Latest news with #OxfordEconomicsAustralia
The Advertiser
6 hours ago
- Business
- The Advertiser
All energy costs rise but small nuclear most reactive
Next-generation nuclear reactors are the most expensive of all energy-producing technologies, a report has found, and would significantly increase electricity prices in Australia. Establishing a large-scale nuclear power plant for the first time would also require more than double the typical costs, and estimates for wind projects had inflated by four per cent due to unforeseen requirements. The CSIRO, Australia's national science agency, released its GenCost report on Tuesday, revealing rising construction and finance costs would push up prices for energy projects of all kinds in the coming years. The findings come after a heated debate about introducing nuclear power to Australia and after members of the federal coalition questioned the nation's reliance on renewable energy projects to achieve net zero by 2050. The final GenCost report for 2024-2025 analysed the cost of several energy-generating technologies, including variations of coal, gas, nuclear, solar and wind projects. Renewable technology continued to provide the cheapest energy generation, the report's lead author and CSIRO chief energy economist Paul Graham said. "We're still finding that solar PV and wind with firming is the lowest-cost, new build low-emission technology," he told AAP. "In second place is gas with (carbon capture storage) ... then large-scale nuclear, black coal with CCS, then the small modular reactors." Small modular nuclear reactors proved the most expensive technology of the eight options by a large margin, with the report basing its costs on Canada's Darlington nuclear project, announced in May. The 1200-megawatt development is estimated to cost $23.2 billion and will be the first commercial small modular reactor built in a Western country. The new reactors produce one-third the power of typical nuclear reactors and can be built on sites not suitable for larger plants, but have only been built in China and Russia. "This is a big deal for Canada - it's their first nuclear build in 30 years," Mr Graham said. "It's not just about meeting electricity demand ... they've said a few things that indicate they're trying to build a nuclear SMR industry and export the technology." In addition to the cost of different technologies, the report estimated "premiums" for establishing first-of-a-kind energy projects, with the first large-scale nuclear project expected to command 120 per cent more and the first offshore wind development expected to cost an extra 63 per cent. The cost of wind projects also grew by four per cent as researchers factored in building work camps to accommodate remote employees, and capital financing costs rose by one per cent. Developing energy projects was also expected to cost between six and 20 per cent more by 2050, the report found, due to the rising price of materials such as cement and wages, as detailed in a report by Oxford Economics Australia. Findings from the CSIRO report would help inform the design of future energy infrastructure, Australian Energy Market Operator system design executive general manager Merryn York said. "We'll use the capital costs for generation and storage from GenCost in the upcoming Draft Integrated System Plan in December," she said. Nuclear technology is banned as an energy source in Australia, which has a target of achieving 82 per cent renewable energy in the national grid by 2030 and reaching net zero by 2050. Next-generation nuclear reactors are the most expensive of all energy-producing technologies, a report has found, and would significantly increase electricity prices in Australia. Establishing a large-scale nuclear power plant for the first time would also require more than double the typical costs, and estimates for wind projects had inflated by four per cent due to unforeseen requirements. The CSIRO, Australia's national science agency, released its GenCost report on Tuesday, revealing rising construction and finance costs would push up prices for energy projects of all kinds in the coming years. The findings come after a heated debate about introducing nuclear power to Australia and after members of the federal coalition questioned the nation's reliance on renewable energy projects to achieve net zero by 2050. The final GenCost report for 2024-2025 analysed the cost of several energy-generating technologies, including variations of coal, gas, nuclear, solar and wind projects. Renewable technology continued to provide the cheapest energy generation, the report's lead author and CSIRO chief energy economist Paul Graham said. "We're still finding that solar PV and wind with firming is the lowest-cost, new build low-emission technology," he told AAP. "In second place is gas with (carbon capture storage) ... then large-scale nuclear, black coal with CCS, then the small modular reactors." Small modular nuclear reactors proved the most expensive technology of the eight options by a large margin, with the report basing its costs on Canada's Darlington nuclear project, announced in May. The 1200-megawatt development is estimated to cost $23.2 billion and will be the first commercial small modular reactor built in a Western country. The new reactors produce one-third the power of typical nuclear reactors and can be built on sites not suitable for larger plants, but have only been built in China and Russia. "This is a big deal for Canada - it's their first nuclear build in 30 years," Mr Graham said. "It's not just about meeting electricity demand ... they've said a few things that indicate they're trying to build a nuclear SMR industry and export the technology." In addition