Even as the NSW government is cracking down on subsidies for renewable energy generation such as rooftop solar, it is ramping up the level of subsidies provided to its coal-fired power stations by ensuring the cheap supply of coal for the next few decades. Securing a cheap source of coal has been one of the key issues for the NSW government as it seeks buyers for its energy assets and tries to keep a lid on energy costs – something that is set to emerge as a major issue in the upcoming state election. But its decision to retain ownership of the Cobbora coal project in order to guarantee long-term fuel supplies at well below market price has sounded alarm bells, and could translate to a subsidy that is worth more than $1 billion a year – or even as much as $3 billion.