Countering transition misinformation


Hey Reader, welcome to The Energy. In today's edition:

  • Coalescence on batteries
  • Cutting through the agri-transition bullsh*t
  • Geothermal looking supercritical

State and federal battery policies align


Federal Industry and Science Minister Ed Husic, a self-declared nerd, returned to pioneering manufacturer Energy Renaissance on the campaign trail in Tomago, NSW, where the giga-factory could be a big winner in the battery bonanza, if Labor is re-elected.

Husic also announced $1.85 million for Paterson-based business Allegro Energy to scale up production of their Redox Flow Battery technology, made from non-flammable electrolytes suited to long storage and made from easily accessible and recyclable materials.

Allocated under the $400 million Industry Growth Program in the leadup to the caretaker period, the funding will enable Allegro to reduce unit cost and refine their battery energy storage systems.

Meanwhile NSW Minister for Climate Change and Energy Penny Sharpe said the state had set a “cracking pace” for battery adoption across the country. More than 7,800 batteries have been installed in homes and businesses since a NSW incentive was launched in November.

The incentive is part of the NSW Government’s Peak Demand Reduction Scheme, reducing peak electricity demand, maintaining grid stability during periods of high demand and reducing the grid’s reliance on fossil fuels.

“Batteries are a great way to make the most of cheap solar power in Australia, so it’s very encouraging to see this NSW program’s uptake numbers. We also know there are even greater savings for homes that use electricity to power their appliances. So this is a great incentive to make it better value for people to electrify their homes, potentially saving thousands a year."Rewiring Australia CEO, Francis Vierboom

Climate Council CEO Amanda McKenzie said with state and federal governments working together on subsidised energy storage, Australians could get “immense benefits” from clean, cheap and secure power.

What about the agri-transition?


Cow farts aren’t the only challenge facing the emissions-intensive agriculture sector.

Regional hubs, more local energy production and less misinformation would support the agriculture industry through the transition, according to a roadmap due by the end of July.

“The whole premise of the work has been to design it with the key players – it’s being built on what is needed, with all of the people that are going to be impacted,” AgriFutures Australia’s Senior Manager for Rural Futures Jane Knight told The Energy.

The vulnerability of the fossil fuel-dependent sector to price volatility and supply shocks sparked the 2022 The Diesel Transition report. Building on that research, Knight is working with companies such as energy distributor and retailer Ampol and equipment giant John Deere, peak bodies, research agencies and government departments on a national roadmap for agriculture, fisheries and forestry.

Petroleum diesel is the most widely used source of energy for these sectors, making displacement critical to the target of a 43% reduction in emissions by 2030 and net zero by 2050.

Actionable insights:

  • Trusted knowledge brokers are needed to counter misinformation and support food producers and other stakeholders that will drive the transition.
  • A skilled workforce will be critical, but education and training programs must suit the needs of each region.
  • A decentralised approach to greater regional resilience would require localised energy production to lessen the risk of threats to major trade routes.

Geothermal looking supercritical


New Zealand’s efforts to harness geothermal energy are longstanding but it could go supercritical by drilling deeper, with the government bankrolling feasibility studies.

A recent hui (gathering) of scientists, officials and iwi (Traditional Owners) met in an area known as a geothermal wonderland to listen to the government’s pitch.

“It is important in New Zealand to have buy-in from tangata whenua (Traditional Owners),” Minister for Regional Development Minister Shane Jones told The Energy.

“There was a lot of interest in what we are now seeking to do – that is unlock the energy from deep under the Earth’s crust,” he said.

Many of those present are already invested in the geothermal sector, through other strands of industry such as tourism and manufacturing,” he said.

Context

Geothermal energy is one of New Zealand’s largest sources of renewable energy, providing almost one-fifth (18%) of the nation’s electricity, and is also directly used for industrial process heat, space heating and water heating.

The geothermal industry is now at a “critical juncture” and could become a cornerstone of tomorrow’s electricity and heat systems as a dispatchable and clean source of energy, according to the International Energy Agency.

CATCH UP

Policy


The life of Queensland's coal-fired generators will be extended under a major energy policy shift by the Crisafulli government. (AFR)

Twenty-seven hydrogen projects have been shortlisted for the next stage of the Second Hydrogen Allocation Round (HAR2) supporting green hydrogen production in the UK.