to the cost of different technologies, the report estimated "premiums" for establishing first-of-a-kind energy projects, with the first large-scale nuclear project expected to command 120 per cent more and the first offshore wind development expected to cost an extra 63 per cent. The cost of wind projects also grew by four per cent as researchers factored in building work camps to accommodate remote employees, and capital financing costs rose by one per cent. Developing energy projects was also expected to cost between six and 20 per cent more by 2050, the report found, due to the rising price of materials such as cement and wages, as detailed in a report by Oxford Economics Australia. Findings from the CSIRO report would help inform the design of future energy infrastructure, Australian Energy Market Operator system design executive general manager Merryn York said. "We'll use the capital costs for generation and storage from GenCost in the upcoming Draft Integrated System Plan in December," she said. Nuclear technology is banned as an energy source in Australia, which has a target of achieving 82 per cent renewable energy in the national grid by 2030 and reaching net zero by 2050. Next-generation nuclear reactors are the most expensive of all energy-producing technologies, a report has found, and would significantly increase electricity prices in Australia. Establishing a large-scale nuclear power plant for the first time would also require more than double the typical costs, and estimates for wind projects had inflated by four per cent due to unforeseen requirements. The CSIRO, Australia's national science agency, released its GenCost report on Tuesday, revealing rising construction and finance costs would push up prices for energy projects of all kinds in the coming years. The findings come after a heated debate about introducing nuclear power to Australia and after members of the federal coalition questioned the nation's reliance on renewable energy projects to achieve net zero by 2050. The final GenCost report for 2024-2025 analysed the cost of several energy-generating technologies, including variations of coal, gas, nuclear, solar and wind projects. Renewable technology continued to provide the cheapest energy generation, the report's lead author and CSIRO chief energy economist Paul Graham said. "We're still finding that solar PV and wind with firming is the lowest-cost, new build low-emission technology," he told AAP. "In second place is gas with (carbon capture storage) ... then large-scale nuclear, black coal with CCS, then the small modular reactors." Small modular nuclear reactors proved the most expensive technology of the eight options by a large margin, with the report basing its costs on Canada's Darlington nuclear project, announced in May. The 1200-megawatt development is estimated to cost $23.2 billion and will be the first commercial small modular reactor built in a Western country. The new reactors produce one-third the power of typical nuclear reactors and can be built on sites not suitable for larger plants, but have only been built in China and Russia. "This is a big deal for Canada - it's their first nuclear build in 30 years," Mr Graham said. "It's not just about meeting electricity demand ... they've said a few things that indicate they're trying to build a nuclear SMR industry and export the technology." In addition to the cost of different technologies, the report estimated "premiums" for establishing first-of-a-kind energy projects, with the first large-scale nuclear project expected to command 120 per cent more and the first offshore wind development expected to cost an extra 63 per cent. The cost of wind projects also grew by four per cent as researchers factored in building work camps to accommodate remote employees, and capital financing costs rose by one per cent. Developing energy projects was also expected to cost between six and 20 per cent more by 2050, the report found, due to the rising price of materials such as cement and wages, as detailed in a report by Oxford Economics Australia. Findings from the CSIRO report would help inform the design of future energy infrastructure, Australian Energy Market Operator system design executive general manager Merryn York said. "We'll use the capital costs for generation and storage from GenCost in the upcoming Draft Integrated System Plan in December," she said. Nuclear technology is banned as an energy source in Australia, which has a target of achieving 82 per cent renewable energy in the national grid by 2030 and reaching net zero by 2050. Next-generation nuclear reactors are the most expensive of all energy-producing technologies, a report has found, and would significantly increase electricity prices in Australia. Establishing a large-scale nuclear power plant for the first time would also require more than double the typical costs, and estimates for wind projects had inflated by four per cent due to unforeseen requirements. The CSIRO, Australia's national science agency, released its GenCost report on Tuesday, revealing rising construction and finance costs would push up prices for energy projects of all kinds in the coming years. The findings come after a heated debate about introducing nuclear power to Australia and after members of the federal coalition questioned the nation's reliance on renewable energy projects to achieve net zero by 2050. The final GenCost report for 2024-2025 analysed the cost of several energy-generating technologies, including variations of coal, gas, nuclear, solar and wind projects. Renewable technology continued to provide the cheapest energy generation, the report's lead author and CSIRO chief energy economist Paul Graham said. "We're