Submission on the treatment of new waste coal mine gas power generation in the RET

by Richard Denniss

Energy market reform and greenhouse policy are complex areas of public policy. It is unlikely that those who designed the current RET/CPRS set out to encourage coal mines to burn their waste methane rather than use it to generate electricity, but that is precisely what is being proposed. This problem can be simply fixed by ensuring that existing and newly built Waste Coal Mine Gas (WCMG) generators are eligible for RECS until 2030. The small size of the WCMG generation sector is such that any increase in electricity prices will be trivial in comparison to the other trends and policies currently influencing the residential electricity price.

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