“This builds on the success of the First Hydrogen Allocation Round which saw 11 projects being allocated over £2 billion in government funding. One recipient, Whitelee Green Hydrogen in Scotland, will produce hydrogen for the Inchdairnie Whiskey distillery which intends to sustainably distil whisky by 2027.
The HAR2 shortlist could lead to projects that help support strong supply chains and the delivery of the clean energy superpower mission.” UK Industry Minister Sarah Jones

Capital


S&P/ASX 200 Energy index stocks were hit harder than the broader market, declining by 6.95% in a day of red driven by US tariffs and uncertainty.

Gearing up to “drill baby, drill”, Woodside Energy sold a 40% stake in its Louisiana LNG project to global investment firm Stonepeak to raise US$5.7 billion in capital to accelerate development in 2025 and 2026. “The transaction significantly reduces Woodside’s capital expenditure profile and is a material step towards readiness for a final investment decision,” Woodside said in a statement.

Projects


Vulcan Energy (ASX: VUL), part-owned by billionaire Gina Rinehart, completed the acquisition of Geox, including its geothermal wells, renewable energy generation assets and a geothermal and lithium licence around Landau, Germany. The assets will be used in the Phase One Lionheart Project (the Project) to produce lithium for conversion into battery chemicals for European offtake partners, and to produce renewable energy for local use.

Technology


Qantas and Airbus jointly committed A$15 million - from a US$200 million partnership established in 2022 - into venture capital fund Climate Tech Partners to accelerate the development of sustainable aviation fuel (SAF). They said it would help to bridge the gap between early-stage climate technologies and at-scale commercial production in Australia.

“Sustainable aviation fuel is the most effective tool we have to decarbonise aviation and, with Airbus, we’re investing significantly in ways to make it more available and accessible. As well as funding, this partnership will help provide a vote of confidence in new technologies so they can be developed, scaled and integrated in the SAF supply chain, while also providing companies with access to Qantas and Airbus as they develop and test their solutions.
“For Australia, an onshore SAF industry will mean improved national fuel security, more jobs and economic benefit, so it’s fantastic to be collaborating across industries to help accelerate local production.” Qantas Group Chief Sustainability Officer Fiona Messent

People


Professor Maurizio Cirrincione was appointed Director of Charles Darwin University’s Energy and Resources Institute. Cirrincione was most recently Professor of Control Systems at the University of the South Pacific and has research experience in renewable energy systems, smart grids and artificial intelligence.

Research


Wave energy’s huge potential could be unlocked by the power of sound. (The Conversation)

CHOICE investigated bias in an energy comparison site, prompting a defence of MyConnect by Duncan Permezel, General Manager, Consumer & Property - Retail, at Origin Energy. (RN)

A global resurgence of industrial policy is being driven by what researchers at the Oxford Institute for Energy Studies say is a “fundamental shift in energy economics”. In a paper entitled “From Scarcity to Scale: The New Economics of Energy” the authors discuss the implications of the transformation of the energy landscape including a world where “geographic accident no longer fundamentally determines energy wealth; instead, technological innovation, manufacturing scale, and early-mover advantages determine market leaders, creating a ‘winner-takes-most’ dynamic exemplified by China’s dominance in solar PV and battery manufacturing”.

Random


The US has roughly 50 gigawatts of solar panels sitting in warehouses that was imported from Southeast Asia before the tariffs were announced. (Bloomberg)

SipEnergy signed on as the South Sydney Rabbitohs’ Official Solar Energy Partner.

“This partnership allows us to make a real difference in the way we manage energy usage at the Club while continuing to encourage our Members, supporters and the broader community to embrace sustainable practices.” — Rabbitohs CEO Blake Solly

What's on

April 9-10
Smart Energy Council Conference & Exhibition

Energy Minister Chris Bowen will speak alongside the President of Palau Surangel Whipps Jr in Sydney. They will be joined by NSW Minister for Energy Penny Sharpe, Federal Member for Wentworth Allegra Spender and ACTU President Michele O’Neil.


April 10
National Press Club

Energy and Climate Change Minister Chris Bowen and his counterpart Ted O’Brien go head-to-head in a federal election debate.


April 10
Book launch

Professor Frank Jotzo, Net Zero Economy Authority CEO David Shankey and futurist Dr Amanda Cahill lead a discussion of Regional Energy Transitions in Australia: From Impossible to Possible.


April 10
Santos Ltd Annual General Meeting

Chair Keith Spence and CEO Kevin Gallagher will front the AGM in Adelaide.


April 14
Melbourne Energy Institute Public Lecture

Ángela Flores from the University of Chile will discuss how power systems are facing increasing pressure from climate change.


The Energy

The Energy is dedicated to covering the business of energy and in particular the people, capital, projects and emerging technology behind the energy transition.

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