The Great Barrier Reef Foundation (the Foundation) does not have a policy to guidethe investment of its undisbursed funding. As part of the $443.3 million GrantAgreement with the Australian Government, the Foundation must design an “investment policy” – however the Grant Agreement is silent on whether the policyshould exclude investing in fossil fuel industries that directly contribute to climatechange.The Foundation has already received all six years of grant funding, which is currently sitting in term deposits with six banks (five of which have connections to theFoundation’s Chairman’s Panel).
Climate & Energy Program
The Great Barrier Reef Foundation’s unprecedented $443.3 million dollar Government grant is being invested with banks that fund the expansion of the fossil fuel industry, contrary to the Foundation’s stated goals.
A new report released today from The Australia Institute’s Climate & Energy program and Future Super shows the Foundation’s grant, which was paid upfront and in full, is split between six banks. A majority of the grant is being invested with Australia’s Big Four Banks (Commonwealth, NAB, ANZ and Westpac), who have loaned $70 billion to fossil fuel projects since 2008.
The Australia Institute commissioned ReachTEL to poll the federal seat of Wentworth (886 respondents) on the evening of 27th August.
by Ben Oquist, Executive Director of The Australia Institute.
Scott Morrison is set to make the same mistake as the Business Council of Australia on energy and climate policy. Equating emission reductions with higher prices gets the politics and economics wrong.
The Turnbull Government has argued that the passage of its National Energy Guarantee (NEG) will deliver significant price reductions to consumers, with much of the claimed price benefit coming from the ‘greater certainty’ it claims investors will have were the NEG to be agreed upon by state governments and the federal parliament.
However, at the same time that the Turnbull Government is suggesting that the ‘certainty’ associated with the NEG will deliver price benefits to households, the government is creating uncertainty by talking about new subsidies for coal fired power stations.
The Australia Institute has released new analysis by Chief Economist Dr. Richard Denniss showing that the purported $150 price reduction likely to flow from the NEG will be rendered meaningless if the government proceeds with new policies to adjust future electricity supply via the so-called ‘NEG plus’.
“The NEG modelling concludes power prices will be lower largely because 'certainty' would see interest rates 3% lower for electricity sector investors,” said Dr. Richard Denniss, chief economist at The Australia Institute.
The Australia Institute’s Climate & Energy Program has released the latest National Energy Emissions Audit electricity update (The Audit*) for July 2018.
The Audit shows that current NEG modelling will effectively create an investment cliff for the otherwise booming renewables sector, with no investment in further renewable energy generation after 2021.
Key findings show:
Welcome to the August 2018 issue of the National Energy Emissions Audit Electricity Update, with data updated to the end of July 2018. This Electricity Update is the companion publication to the quarterly National Energy Emissions Audit Report, the next issue which will be in September 2018. The Electricity Update presents data on electricity demand, electricity supply, and electricity generation emissions in the National Electricity Market (NEM).
AEMO’s modelling results show that, with efficient planning of and investment in the most efficient mix of network services, it will be quite possible to ensure that the electricity supply system of the NEM remains secure and reliable, with much larger emission reductions, and much higher shares of renewable generation in the supply mix, than envisaged in the design of the NEG, and do so at lower total cost.
The Australia Institute Climate & Energy Program has released a special update of their National Energy Emissions Audit, assessing the value and effectiveness of the current NEG using figures from the Australian Energy Market Operator (AEMO).
The Audit update shows multiple scenarios in which much larger emission reductions and levels of renewable energy generation can be achieved in the National Electricity Market (NEM) than envisaged in the current NEG, and at a lower cost.