Lights out: Ageing coal and summer blackouts
2 min read 16 January 2025
Baringa’s latest analysis, commissioned by the Climate Council, reveals that the ability of the coal generators in the Australian National Electricity Market (NEM) to reliably produce electricity has dropped off dramatically for plants at 40 years of age or older, and the majority of the coal capacity is already over 40 years old.
The analysis also found that coal outages have been a primary driver of power outage warnings in recent years (particularly during summer), as well as contributing to price spikes.
Considering the ageing assets and ongoing reductions in technology costs, our projections show that most of Australia's coal generation will be replaced by renewables and firm technologies like storage within the next decade.
|
|
Read the report to find out more |
The Climate Council is a community-funded climate change communications organisation, providing authoritative, expert and evidence-based advice on climate change to the Australian community.
For more information, reach out to Peter Sherry or Jacqui Fenwick.
Related Insights
Money still backs batteries in Great Britain
Read this article for an exploration of why GB remains an attractive battery storage market – not just on a spreadsheet, but in substance, for those looking to build, acquire, or finance BESS.
Read more
REMA Unveiled: dissecting the Government’s decision in favour of Reformed National Pricing
Explore the Government’s REMA decision favouring reformed national pricing and its impact on investment signals, grid planning and market efficiency.
Read more
Insights from Baringa’s South Africa Wholesale Electricity Market Report
As South Africa's energy market takes its first steps towards liberalisation, development and investment potential abounds. However, significant barriers remain on the journey to a reliable, competitive, and decarbonised energy system. We explore the risks and opportunities in this rapidly evolving landscape.
Read more
Europe's Battery Profitability
Select the right market, battery duration, and get the timing right. Drawing on our extensive Flexibility Market Report coverage across 19 European markets, we compare IRRs.
Read moreIs digital and AI delivering what your business needs?
Digital and AI can solve your toughest challenges and elevate your business performance. But success isn’t always straightforward. Where can you unlock opportunity? And what does it take to set the foundation for lasting success?