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I think the problem is, that gas is required as a stop gap, until there is enough renewables and storage available to not require fossil fuel as a backup.Like that one.
Seriously, the whole issue isn't so much a question of what the policy is but of getting some certainty.
The industry can live with a focus on gas and it could live with 100% renewables but there's real caution when it comes to the uncertainty and politics surrounding the whole thing.
Best way I can put it is with a very real example:If as you say market players have fossil fuel, pumped hydro and battery developments ready to go, why would gas be a problem, one it is a limited supply and two pumped hydro and batteries are cost positive as proven in S.A.
On a more holistic note, it sounds as though the States are starting to get their act together, in co ordinating the shift from State fossil fueled generation, to a renewable platform.
From the artcle:Cross-sector Energy Council to guide Queensland shift to renewables
Queensland joins NSW and Victorian in establishing a new, cross-sector body to collaborate and advise on state’s shift to 50% renewables by 2030.reneweconomy.com.au
“By establishing a Ministerial Energy Council, our government can leverage our foundational assets as a basis from which to harness the additional capacity of renewables to deliver real outcomes for Queenslanders,” he said.
“Renewable energy and transmission, manufacturing, resources and electrifying transport have the capacity to create 570,000 Australian jobs in the next five years.”
The move by Queensland to establish a separate, cross sector collaborative body follows similar moves by other states, as they gear up to establish new Renewable Energy Zones and meet ambitious electricity generation and climate targets.
On Wednesday, the NSW Liberal government announced the establishment of its first Renewable Energy Sector Board, bringing together energy sector representatives to provide advice on the job creation and manufacturing opportunities being created by the shift to renewables.
And last week, the Victorian Labor government announced the creation of a new body called VicGrid, in this case to oversee and manage the suite of network investments required to accommodate the gigawatts of big solar and wind joining the state’s grid.
For Queensland’s new body, de Brenni said one of the first items on the agenda would be a discussion around how best to establish a fully functional and commercial hydrogen supply chain in the state, while also helping to deliver Australia’s National Hydrogen Strategy.
“With state-owned energy generators and ports, the levers are uniquely in Queenslanders hands to generate hydrogen to enable a renewable energy future for our nation,” he said.
“At the next meeting of Energy Ministers, I’ll be asking for a greater focus on the role of hydrogen in the future of Australia’s energy security.”
Well it is the only way, the States can come to an agreement on what priority and what order the coal plants can be closed.There seems to be a lot of new "bodies" being set up.
One hopes that there will be some actions not just more hot air.
That really depends on what you read.Like i said 90% of the problem IMO, is the media coverage is based on political/ environmental bias and presenting flawed information.
Spot on, but you can add hydro and pumped storage to that also.That really depends on what you read.
The political bias is clear: it favours gas.
Gas is needed as a stop gap, but that's it.
Battery storage plus wind/solar will be cheaper than gas in a matter of years.
Short answer is the whole thing has slowly but surely crept back toward a centrally planned approach but nobody's going to come out and directly announce that.There seems to be a lot of new "bodies" being set up.
One hopes that there will be some actions not just more hot air.
So much for this:Some dramatic swings in the price of natural gas in Victoria over the past two days.
All figures are for the spot price and in AUD per GJ and all times are eastern AEST.
Note that prices are set in time blocks as follows:
06:00 - 10:00
10:00 - 14:00
14:00 - 18:00
18:00 - 22:00
22:00 - 06:00 the following day.
So 4 hourly intervals except overnight which is an 8 hour period.
17 April at 6:00 am = $5.95 which is pretty normal, it's been around that +/- a few % for a while now.
...
19 April 22:00 - 20 April 06:00 = $7.10
20 April 06:00 - 10:00 = $6.35
20 April 10:00 - 14:00 = $6.60
20 April 14:00 - 18:00 = $7.50
20 April 18:00 - 22:00 = $21.99
20 April 22:00 - 21 April 06:00 = $19.85
21 April 06:00 - 10:00 = $8.20
21 April 10:00 - 14:00 = $21.00
21 April 14:00 - 18:00 = $10.43
21 April 18:00 - 22:00 = $9.05
21 April 22:00 - present = $19.84
If anyone's looking for a volatile market well there's one.
Whilst that's the spot market and most actual gas sales will be under some form of contract, it's nonetheless dramatic volatility compared to what's normal.
I haven't looked into the reasons but there's nothing particularly obvious, there is some storage capacity unable to discharge at present (Iona) but there's unused production capacity available at Longford (Vic) and via pipeline from Qld into SA and NSW (noting that they're both connected to Vic) so no actual physical shortage.
In terms of practical effects, well one is that some power generation did switch to oil-based fuels either in the same plant, or by running oil-fired plant in preference to gas-fired plant. Oil in this context meaning anything refined from petroleum - diesel, kerosene, fuel oil etc.
Data source = Australian Energy Market Operator (AEMO).
Can you imagine the NBN if it was built by the private sector lolFederal government to build gas power station in the Hunter Valley.
About time.
Federal government set to build taxpayer-funded gas-fired power plant
The Federal government is set to build a taxpayer-funded gas-fired power plant in the Hunter region of NSW, in what would be a major intervention in the electricity market.www.abc.net.au
From an engineering and electricity supply perspective there's a definite need for more dispatchable generating capacity so I'm not going to object to government or anyone else building some.Federal government to build gas power station in the Hunter Valley.
Well we have being saying there isn't any money to be made cycling coal plant, so it becomes a case of renewables and storage, or HEGT's IMO.
So as we have already said, it is between a rock and a hard place, the companies have to decide they know that the ultimate goal is zero emissions.
My guess is the fossil fueled generation will end up government owned, as they will eventually become a stranded assets and the major generators will have to decide how they transition out of fossil fuel.
Probably some gas plant will be bought by the State government's, if it is suitable and serviceable.
Interesting times.
Spot on Rumpy, it should never have been sold in the first place, people can't manage without electricity so it is an essential service.Gas stations are probably medium term options until sufficient pumped hydro can be built, although it's obviously an advantage to have gas stations that can be started up quickly when necessary even though they will only run for short periods if all goes well with renewables.
As Smurf alluded to , the political aspects of power supply have to be nutted out.
Ca we really say that the "free market" has solved all the power supply/pricing issues ?
No in my opinion.
Private enterprise getting hooks into essential services doesn't really work in a market as small as Australia. What we need are some hard headed governments ready to take back responsibility for supplying essential services and not just leaving it to rent seekers.
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