Thu. Oct 5th, 2023
    Lay off picking favorites: Mixed reactions to Labour’s energy proposal

    Labour’s new energy package has received a mixed reception, with some applauding the party’s commitment to renewable energy, while others express concerns about government intervention.

    The package, which includes a proposed target of 70% renewable energy for New Zealand by 2030, has been praised by environmental groups for its ambitious goal. They argue that embracing renewable energy sources will not only help combat climate change but also create job opportunities in the clean energy sector.

    However, critics of the plan argue that the government should not be in the business of picking winners in the market. They express concerns that government intervention may lead to inefficiencies and higher costs for consumers. Some suggest that instead of imposing targets, the government should create an environment that encourages competition and innovation in the energy sector.

    The term “picking winners” refers to the government’s attempt to choose certain industries or companies to support and invest in. Critics argue that this approach may distort market forces and hinder the growth of other industries that could potentially be more successful.

    Labour’s energy package also includes a plan to establish a state-owned energy retailer and a government-backed solar scheme. Supporters of the proposal believe that a state-owned retailer could provide more affordable and reliable energy options for consumers. The solar scheme is seen as a way to promote the adoption of solar energy and reduce reliance on fossil fuels.

    While the package has its supporters and critics, it is clear that the issue of energy generation and consumption is a contentious one. The government will need to carefully consider the potential impact of its policies and the balance between government intervention and market forces.

    – “Lay off picking winners”: Labour’s new energy package faces mixed reception
    – Definition of “picking winners”: Investopedia