still finding that solar PV and wind with firming is the lowest-cost, new build low-emission technology," he told AAP. "In second place is gas with (carbon capture storage) ... then large-scale nuclear, black coal with CCS, then the small modular reactors." Small modular nuclear reactors proved the most expensive technology of the eight options by a large margin, with the report basing its costs on Canada's Darlington nuclear project, announced in May. The 1200-megawatt development is estimated to cost $23.2 billion and will be the first commercial small modular reactor built in a Western country. The new reactors produce one-third the power of typical nuclear reactors and can be built on sites not suitable for larger plants, but have only been built in China and Russia. "This is a big deal for Canada - it's their first nuclear build in 30 years," Mr Graham said. "It's not just about meeting electricity demand ... they've said a few things that indicate they're trying to build a nuclear SMR industry and export the technology." In addition to the cost of different technologies, the report estimated "premiums" for establishing first-of-a-kind energy projects, with the first large-scale nuclear project expected to command 120 per cent more and the first offshore wind development expected to cost an extra 63 per cent. The cost of wind projects also grew by four per cent as researchers factored in building work camps to accommodate remote employees, and capital financing costs rose by one per cent. Developing energy projects was also expected to cost between six and 20 per cent more by 2050, the report found, due to the rising price of materials such as cement and wages, as detailed in a report by Oxford Economics Australia. Findings from the CSIRO report would help inform the design of future energy infrastructure, Australian Energy Market Operator system design executive general manager Merryn York said. "We'll use the capital costs for generation and storage from GenCost in the upcoming Draft Integrated System Plan in December," she said. Nuclear technology is banned as an energy source in Australia, which has a target of achieving 82 per cent renewable energy in the national grid by 2030 and reaching net zero by 2050.
Perth Now
6 hours ago
- Business
- Perth Now
All energy costs rise but small nuclear most reactive
Next-generation nuclear reactors are the most expensive of all energy-producing technologies, a report has found, and would significantly increase electricity prices in Australia. Establishing a large-scale nuclear power plant for the first time would also require more than double the typical costs, and estimates for wind projects had inflated by four per cent due to unforeseen requirements. The CSIRO, Australia's national science agency, released its GenCost report on Tuesday, revealing rising construction and finance costs would push up prices for energy projects of all kinds in the coming years. The findings come after a heated debate about introducing nuclear power to Australia and after members of the federal coalition questioned the nation's reliance on renewable energy projects to achieve net zero by 2050. The final GenCost report for 2024-2025 analysed the cost of several energy-generating technologies, including variations of coal, gas, nuclear, solar and wind projects. Renewable technology continued to provide the cheapest energy generation, the report's lead author and CSIRO chief energy economist Paul Graham said. "We're still finding that solar PV and wind with firming is the lowest-cost, new build low-emission technology," he told AAP. "In second place is gas with (carbon capture storage) ... then large-scale nuclear, black coal with CCS, then the small modular reactors." Small modular nuclear reactors proved the most expensive technology of the eight options by a large margin, with the report basing its costs on Canada's Darlington nuclear project, announced in May. The 1200-megawatt development is estimated to cost $23.2 billion and will be the first commercial small modular reactor built in a Western country. The new reactors produce one-third the power of typical nuclear reactors and can be built on sites not suitable for larger plants, but have only been built in China and Russia. "This is a big deal for Canada - it's their first nuclear build in 30 years," Mr Graham said. "It's not just about meeting electricity demand ... they've said a few things that indicate they're trying to build a nuclear SMR industry and export the technology." In addition to the cost of different technologies, the report estimated "premiums" for establishing first-of-a-kind energy projects, with the first large-scale nuclear project expected to command 120 per cent more and the first offshore wind development expected to cost an extra 63 per cent. The cost of wind projects also grew by four per cent as researchers factored in building work camps to accommodate remote employees, and capital financing costs rose by one per cent. Developing energy projects was also expected to cost between six and 20 per cent more by 2050, the report found, due to the rising price of materials such as cement and wages, as detailed in a report by Oxford Economics Australia. Findings from the CSIRO report would help inform the design of future energy infrastructure, Australian Energy Market Operator system design executive general manager Merryn York said. "We'll use the capital costs for generation and storage from GenCost in the upcoming Draft Integrated System Plan in December," she said. Nuclear technology is banned as an energy source in Australia, which has a target of achieving 82 per cent renewable energy in the national grid by 2030 and reaching net zero by 2050.
