A major independent review has delivered a stark warning about the government body responsible for steering Western Australia's shift away from fossil fuels. The report suggests the very department created to manage the energy transition could be hindering the state's move from coal.
Critical Findings of the Independent Review
The review, commissioned by the state government and led by consultant Leah Grolman, took a deep look at the Department of Energy, Mines, Industry Regulation and Safety (DEMIRS). It found the department's structure and culture may be "inadvertently slowing the state's energy transition" rather than accelerating it.
One of the core issues identified is a potential conflict of interest. DEMIRS holds the dual roles of both promoting resource development, including fossil fuels, and regulating the safety and environmental impacts of that same sector. The review argues this creates an internal tension that can stymie progress towards a clean energy future.
"The review found that the current structure of DEMIRS may not be optimal for driving the energy transition," the report states. It points to a risk that the department's historical ties to the mining and resources industry could lead to an "unconscious bias" favouring traditional energy sources over new, renewable technologies.
Government's Response and Proposed Changes
Premier Roger Cook acknowledged the review's findings, stating the government accepts all seven of its recommendations. The key proposal is to split DEMIRS into two separate entities by the end of 2024.
One new department will focus squarely on the energy transition and renewable industries. The other will handle the regulation of resources, workplace safety, and industrial relations. This structural shake-up aims to eliminate the perceived conflict and create a dedicated agency with the clear mandate to drive the shift to renewables.
"We need to make sure that we have a department that is focused on the energy transition and making sure we bring online the new renewable energy capacity that we need," Premier Cook said. He emphasised that the changes are designed to ensure the government apparatus is "fit for purpose" to meet the state's ambitious climate targets.
Implications for WA's Energy Future
This review comes at a critical juncture for Western Australia's economy and environment. The state has committed to shutting down all state-owned coal-fired power stations by 2030. However, the private-owned coal plants, which supply a significant portion of the South West grid's power, do not have a legislated closure date.
The report's warning underscores the complex challenge of managing a phased exit from coal while ensuring energy security and affordability. A poorly managed transition could lead to higher electricity prices, job losses in traditional sectors, and investment uncertainty.
By proposing a dedicated energy transition department, the government aims to provide clearer leadership and policy direction. The success of this restructuring will be measured by its ability to:
- Accelerate investment in renewable generation and storage.
- Manage the orderly retirement of coal assets.
- Support workers and communities affected by the shift.
- Maintain reliable and affordable power for households and industry.
The government's full response to the review and the detailed timeline for the departmental split are expected to be closely watched by industry, investors, and environmental groups alike. The move represents a significant attempt to align the machinery of government with the urgent task of building a post-coal economy.
