BHP says long goodbye to thermal coal, looks to solar, wind and battery metals
BHP’s slow exit from the ailing thermal coal market looked more certain than ever on Thursday when the mining giant announced a $US1.6 billion write-down of the value of coal mines in New South Wales and Venezuela.
COVID offered some relief to gas prices, but cartel will ensure it won’t last long
The competition watchdog says weaker demand during the pandemic has pushed the gas spot price down, but has warned fundamental lack of competition that sees Australians paying far more for gas than overseas customers have not been resolved.
Running on empty: Altona oil plant closure sparks fuel security warnings
Unions and business have sounded the alarm over Australia’s fuel security after the closure of one of the country’s last oil refineries, ExxonMobil’s operation in Melbourne’s west, was announced this week.
Solar pushing coal plants to early extinction says ESB’s Kerry Schott
Australia’s fleet of coal-fired power plants faces early closure as renewables continue to heap pressure on their profitability during daylight hours, the government’s Energy Security Board has warned.
How Europe aims to book a seat on Australia’s hydrogen express
Europe’s bid to stake a claim rivalling that of Japan and Korea over Australia’s huge potential in green hydrogen – the energy source that could power the 21st century – is gathering steam, as state governments step up their overtures to potential European partners and customers.
‘Strip out export costs’: Gas buyers escalate pricing debate
East coast manufacturers are mounting a campaign to change the gas pricing benchmark quoted by the competition watchdog to exclude export costs as they battle for a price marker that could help them secure lower tariffs.
Next three years will be huge for big wind and solar projects in Australia
The next three years will be huge for utility renewables in Australia. Given the timeframes for financing, constructing and commissioning new plants, we expect all currently committed capacity to be fully online by the June 2024 quarter.
Scott Morrison walking a clever highwire on climate change
Scott Morrison is tilling the political soil for a climate change pivot that will see him take a 2050 net-zero target to next year’s election.
Snowy CEO blasts ‘flawed’ NSW energy plan
Snowy Hydro boss Paul Broad has slammed the NSW energy infrastructure plan as “fundamentally flawed”, saying it risks building in extra costs for consumers, but has backed the federal government in pushing for a large new gas-fired power plant in the Hunter Valley.
AEMC fast-tracks new rules for identifying electricity system risks
The Australian Energy Market Commission will fast-track an assessment of proposed new energy market rules that aim to identify emerging risks to electricity security risks requested by Australia’s energy ministers.
What is the role of gas in a green economy?
The Tomago aluminium smelter outside Newcastle received a special visitor in September. Prime Minister Scott Morrison wanted to outline how he would use affordable and reliable energy to supercharge Australia’s post-COVID economic recovery. As the single biggest user of energy in the country, the Tomago smelter was an ideal backdrop.
‘Super-spike’ to fire up LNG producers
The eye-watering surge in liquefied natural gas prices over the past few weeks is expected to fire up revenue for gas exporters but only a small part of that is expected to show in the December quarter reports.
Investors place Australian bets on compulsory emissions reductions
Companies are buying up Australian carbon credits at an increasing rate even though they're not required to offset their emissions under local laws, in what experts say is a bet on future international regulations.
Vic power unit outages leave market unfazed
Sudden outages at two coal power plants in Victoria over the weekend did little to rattle the electricity market in the normally critical mid-summer period in a sign of how rapidly the state's power grid is transforming.
Pace of change requires a united approach to energy policy
There is no more potent evidence of the ongoing transformation of Australia’s energy supply than today’s assessment of the health of the national electricity market.
Renewables ‘can bust congestion’
The federal government’s energy security adviser has suggested renewable energy generators be offered incentives to build projects in particular zones across Australia, in a bid to drive investor confidence and deliver long-term benefits to consumers.
National energy ‘anarchy’ must be solved
The Australian Energy Market Operator has had to intervene 250 times in the past financial year to either turn off grid-destabilising renewable power or turn on gas-fired peak demand plants.
Runaway LNG price sends warning to gas buyers
An unprecedented surge in prices for LNG in Asia is ringing alarm bells among industrial energy users on the east coast amid forecasts that domestic gas prices could be driven back up into double figures, despite lacklustre demand.
Power industry backs national approach to reforms
Electricity suppliers have thrown their weight behind a push by the country's top energy policy adviser for a national approach to spurring on-demand power generation amid worries of a splintering between states that could further delay new projects.
Victoria sets new energy efficiency targets to cut energy use by 7 pct by 2025
The Victorian government has announced new energy efficiency targets to improve the energy efficiency of households and businesses, that are expected to reduce energy use and costs and cut greenhouse gas emissions.
Australian Industry Group backs domestic gas reservation policy
Arguments that a domestic gas reservation system on the east coast would lead to the collapse of oil and gas investment are “absurd”, according to the Australian Industry Group.
First giant turbine finally installed at Victoria’s Mortlake South wind farm
The first of 35 wind turbines has been completed at Acciona Energy’s 157.5MW Mortlake South wind farm in Victoria’s Western District, putting the project on track to be completed in the first half of 2021.
Extending Liddell power plant’s life among worst options: regulator
Keeping AGL's Liddell coal-fired plant going beyond its planned closure date was among the lowest-ranked options to avoid any shortfall in power, an electricity market regulator has found.
Carbon capture could be six times more costly than wind and storage, analysis shows
The construction of new fossil fuel power stations paired with carbon capture and storage technologies could substantially increase the cost of power, with new analysis finding the technology up to six times more expensive than wind and solar, even when combined with energy storage.
