Our Position on Climate Change
The Opportunity for Iberdrola Australia
The electricity sector can is uniquely positioned to decarbonise at scale. Electricity decarbonisation has a known cost, using proven technologies on a predictable timeframe, and could be rapidly deployed.
If the electricity sector were called on to provide additional emissions reduction such that the economy as a whole reached the 26% guidance level, it would be required to decarbonise from 180mmtpa today to approximately 70mmtpa by 2030, a 60% reduction.
Recent modelling by AEMO for the Draft 2020 Integrated System Plan suggests that this may require approximately 19,000MW of additional large‑scale renewable energy capacity, for which an appropriate price signal would be required. For reference, 19,000MW is approximately 6000 wind turbines, or approximately 100 new wind farms.
Iberdrola Australia's Strategy and Climate Change
Iberdrola Australia's strategy of combining renewables with fast start firming assets facilitates decarbonisation while minimising customer bills.
The strategy of combining renewables with fast-start assets is corroborated by the experts. For instance, in the AEMO Integrated System Plan, 2018, the market operator argues that “the cheapest way to replace generation capacity will be a portfolio of solar, wind and power storage complemented by flexible gas fired power plants.”
Our strategy is designed to provide customers with clean energy that is reliable and competitively priced. Its the way that we are leading Australia to a clean future, today.