Australia's energy market is just not working.
We had the extraordinary effort by the regulator last week who simply allowed South Australia to have a blackout rather than doing their job.
Previous blackouts in South Australia have occurred because the transfer of power from state to state had continual problems.
Steve from Brisbane looked at this issue with an article with some great links.
It does appear the system is being gamed by major players. One of the great ironies is that with gas on export parity pricing few producers want to put on gas generators such as Pelican Point in South Australia. This is why the regulator needed to order them to be on standby last week.
No wonder Bruce Mountain wants the States to take back their responsibilities in energy.
Energy costs are not going to go down. It is problematic whether a coal powered plant would get finance these days but they are not cheaper than plants using renewables. If gas is going to be used then prices are going to have to go up big time.
The energy market needs to be completely and utterly re-engineered. The regulator needs changing as well.
THIS is highly pertinent. Thanks Jim Rose
Greg Jericho makes sense.
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