Tag Archives: Australian Energy Market Operator (AEMO)

26 per cent emissions target means no certainty

The Turnbull government has effectively vacated the field on climate change mitigation. Until it shows that it is serious on the matter, there can be no certainty, no end to the climate wars.

The Energy Security Board working for the Turnbull government has come up with a National Energy Guarantee which does no work on emissions reduction, because the target of 26% will be met almost as soon as the policy becomes operational. From the post NEG becomes a farce, this is what is forecast to happen:

Continue reading 26 per cent emissions target means no certainty

NEG policy disaster won’t fly

On the weekend Energy Minister Josh Frydenberg gently reminded the Coalsheviks in the LNP Coalition that they should not be flirting with the idea of coal-fired power, because

    we have to factor in a “carbon-constrained future”.

He warns that they may be investing in what will become ‘stranded assets’ before they wear out.

Why doesn’t he tell them like it really is? Tell them to look out the window.

The heatwave in Europe this year has been assessed as ‘five times’ more likely because of climate change. The northern summer’s heat is being recognised as the strongest climate signal yet. Wildfires have raced through neighborhoods in the western United States, Greece and as far north as the Arctic Circle. Drought is threatening food supplies: Continue reading NEG policy disaster won’t fly

AEMO wants ‘demand response’ as strategic reserve

You will recall that after the closing of Hazelwood Power Station at the end of March 2017 fears were held that the 2017-18 summer would see extensive blackouts. AEMO, the Australian Energy Market Operator, was tasked to assemble a strategic reserve to keep the lights on.

AEMO assembled a reserve of 1150 megawatts mainly “demand response” capacity with capital cost approaching zero, but the mechanism the agency had used called the Reliability and Reserve Trader or RERT, can’t be automatically rolled over for the summer of 2018-19. And perhaps it can’t be done at all, because the rule-maker, the Australian Energy Market Commission, has changed the rules governing the RERT so that the mechanism can only be used on 10 weeks notice in an emergency as a last resort, which is simply impractical.

So what is going on? Continue reading AEMO wants ‘demand response’ as strategic reserve

AEMO’s fast track electricity plan

The headline in the SMH was

Australia’s energy operator proposes ‘fast change’ scenario to cut emissions by 52 per cent by 2030

followed by:

    Greenhouse gas emissions from the electricity sector would be reduced at twice the rate proposed by the Turnbull government under a radical new plan outlined by the Australian Energy Market Operator.

    The “fast change” model puts the public operator on a collision course with policymakers after AEMO outlined a potential cut of 52 per cent to all electricity emissions by 2030, double the rate required to meet our Paris climate change commitments.

The bit I’ve highlighted was wrong. AEMO charted a doable scenario double the rate specified by the Turnbull government, but it was derived from the ENA CSIRO Low Emissions Technology Roadmap, which looked at what would be required to meet the 2°C target under the Paris Agreement. Continue reading AEMO’s fast track electricity plan

The best kept secret: ALP electricity policy for Queensland

I came across it via Facebook around midnight on Saturday night. Not sure when it was released but there’s been nothing in the media yet about it. Surely there will be, because it is more than a little stunning. It’s called Powering Queensland’s Future: Affordable, Stable and Balanced.

From a standing start after the LNP under Campbell Newman had ‘cleansed’ the state of renewable energy projects, since February 2015 the Palaszczuk Labor government has enough runs on the board to be dubbed “a leader in Australia’s renewable energy boom” in a report by The Climate Council – Billion dollar boom: Queensland’s bright renewables future. I’ll summarise what they said, but the Palaszczuk government is running even faster and further than you would be led to believe in that report. Continue reading The best kept secret: ALP electricity policy for Queensland

Climate clippings 115: beyond coal

1. Liddell to go

The die was cast at the AGL annual general meeting. Liddell will be closed and not sold.

    Mr Vesey spent the bulk of his address explaining how AGL would replace the capacity lost at Liddell, including new wind and solar farms, up to 750 megawatts of new gas-fired plants and a 100-megawatt upgrade to the more modern and larger Bayswater coal plant nearby. A 250 MW battery at Liddell and demand response will also come into play, he said.

