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REGENERATIVE ENERGY IN RURAL COMMUNITIES

In July 2008, Gwydir Shire Council and Bingara and District VISION 20/20 co-hosted a Forum called Regenerative Energy for Rural Communities. The Forum considered options for electricity in the future and the role that our rural communities can play. This article is a summary of the findings of that Forum and a blueprint to map the path ahead to a more cost effective and reliable energy future.

Electricity is an amazing product, providing instant energy at the flick of a switch. It can run engines, heat or cool us, and enable our communications and entertainment.

In Australia, most of our electricity comes from coal burning power stations. In NSW they are located near the coal fields, north, south and west of Sydney. The electricity generated is distributed by high tension cables to regional sub-stations where it is further distributed by lower capacity cables, through a distribution web.

Bingara is a small town in northern NSW. It is near the end of a distribution line in the electricity web. It has one main 66kVA and one minor 22kVA line feeding the town from Warialda and Delungra respectively. A fault on the main line can leave much of the town and district without electricity for some time while repairs are made.

Where a town is part of a true “grid” system, with main power lines coming from more than one direction, there is greater security, as power can be switched from one direction or another. Bingara’s neighbouring town, Warialda, is fortunate to have this option with feeder lines from both Moree and Inverell.

Friction, heat , sound and other factors reduce the amount of electricity that gets to each stage of the distribution network. By the time the electricity reaches “the end of the web” like to Bingara, 70% of it has been lost. Web type network electricity distribution systems are very inefficient.

Each year the cost of electricity increases and in recent times it is increasing at a faster rate than the average of other products as measured by the Consumer Price Index (CPI). Our local provider, Country Energy, has indicated a 20% increase is likely within twelve months.

Clean energy is being considered, but the adoption of green power like that from wind, hydro, tidal, geothermal or solar, is a slow and expensive process. It will remain as such, unless forced into change, and the spectre of human accelerated climate change, may be just the trigger for that change.

Draft legislation issued by the Federal Government came into act in March this year as the Carbon Pollution Reduction Scheme. It proposes to reduce greenhouse gasses by introducing a “cap and trade” scheme to put a price on pollution and require businesses to respond by either reducing their emissions or by buying permits to off-set every tonne of emissions they produce.

For example, if the nation’s emissions cap is set at 100 million tonnes of CO2/year, then 100 million permits would be issued for the year. Firms will compete to purchase the permits. The permits become a tradable commodity, the value of which is determined by a trading market. For some firms, reducing their emissions will be a cheaper option than bidding for permits. Firms can buy or sell permits.

Certain categories of firms will receive some emissions permits free, as part of a transitional process. Because the total number of permits available each year is capped, trade in the marketplace will determine the price and availability of the permits.

What can small rural communities like Bingara do about the changing policies and prospects for electricity in the future? You might be surprised by the simple options we have, and by some of the opportunities that we can pursue as a community.

The Regenerative Energy for Rural Communities Forum heard from a strong panel of speakers – Professor Stuart White, Director of the Institute of Sustainable Futures, Cr Barry Thompson of Willoughby City Council, Nigel Morris – Offer Development Manager, BP Solar Australia, Paul Watson, Group Manager Environmental Strategy, Country Energy, Wes Stein – Project Manager, National Solar Energy Centre, Darren Keegan – Business Development Manager and Pieter Verasdonck – Community Economic Development Manager – both with Dept of State & Regional Development, Tim Cotter – Regional Manager, AusIndustry and Joe Wilder, Dept of the Environment. After dinner speaker was David Fewchuk, Chairman Aurora Vehicle Association. The Thursday forum was followed by a Friday workshop to identify ideas generated from the previous day.

This concept paper is derived from ideas generated by both the speakers and the participants at the forum. The forum was videoed, and a full transcript of the outcome of the workshop has been done. Both are available to interested parties.

OPPORTUNITIES

1. A Network now exists: The Gwydir Shire now has a strong network of recognised individuals and organizations with which to work. The forum participants have expressed enthusiasm at the level of professionalism and commitment shown by the local community, and have been generally positive in their support for the concept of a small rural community becoming a “test” case for regenerative energy.

We have real possibilities for developing a strong team approach, through strategic partnerships, as we move forward. In addition, the community and GSC worked together very well in conducting the forum, and this process should continue as we explore specific opportunities.

2. To become one of the first “Solar Towns” in Regional NSW: This idea has been floated by Nigel Morris of BP Solar. He sees a need to roll out the ideas generated by the Solar Cities program, to move from trials to implementation. He sees that Bingara is well placed to become one of early adopters. There are a number of reasons why Bingara is well positioned:

• We have a strong Vision for the future, and this concept fits perfectly with the “Regeneration” theme of the Vision.

