Making coal-fired power generators pay the full cost of the environmental damage they create would be one way of kicking off their closure, the Colong Foundation for Wilderness told a Federal Senate inquiry today [February 22].
Foundation director Keith Muir said requiring power generators to pay all the costs of pollution and environmental damage would “reduce what are effectively subsidies for coal-fired power until other policy measures are implemented”.
“It will remove the unfair cost advantage of coal-fired power, and help society understand the choices needed if it wants nature, food production, clean air and water to be protected by power generators.”
The inquiry is looking into the case for planned closure of coal-fired power stations, as well as ways to encourage the retirement of coal-fired power stations from the national electricity market and a just transition for affected workers and communities.
Mr Muir said the true cost of coal-fired power generation went beyond carbon pollution and climate change, adding if the companies involved were required to pay the hundreds of millions of dollars needed to clean up their pollution and prevent environmental degradation, coal would immediately become uneconomic as a power source.
Mr Muir said the Springvale mine, which supplies coal to the Mount Piper Power Station near Lithgow is a significant source of pollution in Sydney’s drinking water catchment and responsible for the destruction of nationally endangered ecosystems on the Newnes plateau.
“The impact of these facilities on the natural environment is a cost hidden from the wider community and not reflected in the electricity price.
“We are ignoring the costs for future generations. There is no future in coal in the long term.”
Submissions were also made by the Nature Conservation Council of NSW, Environmental Justice Australia, Doctors for the Environment Australia and the Lithgow Environment Group among others.
Katie Brassil, a spokeswoman from Centennial Coal which runs Springvale, said it was “pleasing to see there is finally a rational conversation nationally about how we as a nation can realistically secure affordable and reliable electricity”.
“While some want to concentrate on the negative side of the coal-fired electricity ledger we need to remember there is always a positive side to the ledger. What value do we place on energy security and keeping the lights on 24/7 in our schools, hospitals, industries, cities and regional communities?”
“The recent spate of hot weather is a pertinent reminder that any transitional process needs to ensure continuity of supply is a priority. Otherwise we are just throwing energy reliability and affordability off the cliff for the sake of ideology.”
The inquiry is taking information until next month.