Continue reading Climate clippings 115: beyond coal

Turnbull to walk away from the Clean Energy Target

According to Malcolm Farr, when the Finkel review appeared, this is what Malcolm Turnbull said about the Clean Energy Target:

    “Well it would certainly work, there is no question it would work and we are looking at it, giving it very favourable consideration.”

Rafael Epstein interviewing Josh Frydenberg on RN Drive replayed Turnbull’s audio, saying also the CET had “strong virtues”. Continue reading Turnbull to walk away from the Clean Energy Target

Turnbull goes feral on electricity

Last week AEMO, the Australian Energy Market Operator produced two reports on future of electricity markets. The Coalition government under Turnbull cherry picked the reports in a way that was almost infantile, going completely feral, politicising the energy policy, making clear that bipartisanship will be avoided at all costs.

On Saturday at the Country Liberals annual conference in Darwin, he said this:

    “I mean, Blackout Bill, fair dinkum, as my old dad would have said, he is so hopeless he could not find his backside with both hands.”

The electricity issue has been folded into his “kill Bill” strategy. Continue reading Turnbull goes feral on electricity

Turnbull’s choice – a clapped out coal burner or a clean energy plan

You guessed it, he chose the clapped out Liddell coal-fired power plant.

AEMO, the Australian Energy Market Operator, said New South Wales may be short of power when Liddell closes, as scheduled, in 2022, based on known plans and government policy positions, federal and state. AEMO had just published two documents – Electricity Statement of Opportunities for the National Electricity Market and Advice to Commonwealth Government on Dispatchable Capability. Apart from the risk of blackouts this coming summer in SA and Victoria, the next pressure point could be in 2022 in NSW with the closure of Liddell.

As David Blowers of the Grattan Institute said, the second report carried a clear message, though not stated directly – the system is broken a bipartisan clean energy policy is badly needed. Continue reading Turnbull’s choice – a clapped out coal burner or a clean energy plan

AEMO sees electricity markets reshaped

While Malcolm Turnbull equivocates on a Clean Energy Target, he has called the electricity retailers to Canberra once again to jawbone them about electricity prices. Yet the industry keeps telling him the single factor most needed to bring electricity prices down is more investment in renewable energy, which would be facilitated by a Clean Energy Target (CET).

Whether the CET is central or not, it is what the industry believes. But Turnbull will not move until he has a report from AEMO on what the future need for ‘baseload’ power will be, which in the minds of hardcore recalcitrants within his own party, means coal-fired power, throbbing away.

Giles Parkinson says Turnbull does not need baseload, he just needs balls. Continue reading AEMO sees electricity markets reshaped

SA power plan: intervention, not going alone

Malcolm Turnbull and Josh Frydenberg have now added a second myth to the earlier one that South Australia had rushed madly and blindly into renewables without thought for the consequences. They say that South Australia is now “going it alone”. Unfortunately this meme was picked up in the media, so that Philip Clark on ABC Nightlife recently had SA “going it alone” as his topic of the day (most of the comment supported SA, but no-one, not a single one, had their facts right).

The fact is that the Australian Energy Market Operator (AEMO) runs the market, calls bids for supply on a 30-minute basis, and balances supply and consumption. That is what it has done every day for years, since 1 July 2009, and will continue to do so into the future. Except that 30-minute time-slots are bound to be reviewed in the Finkel report and may end up at five. The Australian Energy Market Commission is currently considering a request for such a change. Continue reading SA power plan: intervention, not going alone

Climate clippings 200

1. Murdoch media continues the energy wars

The Murdoch media continues to lay the blame on renewables, a notion specifically rejected by AEMO, leading to a Twitter battle between SA minister Tom Koutsantonis and The Australian’s Adelaide bureau chief, Michael Owen.

2. AEMO embraces change in the SA blackouts report

Continue reading Climate clippings 200