International Energy Policy

International Energy Policy 1
Running Head: International Energy Policy
International Energy Policy

International Energy Policy 2
Executive summary
The report was developed with an aim to analyze the different policies of renewable resources
for micro-grids in context of Western Australia. In order to fulfill the purpose of the report
various literatures are reviewed for understanding the problems associated with different options
of renewable resources as well as the interest of Australian Government. In addition to this,
different options of renewable sources of energy such as solar, wind, and hydro are identified
and discussed. A plan for monitoring and evaluation of the implementation of solar based micro-
grids is also provided in the report. It was analyzed that renewable sources have less network
costs and increased stability. It was also analyzed that solar micro-grid is the most appropriate
option for electrifying remote areas of Western Australia due to its cost effectiveness, easy
installation and manageable challenges. It can be concluded that use of renewable energy source
will be effective in electrification and will also helpful in raising the living standard of the local
people of Western Australia. It is recommended to use solar micro-grids as the wind and hydro
energy are not cost effective and there is limited availability of surface water for using hydro
energy for generating electricity.

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Table of Contents
Executive summary.........................................................................................................................2
Introduction......................................................................................................................................4
Literature review..............................................................................................................................5
b) Evaluation criteria for energy policy in remote area of Western Australia.................................7
c) Identification of alternative policy options for energy policy development.............................10
d) Evaluation of the proposed policy options................................................................................11
e) Summary of alternative option..................................................................................................13
f) Monitoring and evaluation plan.................................................................................................15
Conclusion.....................................................................................................................................17
References......................................................................................................................................18

International Energy Policy 4
Introduction
The use of renewable sources is becoming challenging for the society as the natural resources are
limited and the users as population is increasing day by day. In relation to this, an energy policy
of for electricity consumption is evaluated and proposed for Western Australia’s remote area as
these areas are facing the challenges while consuming the traditional or non- renewable sources
of energy. Literature review is undertaken for defining the problem at local level. Along with
this, an evaluation criterion is also assessed in order to review the energy policy as integration
and implementation level. The energy evaluation is carried out with respect to the financial
ability, government resources and interest, political challenges, energy policy and environmental
strategies. In addition to this, the alternative energy policies are also described with respect to its
reliability and consumption efficiencies. The energy policy is also assessed with respect to the
methods of evaluation as cost- benefit analysis, multi criteria decision method and the
combination of these analytical methods. The alternative policy is also summarized in precise
manner so that it can be understood by the stakeholders with concern to determining the
challenges and opportunities. Moreover, a plan is also developed for the monitoring and
evaluating to devised alternative policy for the remote areas of Western Australia in order to
fulfill the need of energy.

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Literature review
In the words of Hassan, Humayun, Ullah, Liu and Fang, (2017), the electricity has become an
essential need for the society and it is necessary for daily life activities so the government is also
taking actions in order to fulfill the need of people over the time. In Australia, the remote areas
are facing the challenge while using the renewable or traditional methods for the energy
consumption. In addition to this, the population of Australia is increasing as it is recorded as
24.77 million in the year 2018 and it is growing with the 1.30% rate of increasing. In addition to
this, Che, Zhang, Shahidehpour, Alabdulwahab and Abusorrah, (2017) Australian government is
also focused on developing the renewable resources in order to strengthen the energy sector for
not to depend on other sources. Over the research, it is determined that Australia uses only 6% of
its non-renewable or traditional source energy to consume for domestic use. In relation to this, it
is also assessed that Australian people are using the 14% of its renewable energy only.
Moreover, Australian government is also concerned towards the development and carrying out
the policy as Australia has developed the National Energy Guarantee policy in the year 2017,
which deals with the prices and consumption of energy in Australian market (Originenergy,
2015). At the same time, Australia’s major part of energy is generated from the traditional
sources through fossil fuels. As it generates 73% of the energy is produced from the coal and
13% from the natural gas.
Apart from this, Gov, (2018), endowed that Australian market has significant opportunities for
the establishment of micro –grid system in order to effectively produce and distribute the energy
in the remote areas of societies to provide them sources. It is also reviewed that the traditional
systems are insufficient to produce the required rate of energy so that Australian remote areas

International Energy Policy 6
can easily be served. The remote areas of Western Australia are facing the challenges for having
the sufficient system to generate, store and regulate the energy in sufficient manner. Li, Wang,
and Xiao, (2018) assessed that the micro grid is the system which is determined as flexible
solution for the renewable energy integration for different sources. The business model of micro
grids is continuously evolving and it has been moved from laboratory to community deployment
so that the problems of community can be resolved. It is a new technological improvement of
electronic system which is used for the several energy methods of integration as solar, wind and
hybrid system that is also reliable and resilience to reduce the fossil fuel emissions. Business,
(2018), reviewed that this system is also valuable for the areas where the centralized system of
energy is not enough to provide the electrical infrastructure than this technological system is
effective to develop for arrangements of electricity. In addition to this research, it is also
identified that that the major sources of energy generation in Australia are as hydro power, wind
power, solar photovoltaic, solar thermal energy, wave power and bio- energy for the society.
With respect to the economic perspectives, Australia is producing the 10% of its black coal and
the 88% of its used for the national energy purpose. On the other hand, Science, (2015), it is also
determined that 87% of its total coal production, is exported which is a significant source of
income and it is also expected that the Austria can produce for 125 years at the current rates.
Moreover, it is also researched that Australia is earning the $30 billion annually from exporting
the energy source in the international market.
On the other hand, it has become challenging for the government of Australia to supply the
sources of energy as the cost of energy sources have been increased. Along with this, the
transportation is also an issue as the price of oil and petrol is also increasing and the seasonal
transportation is also critical for the government. On the other hand, Shi, Chu and Gadh, (2017)