Home Business Power outages have been avoided as the regulator demands responses from energy...

Power outages have been avoided as the regulator demands responses from energy companies

72
0

The takeover on Tuesday was more than 10 per cent of the East Coast’s total grid capacity of 55 gigawatts and followed a series of breakdowns and maintenance outages that shut down about a quarter of the East Coast’s coal-fired power plants.

There is no law that would prevent energy companies from withdrawing their electricity from the market, and in the last two days they have cut 2 gigawatts in Victoria, 3 gigawatts in New Wales and 1.5 gigawatts in Queensland.

Economic pressure on energy companies has intensified in recent days because AEMO has limited the price they can charge for wholesale electricity, which has suddenly become much more expensive due to soaring fossil fuel prices, which currently generate about two-thirds of East East’s electricity. .

AEMO has ongoing warnings of electricity shortages in Victoria, New Wales, Queensland and South Australia starting Wednesday afternoon.

Chair of Australian energy regulator Claire Savage wrote in energy on Tuesday warning that they could break the rules against reckless behavior and actions without reasonable cause, forcing AEMO to intervene in the market.

Loading

“There are rules as to how and when they can withdraw supplies from the market, and I wrote to every generator on the East Coast yesterday to make sure they understand their obligations and they are giving us reasons in the process,” Savage said. Channel 7 on Wednesday.

Power engineers have accused electricity suppliers of “unscrupulous behavior” for cutting off electricity.

But the Energy Council of Australia, which represents major energy companies, said its members are losing money on electricity sales due to rising costs of coal and the gas they burn.

“There is enough capacity in the market, but the situation is difficult,” said Sarah McNamara, the council’s executive director.

“The price constraint encourages some generators to sit aside and wait for instructions from the market operator. And that’s because these generators are sandwiched between the marginal price and their high cost per introduction. “

Cut through the noise of federal politics with news, views and expert analysis from Jacqueline Mali. Subscribers can subscribe to our weekly Inside Politics newsletter here.

https://www.watoday.com.au/politics/federal/blackouts-dodged-as-regulator-demands-answers-from-power-companies-20220615-p5attf.html?ref=rss&utm_medium=rss&utm_source=rss_feed

Previous articleA leader of a protest against gasoline in Ecuador has been arrested
Next articleWhy talented engineers leave corporations to join startups