transition to renewable energy.
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“We are not making progress in building transmission,” she said.
“There are still significant roadblocks which need to be addressed by governments so that we attract the investment needed, and achieve the unprecedented amount of transmission build.”
While the report spotlighted roadblocks hindering the rollout of renewable energy, it also outlined three recommendations to tackle these obstructions.
Nexa called on the Australian Energy Market Operator (AEMO) and federal and state governments to identify the funding gaps to build transparency and boost confidence in the delivery of renewables.
Sky News Political Contributor Chris Uhlmann says both Labor and the Coalition’s energy plans are “more expensive than they might think”.
Mr Uhlmann said Australia will need another 10,000 wind turbines in Queensland alone if the country wants to be a “green energy superpower”.
“These things will stretch from sea to shining sea and have to be connected by thousands of kilometres … of transmission lines,” Mr Uhlmann told Sky News Australia.
“The issue that arises for the government is how you get social licence for that.”
The report also made calls for better national coordination with state schemes and targets and for governments to improve sentiment about transmission infrastructure, particularly in communities where the projects are built.
Nexa’s report came just weeks after AEMO warned of heightened blackout risks this summer in an update to the 10-year outlook it released last year.
The increased risk was due in part to a year-long delay to the delivery of a Project EnergyConnect power cable between NSW and South Australia, which is two years behind schedule, and the upcoming retirement of coal-powered generators.
To minimise the risk of outages, AEMO will tender for emergency reserves to mitigate the impact these possible outages will have on Aussies.
Project EnergyConnect has been delayed by about two years, putting the East Coast of Australia at heightened risk of blackout this summer. Picture: Supplied
Energy expert and the Grattan Institute’s Director of Energy Program Tony Wood said the operator’s warning should be seen as a motivator rather than a warning.
“This is a statement of opportunity, not a statement of catastrophe,” Mr Wood told Sky News’ First Edition.
Meanwhile, Nationals Senator Matt Canavan lashed out at Labor’s “failed” renewable energy “experiment” after AEMO’s revelation.
“The Labor Party said… if they were able to invest more in renewable energy in wind and solar your power bills would fall by $275,” Mr Canavan said.
“Now not only is our power more expensive, we are quickly learning that our electricity systems is much less reliable.”