The world is waking up to the fact that renewable energy is cheap.
In the last few years, the global energy industry has undergone a massive transformation. The price of solar and wind power has dropped dramatically, and their share of new electricity generation capacity has soared.
As a result, governments around the world are scrambling to keep up with a rapidly changing landscape. In many cases, they are failing to do so—and this is hurting business both in Australia and around the world.
Consider these two propositions: The top reason cited by Australian business for using more renewables it that it costs less. The top reason cited by Australian business for not using renewables it that it costs more.
As Ivor Frischknecht, the head of the Australian Renewable Energy Agency observes, both propositions cannot be right. It is pretty obvious now that the right answer is that renewables cost less, but ignorance is hurting business, as well as Australia’s policy debate.