West Australian
6 hours ago
- Business
- West Australian
All energy costs rise but small nuclear most reactive
Next-generation nuclear reactors are the most expensive of all energy-producing technologies, a report has found, and would significantly increase electricity prices in Australia. Establishing a large-scale nuclear power plant for the first time would also require more than double the typical costs, and estimates for wind projects had inflated by four per cent due to unforeseen requirements. The CSIRO, Australia's national science agency, released its GenCost report on Tuesday, revealing rising construction and finance costs would push up prices for energy projects of all kinds in the coming years. The findings come after a heated debate about introducing nuclear power to Australia and after members of the federal coalition questioned the nation's reliance on renewable energy projects to achieve net zero by 2050. The final GenCost report for 2024-2025 analysed the cost of several energy-generating technologies, including variations of coal, gas, nuclear, solar and wind projects. Renewable technology continued to provide the cheapest energy generation, the report's lead author and CSIRO chief energy economist Paul Graham said. "We're still finding that solar PV and wind with firming is the lowest-cost, new build low-emission technology," he told AAP. "In second place is gas with (carbon capture storage) ... then large-scale nuclear, black coal with CCS, then the small modular reactors." Small modular nuclear reactors proved the most expensive technology of the eight options by a large margin, with the report basing its costs on Canada's Darlington nuclear project, announced in May. The 1200-megawatt development is estimated to cost $23.2 billion and will be the first commercial small modular reactor built in a Western country. The new reactors produce one-third the power of typical nuclear reactors and can be built on sites not suitable for larger plants, but have only been built in China and Russia. "This is a big deal for Canada - it's their first nuclear build in 30 years," Mr Graham said. "It's not just about meeting electricity demand ... they've said a few things that indicate they're trying to build a nuclear SMR industry and export the technology." In addition to the cost of different technologies, the report estimated "premiums" for establishing first-of-a-kind energy projects, with the first large-scale nuclear project expected to command 120 per cent more and the first offshore wind development expected to cost an extra 63 per cent. The cost of wind projects also grew by four per cent as researchers factored in building work camps to accommodate remote employees, and capital financing costs rose by one per cent. Developing energy projects was also expected to cost between six and 20 per cent more by 2050, the report found, due to the rising price of materials such as cement and wages, as detailed in a report by Oxford Economics Australia. Findings from the CSIRO report would help inform the design of future energy infrastructure, Australian Energy Market Operator system design executive general manager Merryn York said. "We'll use the capital costs for generation and storage from GenCost in the upcoming Draft Integrated System Plan in December," she said. Nuclear technology is banned as an energy source in Australia, which has a target of achieving 82 per cent renewable energy in the national grid by 2030 and reaching net zero by 2050.
