Feb 6, 2022·edited Feb 6, 2022Liked by Arjun Murti
Thanks Arjun, an interesting article. I don't know the science and economics behind a lot of this but as an ex-journo I tend to take a lot of information and then distill it (sometimes badly) and it seems to me that New Zealand is a bit of a microcosm to the rest of the world.
On the farm, two years ago when we started out, the highest average electricity bill we would get would have been $250. Obviously we run a lot of battery gear as well as heavy machinery, and have a high electricity demand. Our fuel bills were probably in the order of $300 per month, diesel and gas. Gas was maybe around $2 per litre, perhaps a bit less.
Two years later, the monthly power bill is near $800 sometimes and I see in the media today that NZ gas prices just popped over the $3 per liter mark.
The government, a centre-left construct that also includes the Green party, a hard left group, has promised much in the wake of hand-waving "climate emergency" declarations, but done little other than to make the situation worse.
Here's some examples:
- They have banned Natural Gas from 2032. Forget the traditional BBQ, it's gone.
- They will ban the import of petrol cars by that date.
- They are taxing fossil fuel powered cars now, and consequently provide a subsidy for electric vehicles (never mind the supply chain issues around environment on those things.)
- Our energy use across the country is skyrocketing and the market can charge premium prices.
- We came close to rolling blackouts last winter as a result.
- Our coal importation has never been higher, and continues to grow, to prop up the electricity demand while the reduction in coal mining (which was cleaner than the imported stuff) has reduced.
- The government has approved no fewer than four massive data center builds across NZ in the next four years, which as you know, will demand massive energy.
- There is no investment going into new generation, renewable or not. Perversely, that is because of the hard left greens who on the ground oppose any new development, such as hydro, and even wind farms.
From the guy on the ground, trying to be sustainable, it's looking pretty fucked. And, if we look at the fact that the global population is growing fast, then, it just looks like we are going to run out of energy. The question is, when?
We are searching for solutions on the farm, including getting off the main grid and going full solar. Unfortunately, we'll be relying on fossil for a while yet. It's hard to power a 40 tonne digger with batteries...
The cost of going solar is horrendous. I'd estimate $60k plus for here, probably closer to $100k. And of course, despite the government banning the shit out of everything, they are not subsidising solar at all.
PS Love AC/DC, I saw them live a few times, pretty sure my ears are still ringing.
Ian, Wow, that is remarkable...I was not aware New Zealand had taken so many steps to address the "climate emergency". Pretty remarkable and not sure I understand the gov'ts motivations given New Zealand can't possibly account for very much of the excess CO2, be it historic, current, or future. I am sorry to hear that folks like you in rural/farm environments seem on-track to face a pretty challenging energy situation. Thank you for sharing.
I listened to an IHS Markit Energy podcast this morning ("Popularity Contest: Batteries,...") and found it disconcerting how much consensus there was among the analysts about the future of decentralized electricity. It seems we have arrived at a juncture where we expect government to regulate our personal lives and movements but not to provide energy security. Every man for himself in that realm.
The analysts did not even consider how regressive (not to mention fantastical) this is.
Thanks Arjun, an interesting article. I don't know the science and economics behind a lot of this but as an ex-journo I tend to take a lot of information and then distill it (sometimes badly) and it seems to me that New Zealand is a bit of a microcosm to the rest of the world.
On the farm, two years ago when we started out, the highest average electricity bill we would get would have been $250. Obviously we run a lot of battery gear as well as heavy machinery, and have a high electricity demand. Our fuel bills were probably in the order of $300 per month, diesel and gas. Gas was maybe around $2 per litre, perhaps a bit less.
Two years later, the monthly power bill is near $800 sometimes and I see in the media today that NZ gas prices just popped over the $3 per liter mark.
The government, a centre-left construct that also includes the Green party, a hard left group, has promised much in the wake of hand-waving "climate emergency" declarations, but done little other than to make the situation worse.
Here's some examples:
- They have banned Natural Gas from 2032. Forget the traditional BBQ, it's gone.
- They will ban the import of petrol cars by that date.
- They are taxing fossil fuel powered cars now, and consequently provide a subsidy for electric vehicles (never mind the supply chain issues around environment on those things.)
- Our energy use across the country is skyrocketing and the market can charge premium prices.
- We came close to rolling blackouts last winter as a result.
- Our coal importation has never been higher, and continues to grow, to prop up the electricity demand while the reduction in coal mining (which was cleaner than the imported stuff) has reduced.
- The government has approved no fewer than four massive data center builds across NZ in the next four years, which as you know, will demand massive energy.
- There is no investment going into new generation, renewable or not. Perversely, that is because of the hard left greens who on the ground oppose any new development, such as hydro, and even wind farms.
From the guy on the ground, trying to be sustainable, it's looking pretty fucked. And, if we look at the fact that the global population is growing fast, then, it just looks like we are going to run out of energy. The question is, when?
We are searching for solutions on the farm, including getting off the main grid and going full solar. Unfortunately, we'll be relying on fossil for a while yet. It's hard to power a 40 tonne digger with batteries...
The cost of going solar is horrendous. I'd estimate $60k plus for here, probably closer to $100k. And of course, despite the government banning the shit out of everything, they are not subsidising solar at all.
PS Love AC/DC, I saw them live a few times, pretty sure my ears are still ringing.
Ian, Wow, that is remarkable...I was not aware New Zealand had taken so many steps to address the "climate emergency". Pretty remarkable and not sure I understand the gov'ts motivations given New Zealand can't possibly account for very much of the excess CO2, be it historic, current, or future. I am sorry to hear that folks like you in rural/farm environments seem on-track to face a pretty challenging energy situation. Thank you for sharing.
Excellent work in service of a fundamentally moral purpose. Thank you.
Thank you very much Skagit.
I listened to an IHS Markit Energy podcast this morning ("Popularity Contest: Batteries,...") and found it disconcerting how much consensus there was among the analysts about the future of decentralized electricity. It seems we have arrived at a juncture where we expect government to regulate our personal lives and movements but not to provide energy security. Every man for himself in that realm.
The analysts did not even consider how regressive (not to mention fantastical) this is.