Category Archives: Energy

Power prices would be lower than otherwise, but may not fall, under privatisation

Posted on January 22, 2015 by Gene Tunny

I’m pleased to see some analysis finally published on the potential benefits of the privatisation of electricity businesses from a Queensland perspective: Network Pricing Trends in Queensland prepared by EY. The Courier-Mail has covered this report with the headline, on … Continue reading →

Posted in Energy, Queensland Government | Tagged , , , , | 6 Comments

Privatisation scoping studies should be released to inform public debate

Posted on December 3, 2014 by Gene Tunny

If it hasn’t already been sent, I expect an email will be sent around Ergon Energy today decreeing that all whiteboards must be erased after meetings, after the embarrassing disclosure of privatisation planning to union officials via a whiteboard (see … Continue reading →

Posted in Budget, Energy | Tagged , , , , , | 2 Comments

Lease complications mean asset sales a better option

Posted on November 6, 2014 by Gene Tunny

The Government may be having second thoughts about its decision to lease out rather than sell assets, as it’s facing a lot of tricky (and legitimate) questions on what the lease conditions would be from opponents such as the ETU … Continue reading →

Posted in Budget, Energy | Tagged , , , , , | 2 Comments

7.30 Qld interview on asset leases and power prices

Posted on October 18, 2014 by Gene Tunny

I featured in Eric Tlozek’s excellent story on the proposed leasing out of electricity assets on 7.30 Queensland last night: Government powers up to sell state asset leases I come in at around 3 minutes, 20 seconds, after the Opposition … Continue reading →

Posted in Energy | Tagged , , , , , , | 5 Comments

Success of privatisation plan requires $12 billion spent wisely

Posted on October 7, 2014 by Gene Tunny

As I’ve commented on previously, I’d prefer the Queensland Government to allocate all of the privatisation proceeds to debt reduction to maximise our chances of regaining our AAA credit rating. By allocating a sizable fraction – now $12 billion according … Continue reading →

Posted in Budget, Energy | Tagged , , , , , , , , , | 6 Comments

Private sector involvement should restrain growth in electricity prices

Posted on September 22, 2014 by Gene Tunny

There was an excellent article in Saturday’s Courier-Mail, quoting me towards the end of it, by State Political Reporter, Steven Wardill, on the likely impacts of the proposed leasing out of Queensland’s electricity network assets: Energy prices have risen rapidly … Continue reading →

Posted in Budget, Energy | Tagged , , , , , , | 2 Comments

ABC radio interview on asset leases

Posted on September 17, 2014 by Gene Tunny

At a BDO economic outlook breakfast I attended at the Brisbane Convention Centre this morning, Treasurer Tim Nicholls announced that the Government would consider asset leases as an alternative to the previously announced sale of the power generators and the … Continue reading →

Posted in Budget, Energy | Tagged , , , , , , , | 2 Comments

If you want to understand the East Coast gas market, come to this presentation

Posted on September 14, 2014 by Gene Tunny

With the first LNG exports from Curtis Island off Gladstone expected later this year, it is timely to consider what the linkage of our domestic gas market to the international market will mean for gas prices in Australia. A Grattan … Continue reading →

Posted in Energy, Gladstone, Mining | Tagged , , , , , , , , | 2 Comments

Government right to worry about State credit rating, not that of generators

Posted on July 2, 2014 by Gene Tunny

I’m underwhelmed by a report in the Brisbane Times that the credit ratings of Queensland Government-owned power generators CS Energy and Stanwell will drop if they are privatised: Credit ratings agency Fitch has given the Electrical Trades Union its latest ammunition in … Continue reading →

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Government should just sell Energex, Ergon & Powerlink

Posted on June 4, 2014 by Gene Tunny

The Government’s interesting proposition for private sector participation in Energex, Ergon and Powerlink, which raises the bulk of the $30-35 billion under the Strong Choices plan, should be attractive to investors because the businesses have reasonably reliable revenue streams they … Continue reading →

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