US energy modelling reopens the door to nuclear

The US Department of Energy report is an important global document (“US energy report paints nuclear into the big picture”, 4/10). The astounding growth in energy demand for data centres, artificial intelligence and the cryptocurrency sector threatens the transition to net zero but also increases the need to invest more in low-emission generation.

However, it must be remembered that the report is set in the context of the US, which has had a nuclear industry for 60 years. We must be wary of generalising findings to Australia. A recent investigation into the topic by Morgan Stanley, reported by the Australian Energy Council, concluded that for Australia, “hourly matched renewable power” was an option and a global “follow the sun compute” strategy taking advantage of cheaper solar power, where companies establish data centres in several countries, should be considered.

Karen Lamb, Geelong, Vic

The economic modelling by the US Department of Energy is far more credible than the CSIRO GenCost reports. DOE has evaluated the true cost of nuclear energy in a balanced electricity system.

In such a mix, nuclear can provide a large part of the baseload requirements when renewables are not producing electricity. That saves the cost of providing renewable generating capacity that is more than three times the baseload requirement in order to generate surplus when renewables are working, to cover when they aren’t. It also saves the additional costs of storing that energy, whether in batteries, pumped hydro or green hydrogen; of additional transmission lines; and of regularly replacing the short-lived renewable components.

Nuclear also avoids many of the environmental impacts and the inevitable price pressure resulting from increasing demand for critical battery minerals and their limited known global reserves. Our government should follow the US and provide incentives for the development of nuclear energy, at least as large as the current spending on renewables. The first step is to remove the legislative barriers at federal and state levels.

Ian Wilson, Chapel Hill, Qld

Hypocritical focus on supermarkets

Winston Churchill is quoted as saying in 1927: “It is really intolerable the way these civil departments browse onward like a horde of injurious locusts.” The Albanese government displays its hypocrisy criticising supermarkets. Their net profits are not large and feed into the superannuation of many Australians to support their retirement, thus reducing the burden on government. This is while an ever increasing federal bureaucracy puts pressure on all taxpayers to carry the burden. This is a major contributor to the cost of living through higher government charges. The government must reduce the size and cost of bureaucracy, not waste time on tactics to divert attention while blaming others for the cost of living crisis.

Jonathan Hilder, Bellbowrie, Qld

Albo the Caped Crusader of Consumerism now targets shrinkflation at the supermarket. Surely this is a case of caveat emptor: just read the label.

More insidious is “bait advertising”, where a popular product is promoted at half-price, only to find there’s none on the shelf. The psychology is that since you’re already there, you’ll buy the full-price version beside it. It tells you a lot about corporate morality that executives are actually paid to come up with these scams.

Trevor Farrant, Hackney, SA

Hydrogen pipe dream

Just months after billionaire Andrew Forrest was forced to pull the plug on his lofty green hydrogen ambitions, citing the economics were too challenging, energy giant Origin Energy has followed suit. Chief executive Frank Calabria conceded that there were too many risks in backing green hydrogen at too many turns (“Origin exits hydrogen in net-zero blow”, 4/10). Opposition energy spokesman Ted O’Brien says the fact major players such as Origin and Fortescue are stepping away from green hydrogen confirms that Labor was picking losers and leaving Australian taxpayers to pick up the tab. Despite this, Climate Change and Energy Minister Chris Bowen argues that green hydrogen has a big future. He also argues the Albanese government’s plan to have a renewables-dominated energy system by 2030 is perfectly viable. But in a 2022 report Australian Energy Market Operator chief executive Daniel Westerman said operating a gigawatt-scale power system on wind, solar and storage alone would be “a feat unparalleled worldwide”, with the report warning that the complexity of the task was moving us into uncharted territory.

Yet the risks associated with green hydrogen and a renewables-heavy national electricity grid are mere trifles as far as Bowen is concerned. But they should worry the hell out of us.

Dale Ellis, Innisfail, Qld