A big player in the energy sector says Australians will pay more for power.

At a recent address to the National Press Club, Jeff Dimery, the CEO of Alinta Energy, outlined the financial implications of Australia's transition to renewable energy. 

Dimery said that the move toward a net-zero system by 2050 would inevitably increase the cost of energy for Australians.

“You came here for truths and straight talking about the transition, so here's a doozy,” Dimery announced.

“Australians will have to pay more for energy in the future.”

Dimery said a range of economic factors are driving up costs. 

“Capital costs more, labour costs more, transmission costs are rising,” he explained. 

As the government aims for renewable sources to generate more than 80 per cent of Australia’s electricity by 2030, Dimery labelled the 2050 net-zero goal as a “monumental task”, and frankly admitted; “We will struggle”. 

Addressing the complications posed by the growing popularity of household solar systems, Dimery pointed out that subsidised installations are creating an over-supply during low-demand periods, which undermines the economics of large-scale renewable energy projects. 

“Coal and rooftop solar will be locked into a negative feedback loop,” he said. 

The full address can be seen below: