Tackling climate change and low inflation all at once
The RBA wants to see prices rise in Australia and here is the answer: Climate science support puts pressure on Turnbull.
Malcolm Turnbull faces intensifying public pressure to phase out coal fired power stations and set stronger emissions reduction targets with new polling showing growing support for climate science and greater action to tackle the effects of dangerous climate change.
And so here is the good news: Hazelwood closure could force power prices up.
Estimates of the impact of its closure on retail electricity bills vary from an initial 25 per cent spike reducing to a 9 per cent rise – about the same as the carbon price – to a jump of less than 2 per cent.
If inflation is too low, whatever that means. this is one way to ensure that it gets too high.