Yahoo
17-07-2025
- Business
- Yahoo
Australia's jobless rate hits 3-1/2-year high, ramps up easing bets for August
By Stella Qiu SYDNEY (Reuters) -Australian employment rose only marginally in June as the jobless rate jumped to the highest since late 2021, showing perhaps the first crack in what had been an unusually resilient labour market and adding to the case for a rate cut next month. Investors sent the Australian dollar down 0.7% to $0.6480, the lowest in over three weeks. Three-year government bond yields slid 10 basis points to 3.386% as markets ramped up bets for an August rate cut to 85% from 76% previously. Figures from the Australian Bureau of Statistics out on Thursday showed net employment rose 2,000 in June from May, when it fell by an upwardly revised 1,100. That was well short of market forecasts for a 20,000 increase, though the series has been volatile in recent months. Most importantly, the jobless rate popped up to 4.3%, from 4.1%, the highest since November 2021 and a jolt after months of stable readings. The Reserve Bank of Australia was expecting the unemployment rate to peak at 4.3% by the end of the year. "While we're still not ringing the alarm bells, June's slackening is another good reason for the RBA to get a wriggle on with rate cuts," said Harry Murphy Cruise, head of economic research at Oxford Economics Australia. "Looking ahead, the labour market has a number of challenges nipping at its heels. First and foremost, President Trump's tariffs are weighing on business investment and prompting some firms to rethink hiring plans." The labour market had proven unexpectedly resilient even as the economy overall barely grew. That was a reason that the RBA shocked markets earlier this month and held interest rates steady at 3.85%, having cut them twice this year. It is still not convinced inflation has been tamed, and is waiting for confirmation from the third quarter consumer price data due at the end of July. So far, the reductions in interest rates have done little to spur consumers into spending, and economic growth has stayed subdued. Details of the Thursday's report were weak. Full-time jobs dropped 38,200 in June, while hours worked fell back 0.9% after a sharp rise in May. The participation rate ticked up to 67.1%. That was somewhat at odds with leading indicators such as job vacancies, which showed signs of steadying after falling from their peaks in 2022, up 2.9% in the May quarter. Private sector data for June also showed job ads rebounded to one-year highs. "There are clear signs of deceleration emerging in the labour market. This calls into question the RBA's decision to prioritise inflation over growth and jobs at its meeting earlier this month," said Tony Sycamore, analyst at IG. "The RBA will no doubt be keen to make amends at its meeting in August." Sign in to access your portfolio
TimesLIVE
17-07-2025
- Business
- TimesLIVE
Australia's jobless rate hits 3-1/2-year high, ramps up easing bets for August
Australian employment rose only marginally in June as the jobless rate jumped to the highest since late 2021, showing perhaps the first crack in what had been an unusually resilient labour market and adding to the case for a rate cut next month. Investors sent the Australian dollar down 0.7% to $0.6480, the lowest in more than three weeks. Three-year government bond yields slid 10 basis points to 3.386% as markets ramped up bets for an August rate cut to 85% from 76% previously. Figures from the Australian bureau of statistics on Thursday showed net employment rose 2,000 in June from May, when it fell by an upwardly revised 1,100. That was well short of market forecasts for a 20,000 increase, though the series has been volatile in recent months. Most importantly, the jobless rate popped up to 4.3%, from 4.1%, the highest since November 2021 and a jolt after months of stable readings. The Reserve Bank of Australia was expecting the unemployment rate to peak at 4.3% by the end of the year. 'While we're not ringing the alarm bells, June's slackening is another good reason for the Reserve Bank of Australia (RBA) to get a wriggle on with rate cuts,' said Harry Murphy Cruise, head of economic research at Oxford Economics Australia. 'Looking ahead, the labour market has challenges nipping at its heels. First and foremost, US President Donald Trump's tariffs are weighing on business investment and prompting some firms to rethink hiring plans.' The labour market had proven unexpectedly resilient even as the economy overall barely grew. That was a reason the RBA shocked markets earlier this month and held interest rates steady at 3.85%, having cut them twice this year. It is not convinced inflation has been tamed, and is waiting for confirmation from the third quarter consumer price data due at the end of July. So far the reductions in interest rates have done little to spur consumers into spending, and economic growth has stayed subdued. Details of Thursday's report were weak. Full-time jobs dropped 38,200 in June, while hours worked fell back 0.9% after a sharp rise in May. The participation rate ticked up to 67.1%. That was somewhat at odds with leading indicators such as job vacancies, which showed signs of steadying after falling from their peaks in 2022, up 2.9% in the May quarter. Private sector data for June also showed job ads rebounded to one-year highs. 'There are clear signs of deceleration emerging in the labour market. This calls into question the RBA's decision to prioritise inflation over growth and jobs at its meeting earlier this month,' said Tony Sycamore, analyst at IG. 'The RBA will no doubt be keen to make amends at its meeting in August.'
