What SA is today saying is that they wont meet that threshold, Frydenberg said. They are talking about a much lower threshold to intervene. Arguably, that may be in contravention with the national electricity market rules and therefore that is something that we will take advice on. South Australian premier Jay Weatherills $550m energy plan will also fund a new $360m state-owned gas-fired power plant, provide a $150m renewable technology fund add $24m for gas exploration grants. The premier has also pledged to provide 10% of gas royalties to landholders who allow access for conventional gas and fracking development. The plan attracted mixed reactions with energy companies welcoming more gas development while green groups criticised the states investment in a state-owned gas plant. However, industry and environment groups were united in calling for the federal government to provide more certainty though a national energy policy. The federal government has charged Australias chief scientist, Alan Finkel, to review national energy security and he will report later this year. However, Malcolm Turnbull already ruled out an emissions intensity scheme (EIS) after conservative members of his party room objected to an industry wide carbon price. At the same time, energy companies, the National Farmers Federation , Energy Networks Australia , the retailer Energy Australia, the electricity provider AGL , the Climate Change Authority, the Business Council of Australia and the CSIRO have all supported an EIS. Matthew Warren, of the Australian Energy Council, said the South Australian plan was treating the symptoms of no national energy strategy and states could not solve the problem on their own.
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