Drastic intervention halts energy market to keep Australia's power on

It follows days of blackout warnings as generators react to price caps by withdrawing supply from the market, in order to trigger compensation payments when they are directed to return that energy to the grid.

This new move means the usual process of bids and supply between generators and retailers has been suspended in the National Electricity Market , which includes every state and territory in Australia except Western Australia and the Northern Territory.It is the first time the NEM has ever been suspended.

In a statement, AEMO said it had taken the step because operating the spot market while ensuring reliable electricity supply had become "impossible".A compensation regime applies for eligible generators who bid into the market during suspension price periods. "In the current situation suspending the market is the best way to ensure a reliable supply of electricity for Australian homes and businesses," AEMO CEO Daniel Westerman said."The situation in recent days has posed challenges to the entire energy industry, and suspending the market would simplify operations during the significant outages across the energy supply chain.

Westerman said price caps, coupled with significant unplanned outages and supply chain challenges for coal and gas, were leading to generators removing capacity from the market.

Neloangelo314

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Drastic intervention halts energy market to keep Australia's power onThe Australian energy regulator has halted the electricity market in a drastic intervention, saying ensuring reliable supply had become "impossible". So these so called 'blackouts' are yet another money grab by big Corp, pulling back power for compo payments and pissing all over its consumers for the mighty dollar.....read this article and be fkn appalled !!! There is no energy issue it's corporate fkn greed pure and simple Net zero is suicide. “All we're doing is showing you what life will be like once we basically outlaw the use of coal and natural gas. After all, this is what you voted for.'
Source: 9NewsAUS - 🏆 10. / 72 Read more »

'It's a fiasco': SA government slams national energy market but says local blackouts 'unlikely'South Australia's energy minister says the national energy market is 'broken' but it's 'unlikely' the state will suffer any blackouts after warnings of power uncertainty across Australia. I'll be saving this one for later ABC.😎👍 Bloody LNP selling off the people's assets Plenty of wind power right now in southaustralia. But otherwise it's gas and imports from Victoria. Expensive distillate a last resort. Privatization of backup power by previous government (abrogating duty of care) has increased vulnerabilities theTiser theage
Source: abcnews - 🏆 5. / 83 Read more »