Australia's corrupted political process could deliver a windfall of up to $6.9 billion to the government's fossil fuel donors, paid for by ordinary households and businesses as part of Angus Taylor's proposed tax to prop up fossil fuel generators.
Scandal-plagued Taylor is reported today to be "increasingly confident" that he will be able to impose a "physical retail reliability obligation" (PRRO) on electricity retailers, which would require them to subsidise coal and gas-fired power stations even though the latter are now commercially unviable due to the low cost of renewables. The subsidy from what is now being called "CoalKeeper" would come directly from higher electricity prices imposed on retail customers.
How much would electricity prices rise to look after fossil fuel donors? Last week, an analysis by the Institute for Energy Economics and Financial Analysis suggested the windfall could be between $2.9-6.9 billion. That translates into an increase in ordinary household electricity bills of between $182-430 a year.