Calm down and power on
The advice from Energy Security Board chair Kerry Schott on day two of The Australian Financial Review’s Energy and Climate Summit was for everyone to calm down and get on with it. As Dr Schott and others told our Summit, the transformation of Australia’s electricity system is accelerating and unstoppable. The challenge is to update the National Electricity Market’s complex rules to retain the benefits of a functioning national energy market – with clear and consistent investment signals – amid political pressure to return to more heavy-handed state-based regimes.
Australia’s carbon twist: Taxing consumers who refuse to burn fossil fuels
How good is Australia, and its series of “firsts” on climate and energy! Do you remember how it first it introduced a widely admired carbon price that was both world-leading in its scope, and highly effective? And then it trashed it, much to the joy of conservatives and climate deniers.
Vic to host AGL’s next big battery
AGL Energy has flagged its second large battery project within 10 days, advising of plans to install a system of up to 200 megawatts at the site of its Loy Yang coal power station in Victoria to support the growth of weather-dependent renewables.
NSW power plan could spark legal fight, coal miner Trevor St Baker warns
Power baron Trevor St Baker says investors would be considering legal action against the NSW government over its controversial $32bn energy plan which has sparked a spending freeze and raised concern over the future of the state’s coal plants.
The quest for ‘enough megawatts when we need them’
"Resource adequacy" rapidly became one of the hot-button phrases of the Australian Financial Review Energy & Climate Summit.
Manufacturers, clean energy investors back NSW push for cleaner energy
The most energy-intensive manufacturer in Australia says NSW's bold renewables plan is desperately needed to deliver cleaner, cheaper and more reliable electricity.
Jemena eyes partners for $5b-plus northern gas push
Pipeline owner Jemena has unveiled plans for a potential $5 billion-plus expansion and extension of its grid in Australia's north to bring gas from the remote Northern Territory to the east coast and is on the lookout for partners to join the ambitious project.
La Niña continues; predicted to last through first quarter 2021
La Niña continues in the tropical Pacific. International climate models suggest it is likely to continue at least through February 2021.
Hydrogen set to flow
Hydrogen produced using renewable energy will start to flow into 700 Adelaide homes within weeks, as South Australia’s ambitious plan to become a “green hydrogen” hub takes another step forward.
‘Perverse signals’: NSW clean power push clouds grid planning, prices
Experts warn the NSW government's plan to underwrite the cost of new renewable energy projects could erode national efforts to improve the electrical grid and leave consumers bearing the risk of project price blowouts.
SA wholesale power prices plunge, AEMO report shows
The price of generating electricity in South Australia has nearly halved in a year, according to official energy market data published on Thursday.
NSW to get a new big battery as renewable power surges
A battery worth $62 million is being installed in western Sydney as governments work with industry to help stabilise the electricity grid as the share of renewable energy grows.
Refiners to compete for diesel storage grants
A $200 million competitive grants program for diesel storage will be launched in the March quarter next year as the government works to boost security of supply in fuels and support struggling local refiners, federal Energy Minister Angus Taylor has confirmed.
Flagship NSW-SA power cable hits debt hurdle
One of the country's flagship electricity interconnector projects intended to help keep the lights on amid soaring wind and solar generation has run into trouble, as backer TransGrid advises it cannot be financed under existing market rules.
Government flags sensible backflip on gas
A new Morrison government discussion paper on gas reservation has flagged a sensible backflip on further meddling in the east coast gas industry. Domestic manufacturers have blamed Queensland’s massive LNG export expansion for diverting gas offshore and driving up the price for local buyers.
$1 billion pumped hydro scheme would open up NSW grid, backers say
The Berejiklian government has given accelerated approval status to a billion-dollar pumped hydro project that will unlock twice as much renewable energy investment and reduce grid congestion.
Renewable energy to replace coal in WA’s biggest power grid as solar hollows market, report predicts
More than half of Western Australia's remaining coal-fired electricity capacity could be phased out within five years, according to a landmark report which charts the extraordinary rise of renewable energy.
Old king coal has surrendered to solar, says global power report
Solar power has been declared "the new king of electricity" by the International Energy Agency in its annual energy outlook report, which finds it is already cheaper than power generated by new coal and gas developments in most countries and is providing, "some of the lowest-cost electricity ever seen".
$28m battery factory proposed for Tomago
Energy Renaissance will build a $28 million battery manufacturing facility on the NSW central coast, paving the way for the company to become Australia’s first lithium-ion battery manufacturer.
Higher power prices a risk under government gas plan, expert warns
Energy experts warn electricity prices will rise and private investment in energy projects will fall if the federal government delivers its plan to support private gas projects.
Green leader Adam Bandt says coal and gas should be phased out by 2030
Greens leader Adam Bandt says Australia could move to a zero emission economy with full employment at the end of the decade at a cost of increasing net debt by $25 billion a year.
Alcoa Portland aluminium smelter invites bids for electricity supply
Australia’s biggest electricity suppliers have been approached to bid for a power contract securing the future of Alcoa’s under-threat Portland aluminium smelter in Victoria as concern grows the facility could be forced to shut its doors next year.
Black coal generation hits new low, as wind and solar reshape Australian grid
The re-shaping of Australia’s main grid continues apace, with black coal generation setting a new record low in the National Electricity Market, and the combined output of wind and solar matching the combined output of brown coal, black coal and gas on Saturday.
Audrey Zibelman quits AEMO for Alphabet’s X
The Australian Energy Market Operator has lost its chief executive, with Audrey Zibelman quitting the organisation for a leadership role at X, the “moonshot” factory at Google’s parent company Alphabet.