Analysis

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Offshore framework to bring new swell?

The Federal Government’s new legislation to clarify offshore energy developments, was greeted with suggestions it would prompt a rush of offshore wind farms around our coastline. Offshore wind farms typically take 6-10 years to develop and build. Currently many of these projects are in pre-feasibility stage.

BY Carl Kitchen Sep 16 2021

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Is Orca a new carbon predator?

The Federal Government has broadened the Australian Renewable Energy Agency’s remit to support technologies to address carbon emissions, including carbon capture and storage. Last week the agency’s new investment plan was released, and at the same time a new facility began operating using novel carbon capture technology.

BY AEC Sep 16 2021

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Greenwashing: Don’t get taken to the cleaners

As the world transitions to a cleaner energy future, many high-profile companies have pledged to reduce their emissions and align themselves with a net-zero future. Making a pledge is not the same as meeting a pledge, and this can give rise to claims of greenwashing. What does the law say about greenwashing? And what does it mean for the energy transition?

BY Rhys Thomas Sep 09 2021

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Putting some momentum in inertia

The AEC has published a new report by MarketWise Solutions on the introduction of an Inertia Market into the NEM. For some time industry has been aware of the need for a mechanism to recruit inertia to support the NEM as it transitions. We look at what it is, it’s challenges, and four different approaches on how this missing market could be filled.

BY Ben Skinner Sep 02 2021

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A minimum requirement: Managing the demand drop

The challenge posed by falling minimum demand was again in the spotlight with the release of AEMO's latest supply assessment. The 2021 Electricity Statement of Opportunities highlights the major impact the increasing amount of distributed PV is having on managing the grid.

BY Carl Kitchen Sep 02 2021

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Paying for Primary Frequency Response: Detailed work underway

Work is underway to study the pricing of frequency deviation in the NEM and the use of a double-sided causer pays mechanism to manage and encourage Primary Frequency Response services, which are currently mandated from scheduled and semi-scheduled generators and batteries.

BY Carl Kitchen Aug 26 2021

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Hot topic: Victoria’s big battery

It has been a remarkable year for the number of significant incidents in NEM supply. Recently a fire at Victoria’s “big battery” began just after 10am on Friday 30 July, and investigations are being undertaken. The results will be closely watched not just locally, but internationally.

BY Carl Kitchen Aug 19 2021

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Is degasification plausible?

As energy consumers, we are always looking at more efficient and cost-effective ways of heating and cooling our homes and workplaces. In the southern parts of the country, gas remains a mainstay of heating as many still think it is cheaper than electricity, which is often not the case. But is degasification plausible?

BY Peter Brook & Hamish Fitzsimmons Aug 19 2021

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Four pathways to decarbonisation

The release of the latest UN IPCC report has reignited debate about how quickly Australia should decarbonise and a federal commitment to net zero emissions by 2050. The CSIRO, in conjunction with ClimateWorks Australia, has undertaken an assessment of decarbonisation scenarios for Australia.

BY Carl Kitchen Aug 12 2021

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Future governance of the NEM: Where to from here?

Now that the Energy Security Board has delivered its final advice on the proposed redesign of the National Electricity Market, it's timely to consider what governance structures might be required to support the effective delivery of a Post 2025 NEM. We look at the history and future governance of the NEM.

BY Sarah McNamara Aug 05 2021

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Demand, coal recovers from COVID: IEA

The IEA's latest electricity market report shows the impact of the COVID-19 pandemic, as well as a rebound in electricity demand in some regions. What may come as a surprise is an anticipated increase in coal-fired generation, which is expected to surpass pre-pandemic levels in Asia Pacific over the next two years.

BY Carl Kitchen Jul 29 2021

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European Union plans to get “Fit for 55”

The European Commission unveiled a suite of new environmental policies under its “Fit for 55” legislative package, highlighting the EU’s attempt to meet its 55 per cent net emissions reduction target for 2030. The package includes a range of policies but the carbon border adjustment mechanism - or CBAM - received the most media attention, including within Australia.

BY Rhys Thomas Jul 22 2021

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100% renewable grid: A journey through uncharted territory

AEMO received headlines with its goal of delivering capability for the grid to manage 100 per cent renewables at any moment by 2025. The announcement was generally well-received but, unfortunately, misreported as targeting the running of the NEM entirely on renewables. Industry participants may ask why AEMO would be indicating a 100 per cent renewables capability by 2025, which is not to say that progress towards a lower emissions market isn’t welcome.

BY Hamish Fitzsimmons Jul 22 2021

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High priced events: A snapshot

After low first quarter prices in the NEM, concerns about price spikes have taken centre stage more recently with significant price volatility. AER reports into high priced events provide insight not just into the workings of the market, but the factors that can impact prices in an energy-only market. We look at three events – 17,18, 21 May - and the AER’s assessment of what was behind them.

BY Carl Kitchen Jul 15 2021

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Solar supply chain costs: A passing cloud?

For the first time in at least a decade the cost of solar PV to end users has been rising. This has been driven by an increase in raw material costs, and polysilicon in particular, which has reversed the trend of continuously falling lower prices for solar that we have come to expect.

BY Australian Energy Council Jul 08 2021

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Increases in negative prices: Is it a positive?

If there's one thing the Australian Energy Regulator’s State of the Energy Market report has reminded us, it’s that the National Electricity Market can be a wild ride at times. After the NEM achieved the lowest first quarter for wholesale prices since 2012, the last few months have seen an increase in price volatility.

BY Carl Kitchen Jul 08 2021

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Energy retailers: What do consumers think?

The latest assessment of consumer sentiment shows record levels of satisfaction with energy retailers and a “growing belief that consumers are getting better value for money”. The data released by Energy Consumers Australia shows a steady improvement in the satisfaction trendline since December 2017.

BY Carl Kitchen Jul 01 2021

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Is minimum demand causing a major headache?

AEMO’s Wholesale Electricity Market ESOO offers insight into the future of the WEM and its potential challenges. It presents a confident picture of generation meeting demand over the forecast period, while on the flipside it singles out the massive uptake of rooftop solar PV for causing a significant near-term issue.

BY Graham Pearson Jun 24 2021

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EV policies focus on the destination not the journey

State governments increasingly accept that the uptake of zero emissions vehicles requires their support to create a critical mass, with NSW the latest state to unveil a range of measures to speed up the purchase of ZEVs.

BY Hamish Fitzsimmons Jun 24 2021

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Gas and hydro: Back-up in action

The first quarter of 2021 for the NEM's spot market was notable for its lack of notability. But in a measure of the how the NEM can turn, the Q2 Queensland average price to date is $135.83/MWh, versus $42.64/MWh over Q1. We look at how the market almost always successfully responds to the NEM’s variations, and its reliance on hydro and gas-fired generation to keep the lights on.

BY Ben Skinner & Carol Tran Jun 17 2021

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