❓ Hon Rod Caddies questions the Minister for Energy and Decarbonisation regarding rising reserve capacity prices despite the claimed cost-effectiveness of renewables and storage, and the financial burden on taxpayers for minimal global emissions reduction.

Electricity generation—Reserve capacity price51.Hon Rod Caddiesto theLeader of the House representing the Minister for Energy and Decarbonisation:I refer to the recent change to the benchmark reserve capacity price for electricity generators.(1) If batteries plus renewables are cheaper than coal-fired power as part of a diverse energy mix, can the minister explain why reserve capacity prices are expected to double?(2) Noting the minister claims that renewables plus gas plus storage is the cheapest option, can the minister explain what other options she is comparing this to?(3) Can the minister confirm that taxpayers will end up absorbing the cost of the energy transition, which will achieve a possible 0.08% reduction in global emissions?The President:That is also seeking a fair amount of information.

Hon Stephen Dawson replied:Thanks, President. I thank the honourable member for some notice of the question.(1)–(3) A renewable energy system backed by storage and gas represents the lowest cost energy mix compared to the cost of alternative capacity mixes, including coal and gas. Reserve capacity price changes reflect the changing balance of costs with more low-cost renewables entering the energy system. Electricity generation—Reserve capacity price