Is renewable energy a sustainable energy source for Australia (The Miri students

Question

Is renewable energy a sustainable energy source for Australia (The Miri students can write this for Malaysia)? – summarise your argument using the triple bottom line approach. (5 marks)

Discuss advantages and disadvantages • Environmentally friendly, can be renewed • But low energy intensity, technology is yet new, small share in the energy mix Discuss it on the basis of the definition of sustainable energy Australia’s/ Malaysian energy situation Then conclusion in one sentence They need to write max of ¾ of a page

Explanation / Answer

Renewable energy

Renewable energy is sustainable energy that comes from the natural environment. Certain sources of energy are “renewable” as they are maintained or replaced by nature. Renewable energy is obtained from sources that are essentially inexhaustible, unlike fossil fuels, of which there is a finite supply and cannot be replenished.

Renewable sources of energy include solar, wind, water, biomass, wood, waste, geothermal, wind, photovoltaic, and solar thermal energy. Non renewable energy sources include coal, oil and natural gas.Energy is a basic input into virtually every aspect of personal and business activity. Energy, in some form, is involved in most household activities, such as heating, cooling, cooking, lighting, transport or enjoying services or products that require energy in their supply.

Firms also use energy in virtually all of their activities, whether it is processing and manufacturing materials, transporting goods, heating and cooling premises, providing telecommunication services or powering computers. As a result, energy is a fundamental part of life in Australia and the energy sector is an essential component of the Australian Economy.

Renewable energy has undergone substantial growth in Australia in the 21st century. It is estimated that Australia produced 29,678 gigawatt hours (GWh) of renewable energy electricity (or equivalent) over the year ending December 2012, representing 13.14% of the total production in Australia. By way of comparison, in 2006, approximately 9,500 GWh of electricity came from renewable sources, representing less than 4% of nationally generated electricity.Of all renewable electrical energy sources in 2012, hydroelectricity represents 57.8%, wind 26%, bioenergy 8.1%, solar PV 8%, large-scale solar 0.147%, geothermal 0.002% and marine 0.001%; additionally, solar hot water heating is estimated to replace a further 2,422 GWh of electrical generation.

Similar to many other countries, development of renewable energy in Australia has been encouraged by government policy implemented in response to concerns about climate change, energy independence and economic stimulus. A key policy that has been in place since 2001 to encourage large-scale renewable energy development is a mandatory renewable energy target, which in 2010 was increased to 41,000 gigawatt-hours of renewable generation from power stations. This was subsequently slashed to 33,000 gigawatt-hours by the Abbott Government. Alongside this there is the Small-Scale Renewable Energy Scheme, an uncapped scheme to support rooftop solar power and solar hot water and several State schemes providing feed-in tariffs to encourage photovoltaics. In 2012, these policies were supplemented by a carbon price and a 10 billion-dollar fund to finance renewable energy projects, although these initiatives have since been withdrawn by the Abbott Government.

It has been suggested that with sufficient public and private sector investment and government policy certainty, Australia could switch entirely to renewable energy within a decade by building additional large-scale solar and wind power developments, upgrading to transmission infrastructure and introduction of appropriate energy efficiency measures.

To begin with, it is important to realise the ecological damage caused by many of our actions. Our careless disregard of pollution, chemical usage and burning fossil fuels will have long-term environmental consequences. Sourcing these fossil fuels often means destroying landscapes through environmental degradation, air pollution and acid rain. Although petroleum products have been crucial to the development of transportation, they have left a wake of damage. Not only do exhaust fumes poison the air, accidents such as oil spills devastate marine environments. Along with transportation fumes, pollution from power plants and petrol refineries affect the health of both humans and surrounding ecosystems. Mining coal for power production can often require entire forests to be stripped from the landscape, resulting in erosion and soil breakdown. Productive and fertile land is destroyed when gas, coal or minerals are found. Finally, mining chemicals and by-products have contaminated rivers and waterways, wreaking havoc upon ecosystems. The methods we use to produce energy should not come at such a cost to the environment.

