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NSW Greens explain how NSW could sidestep construction of 327MW peaker by banning installation of electric off-peak hot water systems in houses

Posted by gmarkets on 17 September, 2007

NSW Greens MP John Kaye said NSW could sidestep the con­struction of a coal-fired power station, saving money and millions of tonnes of greenhouse gas emissions, by banning the installation of electric off-peak hot water systems in houses. His analysis of the state’s electricity needs was that replacing energy-intensive off-peak electric hot water sys­tems with gas and solar hot water over three years could cut demand enough to retire some existing coal-fired power plants, according to the work done by the NSW Greens, reported The Sydney Morning Herald, (10/9/2007, p. 9).

NSW Greens submission to Owen Review: The analysis was supported by a submission to the Owen Inquiry into the state’s electricity by the National Electricity Market Man­agement Co, which said; a fore­cast 327 megawatts of extra generation capacity needed by the summer of 2010-11 could be supplied by reducing demand. Phasing out electric off-peak water heating was a cost-effective alternative to coal-fired power stations, said the NSW Greens MP John Kaye.

Interest-free loans to consumers planned: “Providing interest-free loans to consumers to cover the increased purchase and installation costs would make the transition painless for most households,” Dr Kaye said.

The data – 2880MW overnight gen: The Greens’ analysis says off-peak electric hot water units need about 2880 megawatts of overnight generation capacity, about the same amount of elec­tricity the Bayswater power station in the Hunter Valley uses.

• Replacing electric off-peak water heaters that have reached the end of their lives with combin­ations of gas-boosted and electric-boosted solar hot water would;

• save between 1267 and 2189 megawatts of generation capacity, above the extra generation the state would need by 2011; and

• by year three, the elimination of off-peak electric hot water would reduce carbon dioxide emissions by about 537,000 tonnes a year.

The Sydney Morning Herald, 10/9/2007, p. 9


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