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THE HIDDEN COST OF CLIMATE POLICIES AND RENEWABLES

August 19, 2020

Australia’s misguided climate policies have resulted in excessively high electricity prices that are undermining the country’s economic resilience and competitiveness and cutting our standards of living.

From the study:

Australia’s excessively high electricity prices are undermining our economic resilience and competitiveness and cutting our standards of living. Since 2002 Australian governments, in a misguided quest to reduce carbon dioxide, have introduced climate policies at the expense of cheap coal and gas power. Our electricity prices, once the lowest in the world, have become one of the most expensive.

This report, commissioned by Senator Malcolm Roberts, undertakes a comprehensive analysis of climate policies and renewable energy subsidies. Australians will be shocked to know the true financial burden of these policies on households and industry. These hidden costs drive up all costs of living, including electricity, food, water and transport. In summary, the report states the financial impact of climate policies and renewable subsidies: ·

  • costs households at least $13 billion annually, or around $1300 per household; ·
  • accounts for 39% of household electricity bills, not 6.5% the Government typically quotes;
  • causes a net loss of jobs in the economy; with every green subsidised job created, 2.2 jobs are lost.
Author
Alan Moran, Ph.D. is the past director (2014) of the Deregulation Unit at the Institute of Public Affairs and runs the Regulation Economics website.
media@heartland.org @alan_john_moran

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