Matt Warren lets a couple slip past

Keeping wicket takes a keen eye and cool nerves.

wicket keeper

Read on as Matthew Warren, CEO of the Energy Supply Association of Australia fails on both counts.  In having a crack at Bruce Dinham – the former ETSA boss we reported on in our last post – Matt takes his eye off the ball and lets a couple slip past.

Energy group hits back at pricing claims
The Advertiser
Valerina Changarathil
10 July 2013

ENERGY suppliers and retailers have hit back at claims they are charging artificially high prices in an overly bureaucratic market.

The claims by former ETSA boss Bruce Dinham were “a mid-20 century view” of the electricity market, they said.

“The national electricity market has delivered lower wholesale prices over recent years, so it’s bizarre how Bruce Dinham would suggest this is the cause of higher power bills,” Energy Supply Association of Australia chief executive Matthew Warren said.

“Energy markets have changed from Bruce’s time in the industry.  It’s no longer a utility service.

“It’s a consumer market. Consumers want more say in where their power comes from and how it is used.”

Mr Warren said prices were being driven up by carbon pricing, feed-in tariffs, renewables generation and infrastructure investment.

In an opinion column in The Advertiser on Wednesday, Mr Dinham said the national market was “an empire builders’ paradise”, designed to maximise profits for private owners. He said “retailers are essentially parasitic and there is no real need for them”.

A flood of readers of Advertiser.com.au expressed frustration with higher prices and blamed privatisation.

Andrew Shipway, of Barossa Valley, wrote: “Confirmation of what the general public already knew (profit taking) and yet our state and federal governments lack the will to do anything about it. But then why would they? Every increase in gas and electricity prices sees an increase in GST revenue. There is no incentive for government to stop this rip-off. The whole system is seriously flawed. Privatisation hasn’t worked!”

Another said: “It’s time for an inquiry, this farce affects every single household therefore we all need answers NOW. Electricity bills are crushing us. Which politicians will have the courage to take this issue on?”

In December, Energy Minister Tom Koutsantonis deregulated the market in a deal with AGL to end Essential Services Commission of SA’s role to set prices. AGL agreed to a 9 per cent cut in electricity prices for the quarter of SA households on “standing contracts” – the default arrangement for those not signed to market-based contracts.

An Essential Services Commission report in June showed a record 28,857 customers were struggling to pay their bills and were using instalment plans at the end of last year, compared with 23,414 at June 30, 2012.
The Advertiser

In his effort to deflect criticism of his team about the greatest rort in Australian history, Matthew Warren lets a couple of rising deliveries slip past.

Yes – Matthew is on the money about off-peak wholesale prices going South – that’s a function of increasing generating capacity – at the same time rising retail power costs are killing demand from businesses that once used buckets of the stuff – like Ford.  If you send 75,000 manufacturing jobs out of Australia – it’s no surprise that we’re using less sparks.

But power punters couldn’t give a hoot about off-peak wholesale prices when their electricity bills are the highest in the World – SA’s are already – and the rest of the Country is fast catching up.

It’s retail prices that matter to businesses and families – and they’re a function of retailers seeking to recoup the big spikes in the dispatch price – which was the very point of Bruce Dinham’s comments.

Wind weasels can – of course – flog power to the grid at negative prices and still make out like pigs at an all day smorgasbord.

STT has explained how these wind swindlers can dump power into the grid for nothing – or less – and still make a handsome buck by collecting a REC worth $35-40 for each MW/h supplied and cashing in on their power purchase agreements – where the price to the retailer is guaranteed at between $90-110 MW/h.  And that lot all gets passed on to retail customers.

In a little slip that the Greentard bloggers – urged on by their Overlords struggling Danish turbine outfit Vestas – will no doubt seek to punish him for –  Matt made it very clear that power “prices were being driven up by carbon pricing, feed-in tariffs, renewables generation and infrastructure investment.”

THERE – he said it – not us.  We’re being sent into power price poverty by renewables  – which means unreliable, intermittent and insanely costly WIND POWER and the duplicated cost of “infrastructure investment” needed to support it.

In their next article (covered in our next post) The Advertiser calls for an inquiry into the greatest economic fraud of all time.  STT says it is never too late to correct a monumental energy policy fiasco.  The pollies who made the mess are like the alcoholic in denial – the hardest thing is admitting to yourself that you’ve got a problem of your own making.  STT says there’s no time like the present to sober up.

drunken_ben-r_jpg_600x345_crop-smart_upscale_q85

What are you looking at Bud? I ain’t got a problem – you’re my problem, Pal.

About stopthesethings

We are a group of citizens concerned about the rapid spread of industrial wind power generation installations across Australia.

Comments

  1. Matthew Warren: “It’s a consumer market. Consumers want more say in where their power comes from and how it is used.”

    And consumers also wish to have unbiased information based on transparent objective science and ethical community and management processes on which to make informed decisions.

    Unfortunately that is where the wind industry fails consumers and their shareholders. The industry is neither objective, unbiased, transparent or ethical. It relies on misinformation and collusion of government.

    It is a Rort in Green clothing. It is a national and international scandal.

    Bring on the Royal Commission, nothing less will do to root out this corruption.

  2. Jackie Rovensky says:

    You’re right, it is hard for them to admit they were/are wrong.

    Unfortunately it seems recovery from the renewables drug is harder than anyone knew. The Greens are continuing to struggle with the truth. We have now seen what damage they can do ‘in power’ after being handed some by a Government that’s spent the last years struggling with itself and forgetting to keep a watchful eye on what is happening to the country they vowed to look after, with power prices pricing businesses out of the country and power bills sending everyday Australians into more poverty – what happened to ‘no child shall live in poverty’?

    Yes the states hold the key, but the Federal Government holds the purse strings of the handouts that they give to companies who are not required to provide proof they are meeting their obligations.

    States and the Feds also need to ensure these companies not only meet their obligations but do not damage people’s lives, livelihoods and the environment while receiving taxpayer-funded handouts.

Trackbacks

  1. […] to do with a carbon tax, nothing to do with “poles and wires” and everything to do with the inbuilt cost of wind power.  Spiralling costs – the result of the mandated RET and PPAs (when the wind is blowing) and […]

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