Towards Western Australia’s Clean Energy Future
Western Australia’s clean energy assets
Clean energy technology is commercially available in WA right now and can significantly cut
Australia’s contribution to climate change by reducing our reliance on coal-fired power stations.
WA has abundant wind and biomass (waste organic matter that stores chemical energy) assets and a
large potential to reduce the wastage of energy. This energy mix can be implemented at no extra cost
to the WA taxpayer.
Towards Western Australia’s Clean Energy Future offers a practical program that can be
implemented immediately at costs significantly lower than proposals currently being considered.
The Western Australian report follows a national study by a group of Australia’s leading energy
experts entitled A Clean Energy Future for Australia.
The Clean Energy Future project clearly outlines how Australia can achieve a 50 per cent reduction in
greenhouse gas emissions by 2040 (compared with 2001 levels) through a mix of renewable energy
technologies and energy efficiency practices.
Western Australia and climate change
Climate change is already being felt in Western Australia, with changing rainfall patterns, prolonged
drought and ongoing water restrictions. The need to reduce the greenhouse gas emissions that are
driving these changes is urgent.
Coal-fired power stations are the single largest source of greenhouse gas pollution in Australia and
around the globe.
Despite the consequences, 500 megawatts of new coal-fired power plants have been proposed for
WA.
If the proposed coal-fired power stations are built in WA, the State’s greenhouse gas emissions will
increase by about three million tonnes per year, which is the equivalent of putting 750,000 new cars
on the road for 40 years.
Critical energy choices for Western Australia
Historically WA has been heavily dependent on highly-polluting coal-fired power stations to provide
its electricity demands. But there are many other options available in WA that are far less damaging to
the climate.
Renewable energy sources such as wind and biomass are abundant in WA and have little or no
associated pollution.
Natural gas is becoming increasingly attractive for producing energy. While gas is still a fossil fuel, it
emits 50 per cent less greenhouse gas pollution during combustion than coal. As such, it is a good
interim alternative to coal.
Another way to address greenhouse gas pollution and the State’s increasing energy demand is to use
smarter, energy efficient appliances.
In considering its energy options, it is crucial that the WA Government properly understands the
environmental effects and risks associated with the choices for generating electricity.
New sustainable energy for Western Australia
Towards Western Australia’s Clean Energy Future outlines two plans to safely and effectively meet
the State’s electricity requirements while reducing its contribution to climate change.
Energy sent out or saved (GWH/y)
In both plans, the wide application of energy efficient appliances and systems is used to dramatically
reduce the demand for electricity. This has the added bonus of saving the consumers’ money. These
savings are then invested in much cleaner electricity supply.
4000
3500
3000
Efficiency
2500
Gas
2000
Biomass
1500
Wind
Coal
1000
500
0
Coal Only
CEF Plan 1
CEF Plan 2
Both plans outline how abundant
renewable energy sources that
currently go untapped can be
harnessed to generate power. These
include wind and biomass energy
and, in one of the plans, a large
contribution from natural gas.
The graph outlines how Plan 1 and
Plan 2 of the WA Clean Energy
Future report propose to replace 500
megawatts of new coal-fired energy.
Figure 1: Diagram comparing the electrical energy generated per year from the CEF energy options to
that generated by 500MW of new coal plants.
CO2 emissions (million tonnes per year)
Coal-fired power stations are expensive for Western Australia
Greenhouse gas pollution around the
world is beginning to attract a cost
penalty. In the European emissions
trading scheme the price of CO2
emissions has varied up to $50 per
tonne. The WA State Government is
taking part in negotiations to
introduce an emissions trading
system in Australia.
3.5
3
2.5
2
1.5
1
0.5
0
Coal
CEF Plan 1
CEF Plan 2
Figure 2: Comparison of greenhouse gas emissions between options.
When this happens, new coal-fired power stations will have to pay for their pollution and will become
much more expensive to run. At an average CO2 price of $40 per tonne, over its 40 year lifetime, a
new coal-fired power station could cost an additional $5 billion. It is important that the risk of this
additional cost is not passed onto electricity consumers or taxpayers.
A clean energy future comes at no extra cost
If properly set up, the plans outlined in the WA clean energy report will not cost taxpayers a cent.
This is possible for two reasons:
2. Money is saved through
energy efficiency technologies
and systems.
With these two factors added together,
the net cost of each of the WA clean
energy plans is below that of the coal
option.
Annualised Costs ($ million)
high
1. Renewable energy is getting
cheaper and is now close to
the cost of fossil fuels;
250
200
150
191
157
127
100
74
50
0
Coal
CEF Plan 1
CEF Plan 2
Figure 3: The CEF annualized cost comparison, based on capital and operation.
A clean energy future is good for jobs in Western Australia
The plans contained in the WA clean energy report have several positive outcomes for employment in
the State:
Employment Creation (job years per terawatt
hour)
1. They have no impact on current jobs in the coal sector, since they do not contain proposals to
replace existing power stations in WA. In fact, jobs in the coal sector are becoming scarcer
due to automation.
2. The renewable energy power
stations proposed in the WA
clean energy plan will create
more jobs than the equivalent
coal-fired power stations.
Energy efficiency measures
will ensure that some of these
jobs go to a wider market,
such as plumbers who fit solar
hot water systems, or
electricians who update
appliances for people and
businesses.
250
200
150
100
50
0
coal
Wind
Biomass
Figure 4: Comparison of employment creation from different energy technologies.
3. The report proposes that the manufacturing jobs created are focused in the areas of the coal sector
that are currently losing jobs. This makes good use of energy-related skills and provides a way of
clustering long-term, high-growth global industries in WA.
How the clean energy plan can be delivered in WA
The WA clean energy plan recommends the following top five priority policies and strategies for the
State as it takes the path to a clean energy future:
1. Set a greenhouse gas emission reduction target for the local (i.e. non-export) economy which
sets the state on course for emission cuts of 50% by 2040.
2. Implement a State-based Mandatory Renewable Energy Target that would expand WA’s
renewable energy contribution to 20 per cent of electricity generation by 2010;
3. Use emission caps and tradeable emission permits or a carbon levy to send a price signal to
the market;
4. Place stricter greenhouse intensity constraints on base-load power stations that would exclude
power stations emitting more than 500 kg of CO2 per megawatt-hour of electricity sent out;
5. Mandate key energy efficiency measures, including energy performance standards for new
and existing buildings, and remove barriers to energy efficiency;
6. Give incentives for local sustainable energy jobs in appropriate regions.
Conclusion
Towards Western Australia’s Clean Energy Future shows that at no extra cost to the WA taxpayer,
sustainable energy can be used to meet the demands of the State in a way that is good for consumers,
good for employment and delivers crucial environmental and economic returns.
Towards Western Australia’s Clean Energy Future also demonstrates that the plans are easy to put
into action with simple, tried and tested policies that are able to be implemented by the WA
Government immediately.
Towards Western Australia’s Clean Energy Future and A Clean Energy Future for Australia are
available online at wwf.org.au.
The WA Clean Energy Future Report is an initiative of:
Created in collaboration with: