Yet there has been remarkably little discussion about what it is actually costing taxpayers today.
To help put those costs into perspective I have created the Net Zero Cost Clock, a live counter that continuously estimates the taxpayer-funded subsidies being paid under Australia's Large-scale Renewable Energy Target (LRET).
Unlike government reports released months or years after the money has been spent, the clock keeps running every second of every day.
You can view it here:
https://www.grappyssoapbox.com/p/cost-of-net-zero.html
What does the clock measure?
The clock measures the estimated value of the Large-scale Generation Certificates (LGCs) created under Australia's Renewable Energy Target.
Every megawatt-hour of eligible renewable electricity generates one certificate.
Electricity retailers are required by law to purchase these certificates to meet the Renewable Energy Target. The cost is ultimately passed on to electricity consumers through their power bills.
The calculation is deliberately simple and transparent.
It uses:
the legislated Renewable Energy Target of approximately 33 million MWh per year
the current market price of Large-scale Generation Certificates
a continuously updating calculation that converts the annual subsidy into a live running total.
Every assumption is shown on the page, together with links to the official data sources, allowing readers to verify the calculation themselves.
Why this is only the lower limit
The important point is this:
The clock does not measure the total cost of Net Zero.
It measures just one component of the total cost.
Many of the largest expenses are completely excluded.
These include:
construction of thousands of kilometres of new high-voltage transmission lines
major upgrades to local distribution networks
Renewable Energy Zones
large-scale battery storage
Snowy 2.0 and other system support projects
government grants, concessional loans and underwriting schemes
curtailed renewable generation
backup generation required during periods of low wind and solar output
higher system operating costs required to maintain grid stability.
The elephant not included: rewiring Australia
Perhaps the largest omission is the enormous investment needed simply to connect renewable generation to the electricity grid.
Unlike coal-fired power stations, which are generally located close to existing transmission infrastructure, wind and solar farms are often built hundreds of kilometres from where electricity is actually consumed.
That means Australia must build thousands of kilometres of new transmission lines.
Infrastructure Australia notes that the National Electricity Market will require around 6,000 km of new transmission lines by 2050, while Western Australia will require thousands more.
Industry estimates associated with AEMO's Integrated System Plan suggest around $122 billion of investment in generation, storage and transmission, including approximately $16 billion for major transmission projects alone.
Even these figures are moving targets.
Several major transmission projects have experienced substantial cost increases, with some estimates rising by more than 50 per cent in a single year and individual projects now costing several billions of dollars each.
Whether these investments ultimately prove worthwhile is a matter for public debate.
What is beyond dispute is that they represent costs that are not included in the Net Zero Cost Clock.
Transparency matters
Australians deserve to know not only the environmental objectives of public policy, but also its financial cost.
If governments believe Net Zero represents value for money, then they should have no objection to those costs being measured openly and honestly.
The Net Zero Cost Clock is not intended to settle the policy debate.
It simply makes one part of that debate visible.
In reality, it is best viewed as the minimum entry price of Australia's Net Zero transition.
The real bill is certainly much larger.
Bookmark the Net Zero Cost Clock and check back from time to time. The number only moves in one direction.
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