Illustration by Zeg | Click to enlarge
Wonderful thing, this carbon dioxide derivatives scheme scam.
Even more wonder full … the Treasury department’s modelling of it.
Bend over and grab your ankles Australia. Here comes your Clean Energy Future power bill.
From the Australian:
The carbon tax will push up electricity prices by about double the 10 per cent nominated in Treasury modelling for some of the nation’s biggest industrial power users.
The biggest electricity users will face power price rises of about 20 per cent, sparking warnings that it will severely damage elements of the nation’s manufacturing sector…
National Generators Forum chairman Trevor St Baker said industrial power users would face higher proportionate electricity price rises compared with residential power users. This is because many big power users have contracts at lower rates than those paid by residential users.
Some of the biggest power users pay about 10c a kilowatt hour, while many others pay from 12c to 17c/kWh. Residential customers pay about 21c/kWh.
Treasury argues that power companies will pass through about 85 per cent of the carbon price, equating to a price rise of 1.95c/kWh for all users.
Oh, well that’s alright then. Just don’t mention that the Australian Energy Market Commission has reported that residential power users can expect a 37% increase in their bills (more below).
This would equate to a 19.5 per cent electricity rise for a big user with a contract price of 10c/kWh and about 13 per cent for a user with a contract of about 15c/kWh.
“The reality is that the little Victorian factories and factories all over the country are going to be affected,” Mr St Baker said. “There needs to be a circuit breaker. These are people who are employing people in the most marginal import-competing jobs. And they are all going to go overseas.”
…
Queensland Nationals senator Ron Boswell said the carbon tax would impose another cost on manufacturers on top of the high dollar. He said many businesses would be caught unawares by the increase in electricity prices when the carbon price takes effect from July 1 next year.
“The cost is bigger when you add the cost of renewable energy,” Senator Boswell said. “Renewable energy could take the increased costs up to 30 per cent.”
There goes the (manufacturing) neighbourhood.
Meanwhile, now that the carbon “tax” legislation has been rammed home by Green-Labor and the “Independents”, the lamestream media has gone all quiet on the true consequences.
As Keith Orchison at Business Spectator notes (emphasis added):
Given the supposedly “white hot” community views on electricity prices – which we were assured back in March was the voter mindset as NSW went to the polls and which we may see play a role in the upcoming Queensland election – there was surprisingly little mainstream media follow-through in December on an important report delivered to the Council of Australian Governments’ energy ministers committee.
The critical point in the report prepared by the AEMC [Australian Energy Market Commission] is that we can expect a rise of 37 per cent in power bills across the country between 2010-11 and 2013-14. In other words, a householder paying $1,500 a year for electricity today can expect to be forking out about $2,050 in 2013-14.
On the AEMC’s estimates, the two states with the most consumers – NSW and Queensland, with 4.5 million residential account holders between them, half the national total – will be the ones to see the highest prices rises: 33 per cent south of the Tweed and 32.2 per cent north of the river.
The AEMC breakdown of costs sees networks (transmission and distribution) contributing half of the increases across the country with wholesale energy prices (including the impact of a carbon charge) adding 40 per cent.
No Keith.
The lack of mainstream media follow through is not surprising at all.
They are the sand that the mainstream masses have their heads buried in.
Their job is done.
Barnaby Is Right 
Excuse me Barnaby, but if you are going to rabbit on about the carbon price impact, then please get the facts correct. Here are a few things in the Business Spectator link that you forgot (hopefully unintentionally) to mention:
“The solar industry hopped up and down when the projections came out, but got little media traction for the point it desperately wants to make: the rooftop schemes add under five per cent to costs”.
“In the same vein, the large-scale RET (essentially the wind farms) will contribute just 3.8 per cent of the higher costs, but this won’t stop the energy-intensive lobby from demanding that it should be abandoned as the carbon price is introduced..
Add together the federal and state carbon abatement schemes (including the carbon tax) and the pursuit of a greener energy sector will contribute about 14 per cent of the power price rises between 2010-11 and 2013-14.”
Now that’s only 14% of a total increase of 37%. So only $77 of the $550 increase is attributable to your so-called:
“Here Comes Your 37% Bigger Clean Energy Future Power Bill”.
Far from your best Barnaby: one could validity ascribe this as “unfounded, false and deliberately misleading”
Happy New Year
It seems you have failed to observe a few basic facts.
1. This blog is NOT Barnaby Joyce’s blog.
2. Nowhere in this post have I said or implied that power bill increases are solely due to the carbon tax / Clean Energy Future legislation, contrary to your false inference. Indeed …
3. The final paragraph quoted quite clearly informs the reader what is the projected breakdown of contributing factors in the projected price increases:
Oh no, the Silly filly has found you and will now play her silly tricks here , too
She must spend all day trying to say something worthwhile at conservative blogs, so let’s hope the New Year endows her with some common sense and comprehension skills.
Tony Windsor sent a letter to the local press, applauding the new energy bill and stated
that those apposed to it are sending out misinformation about it and carbon tax. I have written to him to ask him what misinformation? In my mind, anyone that sends a carte blanch letter without spelling out what this misinformation is, can’t be challenged apparently. It’s the same as sea temps. I’ve bathed in several places around the world,
Bermuda, Southern England (Bournemouth) Cyprus and Australia of course. I checked on the sea temps, and actually they are no different then when I swam there. In fact if anything they have gone down slightly. Don’t these alarmists think we don’t check up there data? Bermuda is a crazy 82 F – 85F in their summer months. It’s like bathing in tepid water or a tropical aquarium. Bournemouth is one of the warmest to swim in, but its
about 62 F that’s cold, now when I went there they put notices up to say how long you should stay in the water. 1940s-50s. We always got hypothermia after about 10 – 15 minutes. And now they give daily warnings, when to wear a wet suit. Tropical seas are warmer obviously. Although I reckon Sydney has never got warmer or colder for over 40
years. So without data quoted how can we check up on them.
Electricity prices will go up, and subsidies for solar and wind turbines are being cut overseas as they have proven too expensive to run.