• The Vision focuses on three key areas to underwrite our future – Education, Regional Conferencing and Tourism, all of which dovetail nicely with the concept of a “Solar Town”

• Build on the Gwydir Learning Region concept to become a hub for Regenerative Education

• Bingara is geographically central to the North West of NSW. Within a comfortable 2 hour drive there is a population of approximately 80000, and ten other local government areas. Extension of lessons learned in Bingara is therefore relatively easy.

• Bingara is a large enough town to be used as a test case, but small enough for this to be done at reasonable cost

• We have a community and local government enthusiastic to embrace the opportunity

• We have a track record of commitment and success

3. To maximise Energy Savings: It seems very clear that there is major potential to minimise energy costs through greater efficiencies – indeed, it is clear that any proposal to install alternatives should be accompanied by a program to maximise efficiencies. Ideas Include:

• Town/group/individual audit to create base line data

• New generation smart meters to enable individual monitoring, measuring of efficiency. BP Solar suggests themselves and Country Energy partner in the supply of smart meters and in-home displays for residents – with a resident employed and trained in conducting energy audits.

• Community must have ownership of the process to generate behavioural changes

• Community education program including objective analysis of financial benefit

• Competition intra and inter town/ rewards for change – financial, “feel good”, environmental, “green” dollars

• Promotional benefits from town sharing success stories

• Shire wide project

• In addition to “Tidy Towns” develop “Energy Efficient Towns”.

• Strategic partnerships – community, local govt, Country Energy, State & Fed Govts.

• House design, insulation – GSC can give lead through public buildings, publicise success stories locally, demonstration house as role model/ tourist facility & for general education – design part of local education process. Collective purchasing.

2. Immediate Opportunities

1. Schools: $50,000 per school immediately available for solar installations. Use network to be amongst the first schools to take advantage. Put in the context of the “solar town” program – design education to fully involve school and broader community

2. Individuals: $8000 per house for solar installation (ended June 10, 2009) . Cut cost by group purchasing and negotiate for further assistance. Organise financing – e.g. New England Credit Union. Package loans to take hassle and perceived costs out of the transaction – i.e. match payback period on electricity saving. Do financial analysis for the community. Publicity for success stories. Total amount of funding under both these programs limited so advantage in moving quickly.

3. Upgrade existing power supply: Country Energy advised that the connection of the North/South supply systems is part of a future agenda. Potential exists to bring this forward, at the same time encouraging line upgrades. Country Energy has undertaken to provide data on the energy profile of the existing system.

4. Establish a community hub for sustainable energy (suggested by Nigel Morris). Research Alice Springs Solar City model. Combination of employees and volunteers to research and drive the process. Work with relevant partners such as Country Energy and BP Solar to develop a plan of attack and understand and manage the infrastructure and commercial issues. Undertake a role of lobbying for more commercial feed in tariffs (which are necessary to make solar power truly commercial) and partner with relevant parties for a FIT trial (note: the electricity drainage in delivery from base load power stations to the end of the line may be as high as 70%, in itself justifying a significantly higher FIT)

3. Solar Thermal Power Plant: As advised by Wes Stein, a Solar thermal power station will be commissioned somewhere in NSW in the next 2 years, and “why not” Bingara? This could be a major project, employing around 100 people during its construction phase and up to 50 permanents. It would also offer major tourism potential and cement the role of Bingara as an educational hub for alternative energy. There are other alternatives, including large scale photovoltaic (PV) systems for solar farms. This should be the ultimate goal of the energy team, building on all the hard work in identifying Bingara as a Solar Town.

4. Integrated Network Program trial – Country Energy is seeking partnerships to trial a system of “smart energy” in rural NSW. Gwydir Shire Council has expressed an interest in being considered as a trial site.

At the National Press Club address on 10 June 2009, the Managing Director of IBM Australia & New Zealand, Glen Boreham outlined the future prospects of smart energy systems and spoke supportively of the trials planned by Country Energy.

Conclusion:

It is clear that the motivation to seek “cleaner”, renewable energy sources is a matter of NOW rather than when. The synergies that can be gained by engaging small rural centres as the catalyst for change have been overlooked or simply not seen by those involved in planning for these changes.

Small, co-operative projects at this level can achieve much.

• By their scale they are at less cost and less risk.

• They are simply integrated within a smaller technical system, more easily monitored and maintained.

• They provide a true grid / node system which reduces energy losses and increases reliability of supply.

• They can engage community and local government partnerships, improving efficiency and thus are more independent of the large scale energy economy system.

• They can “show the way” forward and become a test case and a catalyst for change.

Our committee recommends the consideration of Regenerative Energy for Rural Communities as a cost effective, technically feasible, community focused project, to progress Australia’s “nation building” move to a clean “regenerated” energy future.

Garry McDouall – President 2008 Ph: 0428 834 281

Rick Hutton – President 2009 Ph: 0428 255 380

Bingara and District VISION 20/20 - June 2009