Australia must investigate the array of renewable energy sources available. Wind farms have been proven very effective in providing environmentally friendly electricity at locations such as Infigen Energy’s ‘Capital Wind Farm’. As the technology becomes more cost-effective more wind farms should be put into practice. Australia also has large expanses of arid desert, the perfect location for commercial solar power stations. Such plants would not only utilize an otherwise unproductive landscape but would be viable alternatives to coal and gas. Lastly, more research and funding must be invested into newer technologies such as tidal, wave and biomass power. Given that coal, oil and gas reserves will eventually run out, such renewable power sources need to be put into place. For this reason, the Government, along with corporations and large companies, must invest for the future. Our future will need to use sustainable energy, which demands a move towards renewable power.

Sustainability also requires new technologies and better methods of using our resources. Much of the energy we use in running cars, planes and other transport comes from non-renewable sources. Electric and hydrogen vehicles have to develop into economically priced, practical alternatives to the fuel powered transport used today. This can mean Australia and the world would be less reliant on petroleum products, which create toxic pollution problems. Secondly, urban construction methods need to be more efficient, less wasteful and less environmentally degrading. Many building products, such as timber and metals, are not recycled to their full potential and take up large portions of our landfills. Alternatively, there is an array of materials that can be recycled more efficiently. For example, concrete can be reused as aggregate in new concrete. ‘Green’ solar passive buildings can be designed to make the most use of available resources, such as the sun’s energy for heating. This can directly translate to less wasted electricity. Furthermore, households and businesses must become more efficient with water. Australia has a fragile water system. It is vital for life, with every living organism dependant on water for survival. We cannot misuse something so valuable. Finally, if resources such as water and electricity are used wisely, it will reduce costs to both households and the environment. We can leave a more sustainable planet for our children by changing to efficient technologies and resource conserving methods.

Australia has enormous potential to change for a sustainable future. The consequences of our short-term thinking and selfish actions have brought about grave environmental damage. If we continue to destroy what we still have, what will be left for our future generations? This is why we must embrace alternatives such as renewable energy. Australia has the potential to expand its wind and solar power, as well develop new fields. We have to change how we travel, build, live and recycle. If we use new technologies such as electric transport and green building we will dump less pollution into our environment. Finally, the wise use of water must become a way of life. Australia is obliged to embrace a ‘big picture’ view on sustainability that focuses on the future.

Advantages

One major advantage with the use of renewable energy is that as it is renewable it is therefore sustainable and so will never run out. Renewable energy facilities generally require less maintenance than traditional generators. Their fuel being derived from natural and available resources reduces the costs of operation. Even more importantly, renewable energy produces little or no waste products such as carbon dioxide or other chemical pollutants, so has minimal impact on the environment. Renewable energy projects can also bring economic benefits to many regional areas, as most projects are located away from large urban centre’s and suburbs of the capital cities. These economic benefits may be from the increased use of local services as well as tourism.

Disadvantages

It is easy to recognize the environmental advantages of utilising the alternative and renewable forms of energy but we must also be aware of the disadvantages. One disadvantage with renewable energy is that it is difficult to generate the quantities of electricity that are as large as those produced by traditional fossil fuel generators. This may mean that we need to reduce the amount of energy we use or simply build more energy facilities. It also indicates that the best solution to our energy problems may be to have a balance of many different power sources. Another disadvantage of renewable energy sources is the reliability of supply. Renewable energy often relies on the weather for its source of power. Hydro generators need rain to fill dams to supply flowing water. Wind turbines need wind to turn the blades, and solar collectors need clear skies and sunshine to collect heat and make electricity. When these resources are unavailable so is the capacity to make energy from them. This can be unpredictable and inconsistent. The current cost of renewable energy technology is also far in excess of traditional fossil fuel generation. This is because it is a new technology and as such has extremely large capital cost.

Conclusion

In conclusion, the industry analysis is to help the company to understand the macro and microenvironment of the renewable energy device market. It shows that there is a large potential of market share in renewable as the Australia Government is very concerned about reducing the gas emission by providing a rebate scheme to support household user to switch to renewable energy device as it is environmental friendly. Besides that, the segmentation, targeting and positioning strategy drive the company to target the right market with right marketing mix strategy and to make sure the company is in appropriate perceptual positioning in consumer minds. As the consumer needs are met, the demand towards the renewable energy devices would increase. Therefore, the aim of the government that is encouraging the use of renewable energy instead of electric and gas will be achieved.

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