Retirement of coal fired power stations: interim report

On 13 October 2016, the Senate referred the following matter to the Environment and Communications References Committee for inquiry and interim report by 28 November 2016 and final report by 1 February 2017: the experience of closures of electricity generators and other large industrial assets on workers and communities, both in Australia and overseas; the role that alternative mechanisms can play in alleviating and minimising the economic, social and community costs of large electricity generation and other industrial asset closures, drawing on experiences in Australia and overseas; policy mechanisms to encourage the retirement of coal-fired power stations from the National Electricity Market, having regard to: the \u27Paris Agreement\u27 to keep global warming below 2 degrees celsius, and ideally below 1.5 degrees celsius, the state and expected life span of Australia\u27s coal-fired power plants, the increasing amount of electricity generated by renewable energy and likely future electricity demand, maintenance of electricity supply, affordability and security, and any other relevant matters; policy mechanisms to give effect to a just transition for affected workers and communities likely impacted by generator closures, as agreed in the \u27Paris Agreement\u27, including: mechanisms to ensure minimal community and individual impact from closures, and mechanisms to attract new investment and jobs in affected regions and communities; the appropriate role for the Federal Government in respect of the above; and any other relevant matters. This interim report has the following structure: Chapter 2 outlines the electricity market in Australia, the contribution of coal fired power stations in electricity generation and the role of coal fired power stations in meeting emissions targets; Chapter 3 discusses potential mechanisms for the retirement of coal fired power stations; Chapter 4 discusses the role of \u27just transition\u27 policies and options for transition management; and Chapter 5 sets out the committee view and recommendations