The cryptocurrency bubble is one of many examples of wishful groupthink. Another is the overwhelming hype associated with renewable energy technologies, specifically wind and solar. While the scaling up of such projects in Australia is remarkable – and the increasing output of clean energy impressive – much of the ideological rhetoric remains overcooked, overhyped and down­right irresponsible.

It is claimed by Climate Change and Energy Minister Chris Bowen and the teal independent MPs that renewable energies will a) reduce emissions and b) make Australia a “renewable energy superpower” while c) creating jobs and d) lowering power bills – all at the same time. It would be nice if this were true. And it is understandable that many people want this to be true. But reality has a way of making itself known, and much of this hype eventually will lead to pain.
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Many claims about renewables, as with cryptocurrencies, sound grand in theory. String a few abstract concepts together, sprinkle with jargon, marinate in ideology and boom, a claim can sound plausible to the untrained listener. And while it may be true that we need to transition to renewables to meet our net-zero obligations, and that we can scale up solar and wind rapidly with enough government subsidy, this by no means guarantees cheaper power prices for consumers or ensures jobs for those bearing the brunt of the transition.

It would be better if our leaders, and the Energy Minister in particular, were honest with Australians about the pain and hardship our energy transition will bring. Given that the public is overwhelmingly supportive of action on climate change, this would be real leadership, which might be rewarded by the elect­orate. But concealing the difficulty and engaging in wishful thinking will lead only to more shock and anger down the track when promised outcomes fail to materialise.

As Munger says, to be rational we need to “recognise reality even when you don’t like it – especially when you don’t like it”.
https://www.theaustralian.com.au/commentary/from-crypto-to-renewables-dont-buy-i...