Energy Minister Lily D’Ambrosio is refusing to budge on her commitment to keep coal and gas out of any short-term energy fix.
, potentially forcing states led by Victoria to temper their opposition to an interim role for coal and gas.But Ms D’Ambrosio was standing her ground on Friday, claiming the absence of transmission to Victoria from the $5.1 billion pumped hydro scheme in the Snowy Mountains region of NSW until after 2030 meant the delay would not change the state’s short-term energy equation.
“Snowy Hydro delaying their project has no impact on Victoria’s plans – especially given [the Australian Energy Market Operator] isn’t expecting KerangLink [between NSW and Victoria] to be built for nine years,” Ms D’Ambrosio toldEnergy bosses and regulators warned this week that market reforms agreed by the state and federal energy leaders will need to accept natural gas and potentially coal to “firm” weather-dependent renewables and avoid blackouts.
Grattan Institute energy policy director Tony Wood agreed he had never heard of a capacity mechanism that did not include coal and gas, saying “you can’t firm up renewables with renewables”. Lily D’Ambrosio, Victorian minister fore energy, environment and climate change is standing her ground on the capacity mechanism excluding coal and gas.But Ms D’Ambrosio explicitly ruled out their inclusion on Thursday and was sticking to the position on Friday, despite the revelations about Snowy 2.0.
“We have always been clear that a capacity market operating in Victoria would make payments to zero emissions technologies and not fossil fuels,” she told
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