Media Contact
Carl Kitchen 0401 691 342
Aug 31 2021

AEC welcomes optimistic outlook from AEMO

The Australian Energy Council says the latest assessment of electricity supply presents a confident picture for Australian energy consumers in the near term, and an exciting picture in the long-term.

AEC Chief Executive, Sarah McNamara, said, “The market operator’s near-term outlook has been progressively more positive about supply and reliability in recent years, and that is good news for the industry and consumers, who will benefit from the stability.” 

Ms McNamara said AEMO’s forecast of oversupply in all regions of the market in the first six years of its outlook should take pressure off institutions and government to intervene and provides time to develop good market mechanisms that will support the National Electricity Market (NEM) in the long-term. 

“The outlook beyond six years is more complex when ageing thermal plants are forecast to close.

However, the 2021 Electricity Statement of Opportunities is just that: a statement of opportunities to fill the gaps that those closures create,” said Ms McNamara.

"AEMO identifies many generation and transmission projects likely to go ahead before then, which would fill the gap, but have not yet reached the appropriately conservative committed status to be incorporated into AEMO's forecast."

The 2021 Electricity Statement of Opportunities also illustrates the major transition under way in the electricity market, said Ms McNamara. 

"More than a quarter of the new dispatchable capacity coming online this summer is forecast to be battery storage capacity. With the accelerating interest in hydrogen and the potential for greater electrification, this is all good news for the evolution of the NEM and emission reductions.

“It’s pleasing to see AEMO’s support for the work of the Energy Security Board, on the management of Distributed Energy Resources, like rooftop solar.

"AEMO's most pressing focus is not having enough electricity to keep the lights on, but having too much, with periods of surplus rooftop solar. Consumers and governments need to recognise the critical need to have tools to manage these surpluses," said Ms McNamara.


About the Australian Energy Council

The Council represents 20 major electricity and downstream natural gas businesses operating in the competitive wholesale and retail energy markets. These businesses collectively generate the overwhelming majority of electricity in Australia, sell gas and electricity to over 10 million homes and businesses, and are major investors in renewable energy generation.

Related News

News

Peak industry body appoints new Chair

The Australian Energy Council's Board has appointed EnergyAustralia's Managing Director, Mark Collette, as its new Chair.

Dec 02 2021
News

Positive measures outlined in EV plan

The Federal Government's plan to encourage more Australians to buy electric vehicles (EVs) is a further step forward towards our net zero emissions target, the Australian Energy Council said today.

Nov 09 2021
News

Australians working together for a successful transition to net zero emissions

Statement by the Australian Climate Roundtable Limiting climate change to well below 2 degree C temperature rise and ideally 1.

Nov 08 2021
GET IN TOUCH
Do you have a question or comment for AEC?

Send an email with your question or comment, and include your name and a short message and we'll get back to you shortly.

Call Us
+61 (3) 9205 3100