Regional Councils as Energy Producers? Economic Opportunity Economic Opportunity yielding yielding Climate Change Results Climate Change Results

Advertiser April 13, 2011 Threatened power supply paints dim future for state State Editor Greg Kelton: Advertiser - April 13, :00AM SOUTH Australia faces a power supply crisis in the next decade and blackouts could shut down the state. At the centre of the crisis is the almost certain closure of the Northern Power Station at Port Augusta, which provides 40 per cent of SA's baseload electricity, coupled with the lack of major new baseload generators. The station will be forced to close - some experts predict as early as either through a carbon tax or because its supplies of low-grade coal from Leigh Creek are running out. Its operator, Alinta, is due to meet Energy Minister Michael O'Brien today to discuss future options. Alinta chief executive Jeff Dimery said he would be happy to discuss the issue after meeting Mr O'Brien. Local MP Dan van Holst Pellekaan said the Northern Power Station faced "a very serious predicament" and up to 500 jobs could be at risk.. "It may take a decade to solve this problem," he said…. See

About us 15,000 people 600 farms 850 businesses Tourism 33% jobs 3% annual growth SWER End of the line

What we did Initiated a PVP retrofit program – Towong Initiated a PVP retrofit program – Towong Looked at Blakers model Looked at Blakers model Public Consultation Public Consultation Briefed adjacent councils Briefed adjacent councils Let tender Let tender ZEN won it -$1995 for 1.5kWh installed ZEN won it -$1995 for 1.5kWh installed ZEN Coordinated retrofitting on all houses ZEN Coordinated retrofitting on all houses Provide for ongoing program - $75 rego. Provide for ongoing program - $75 rego.

Based on volume purchase/Gov Incentives

What we got 720 Fleurieu ratepayers invest $2,500 - $2.25m 720 Fleurieu ratepayers invest $2,500 - $2.25m 1,000 more in adjacent councils 1,000 more in adjacent councils $8m in Federal Government solar rebates $8m in Federal Government solar rebates ZEN installs $20,000 local office now 6 jobs ZEN installs $20,000 local office now 6 jobs 24 local electricians contracted for installs 24 local electricians contracted for installs $80,000 in local newspaper advertising $80,000 in local newspaper advertising Ratepayer p/a power savings estimated at $250,000 Ratepayer p/a power savings estimated at $250,000 $80,000 raised via rego fees $80,000 raised via rego fees $30,000 ZEN/Adelaide Uni/Vic Harbor partnership for renewables research proof of concept (hybrid) $30,000 ZEN/Adelaide Uni/Vic Harbor partnership for renewables research proof of concept (hybrid) ETSA got $500,000 for new meters ETSA got $500,000 for new meters C-PREP saves approx. 1,584 Tonnes of CO2 p/a C-PREP saves approx. 1,584 Tonnes of CO2 p/a

Take up

Should regions/suburbs do it? Traditional energy = massive expense Traditional energy = massive expense Qld.- utilities $15.6 billion by 2015 Qld.- utilities $15.6 billion by 2015 SA - $1.3b - SA - $1.3b - Australia - ESAA says $25b Australia - ESAA says $25b CPRS/ETS to cost more than $5 billion per year in 2020 (Access Economics) CPRS/ETS to cost more than $5 billion per year in 2020 (Access Economics) Councils face extra costs for street lighting - community halls – civic centres - libraries Councils face extra costs for street lighting - community halls – civic centres - libraries See

McKinsey – Economics of Solar Power 2008

CSIRO- Intelligent Grid Report 15 Mar 2010 Wide scale deployment DE - $130b – 2050 PVPs dominate DE growth from 2015 Critical role in Australia’s future Electricity will be shared “peer to peer” across local grids

Change….. “You never change things by fighting the existing reality. To change something, build a new model that makes the existing model obsolete.”

Solar/wind

Local Examples

Opportunities Develop businesses by retrofitting existing houses and buildings -leverage initial success into: Ongoinging program employment Ongoinging program employment Reduce energy bills Reduce energy bills Initiate new industries Initiate new industries Avoid penalties Avoid penalties Attract funding Attract funding Lower our carbon footprint Lower our carbon footprint

Possible industries Design Engineering Local manufacture Parts Small biz Electronics Software

We see… Public lighting Public lighting Poles Poles Generators Generators Parts Parts Batteries Batteries Power plants Power plants Software Dvpt. Software Dvpt. Sensors Sensors Electronics Electronics Smart grids Smart grids

Street lights

Our Main Street?

Smart grids 3-year research project July 2008 to June 2011 inc. University of Technology, Sydney, University of Queensland, and UniSA, Queensland University of Technology and Curtin University. $3.4 million in funding from CSIRO and a further $6.1 million from collaborating institutions.

Storage – First smart grid Ausgrid – Newcastle - $100m Redflow Units are scheduled for delivery to Newcastle in Q3 2011

The big opportunity – Jan 2011 Our very own power company!!! Blaker’s retrofit model suggests retrofitting100,000 homes yields 800 jobs & drives $80,000,000p/a Daylesford Vic. Hepburn Wind Co op -2,300 homes own two wind turbines

DE Power Companies and smart grids