Teal superidiot: Households must covert from gas to coal

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Note to self. Go short Zoe Daniel. She wrote in the AFR yesterday:

Australia’s clean energy transition is as much of a challenge for households as it is for the nation. And nowhere more so than in Victoria, which has been more dependent on energy derived from gas than any other state or territory.

And you guessed where she got that rubbish from:

At a recent politics in the pub event in my electorate of Goldstein, Tony Wood, director of the energy program at the Grattan Institute didn’t pull his punches when asked about the challenges we face with our transition to a net zero economy.

“We are undertaking a very interesting journey; some would call it the next industrial revolution. This transition is going to touch every part of our economy. If you don’t think that’s true, you haven’t thought about it enough,” Mr Wood said.

Here is Tony Wood’s own chart showing how stupid this argument is:

Every Victorian household could spend the small fortune that Daniel wants to convert to electricity and make virtually no difference to carbon output.

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Not least because the gas cartel ensures insufficient gas in the power grid means the VIC government is secretly subsidising brown coal power to stay open about a decade longer than otherwise.

That is, households will be converting their energy from gas to coal, making carbon output worse.

These are simple facts. Before we even consider that Tony Wood and the Grattan Institute are deeply compromised by east coast gas cartel links.

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It was Grattan who recommended no domestic gas reservation in 2013 as QLD export facilities were built. This led directly to today’s domestic gas shortage, which is keeping coal in clover with public subsidies.

It was Grattan who concocted this incredible distraction about households when it is industry demand that consumes 95% of the gas, including the gas industry itself, which uses most of it to freeze other gas to send to China.

Tony Wood used to work for the gas cartel’s Origin Energy, which sponsors Grattan.

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Australian energy is caught in a post-truth maelstrom that is comedy and tragedy both:

About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.