The upside to Hazelwood’s closure

However, experience in other regions such as the ACT, in countries such as Germany, and assessments by multiple analysts show that power demands can be fully met by a combination of wind and solar using interconnected networks, with power boosts being supplied by hydro sources, concentrated solar thermal and gas-fired turbines using biofuels.

Reliance on renewables would also be more easily attainable if energy efficiency in homes and offices was pursued more vigorously.

There is justifiable concern about the future of workers in the power industry in the Latrobe Valley.

Awareness of health and social disadvantages within the Valley community were identified in the Inquiries into the Hazelwood coalmine fire of 2014. All these issues can and should be addressed by consultation with industry, unions and the community, all of whom have been aware for years of the limited life-span of the generators. Some workers have already established new industries of their own volition.

Undoubtedly though, there needs to be much thoughtful action to minimise social upheaval. The Latrobe Valley’s inevitable industry transition involves fewer worker numbers than the demise of Kodak in Rochester, USA, hence the eventual survival and growth of that community should be used as an inspiration, as can the survival of the Newcastle community after the steel works were closed.

It has been repeatedly claimed, without any justification, that electricity prices using renewables would increase by anywhere from 10-25%. These estimates are made without any reference to the fact that coal-fired power is heavily subsidised both directly and indirectly.

It is the indirect subsidies, or externalities, that are more insidious and these include the huge health costs to the community from pollution that arises from mining and burning coal.

Wind power is already cheaper and if coal subsidies and externalities are fully accounted for in the cost of electricity, solar would compare favourably with coal power. For Hazelwood alone, health and social costs are estimatedto be around $900 million per year.

This money could go a long way towards assisting the Latrobe Valley’s transition to alternative industries whilst focusing on a cleaner energy future.