What happens when energy is free (part 2)?

It’s approaching 10 years since (in April 2016) we asked the question ‘What happens when energy is free?’.

Well, this morning (Tuesday 4th November 2025) Minister Chris Bowen dropped the Media Release ‘More Australian homes to get access to solar power’, which means that (to some extent) we’re about to get a broader experiment that might provide some answers (with some caveats) to this question:

2025-11-04-ChrisBowen-MediaRelease-3HoursFreePower

 

Understandably, this caused a bit of buzz …

 

(A)  News Media commentary about the ‘Three Hours Free’

So far today I have come across commentary in a range of places, including the following:

1)  In the AFR we have seen…

(a)  Yesterday evening, Ryan Cropp wrote ‘Labor to force retailers to offer three hours of free power’.

(b)  Emma McGrath-Cohen write ‘Bowen makes ‘no apology’ to energy companies over three-hour free energy plan’ in the ‘Live’ section.

(c)  Maybe more later?

 

2)  In the Australian we have seen …

(a)  Paul Garvey wrote ‘Chris Bowen’s free-energy plan ‘another poorly thought-through’ market intervention’.

(b)  There’s an Editorial about ‘Chris Bowen’s free power plan just another meal for the rich’

(c)  Maybe more later?

 

3)  In the Guardian we have seen …

(a)  Yesterday, Adam Morton wrote ‘Australians to get at least three hours a day of free solar power – even if they don’t have solar panels’.

 

4)  In SMH and the Age we have seen …

(a)  Yesterday evening, Mike Foley wrote ‘Three hours of free power for everyone from July – but there’s a catch’.

 

5)  In RenewEconomy we have seen …

(a)  Yesterday evening, Sophie Vorrath wrote ‘Solar Sharer: Bowen wants retailers to offer free electricity for three hours in middle of every day’

(a)  Tristan Edis wrote ‘Free electricity in the middle of the day is not free of risks’

 

6)  In PV Magazine we have seen …

(a)  Ev Foley wrote ‘Electricity retailers to offer three hour window of free power from 1 July 2026’.

 

7)  In the ABC we have seen …

(a)  Jake Evans wrote ‘Australians to get three hours of free electricity every day under solar scheme’

(b)  and Monty Jacka wrote ‘Some Australian states are set to get a free electricity period every day’

 

8)  In The Energy we have seen …

(a)  Marion Rae wrote ‘Solar Sharer to exploit zero-cost power’ this morning.

 

9)  In Michael West Media we have seen …

(a)  the AAP article ‘Fears ‘free’ electricity could come with hidden costs’.

 

As a reader here, if you come across any other useful commentary, feel free to add as a comment below.

 

(B)  Commentary from Industry Organisations

So far today I have come across commentary in a range of places, including the following:

 

1)  From the Energy Users Association of Australia (EUAA) …

(a) Did not see anything yet.

 

2)  From the Energy Consumers Australia (ECA) …

(a) Did not see anything yet.

 

3)  From the Australian Energy Council (AEC) …

(a)  They have released this ‘Statement on Solar Sharer’ on Tuesday 4th November 2025.

 

4)  From the Clean Energy Council (CEC) …

(a)  They have released this ‘Sun-powered savings: New scheme cuts bills and eases pressure on the grid’ on Tuesday 4th November 2025.

 

5)  From the Smart Energy Council (SEC) …

(a)  Did not see anything yet.

 

6)  From the Energy Networks Association (ENA) …

(a) Did not see anything yet.

 

(C)  Across the highpoints on Social Media

If we see anything (that we think is) particularly insightful on Social Media (and we have the time!) we’ll look to note it here:

1)  It’s probably entirely coincidental, but useful to highlight the article ‘Getting back to basics: LRMC in a renewable system’ by Endgame Analytics that was published today.

2)  More to come…

 

About the Author

Paul McArdle
Paul was one of the founders of Global-Roam in February 2000. He is currently the CEO of the company and the principal author of WattClarity. Writing for WattClarity has become a natural extension of his work in understanding the electricity market, enabling him to lead the team in developing better software for clients. Before co-founding the company, Paul worked as a Mechanical Engineer for the Queensland Electricity Commission in the early 1990s. He also gained international experience in Japan, the United States, Canada, the UK, and Argentina as part of his ES Cornwall Memorial Scholarship.

1 Comment on "What happens when energy is free (part 2)?"

  1. What an absolutely absurd policy by Labor. They created this mess by promoting renewables despite common knowledge of the duck curve.

    Retailers will increase their shoulder and evening tariffs to compensate which is when moat people have unavoidable energy usage.

    Free aircon but more expensive dinners and hot water.

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