A report has called into question the State Government’s explanation as to why the sale of Aurora Energy collapsed.
The Government pulled Aurora off the market last month, citing upheaval in the national energy market for a lack of interest in the asset.
At the time, industry insiders blamed the failure to sell Aurora on the Government’s decision not to strip Hydro Tasmania of the ability to sell the power it generates.
That was dismissed by the Government.
Energy consultant Marc White has released a report suggesting the Government got it wrong.
Mr White surveyed six retailers about buying the state-owned business.
He says they all named Hydro Tasmania’s market dominance as a key deterrent to investing in the state.
“All of the retailers we interviewed basically said their main concerns were being capped between a price-capping regulator and locked between a monopoly generator,” he said.
Zoe Edwards’ full report, ABC here
• Kim Booth: Hydro Tasmania’s monopoly power was still the biggest barrier to cheaper electricity
• Kim Booth: Time to revisit energy policy
• ABC, Oct 17: Hydro reveals $250m loss after asset writedown
• Renewable energy group welcomes red-tape reduction
• Kim Booth: The disastrous decision in 2008 to purchase the Tamar Valley Power Station
