Australian Chart of the week | GPG: From middle of the order to the nightwatchman?

Across multiple reports published in recent weeks, the topic of changing supply dynamics has been a key focus as more renewable energy resources continue to enter the system including both grid-scale and behind-the-meter assets. Much of the commentary has focussed on the changing operation of coal generation in the face of increased solar penetration, however, the need for flexible generation profiles has also significantly impacted the manner in which gas powered generation (GPG) has been managed.

In our Energy Spectrum Australia Perspective piece this month, we unpacked AEMO’s ISP and the future projections for gas generation. In the first year of the ISP, CCGT generation sent out is expected to drop by ~76%, to only 24% of FY2020 generation levels. This is a significant decline considering that the daily profile for GPG has shifted considerably over the last five years. This is clear when we look at Figure 1 and the shifting daily profile of GPG from a more typical flat profile to one that is much more flexible with dispatch more focussed on peak demand periods

Related thinking

Low carbon generation

Australian Chart of the week | 3 2 1… fight: VRE and price cannibalisation in NEM

In the last decade, the rapid decline in deployment cost of variable renewable energy (VRE) generation capacity has given renewables an advantage over fossil fuels for new builds as highlighted in ‘Renewable Power Generation Costs in 2020’ report from the International Renewable Energy Agency (IRENA). In the report, Australia has...

Low carbon generation

Australian Chart of the week | Energy is neither created nor destroyed; it just transitions

In April, the NSW government opened consultations on “specific urgent and mechanical policy details” on regulations needed to implement its Electricity Infrastructure Roadmap released late last year. The Roadmap aims to unlock 12GW of new renewable energy capacity from selected Renewable Energy Zones (REZs) with an additional 2GW in storage...

Power and gas networks

Australian Chart of the week | All gas demands are equal; but some are more equal than others

One of the key objectives of the federal government’s proposal for a ‘gas-led recovery’ - besides building a 250MW gas-powered generator (GPG) - is reducing gas prices through increased supply to domestic consumers. The proposal highlights the need to invest in domestic gas exploration and transportation, as well as create...

Low carbon generation

Australian Chart of the week | Out of sight, not out of mind: DER record growth continues

The growth in behind-the-meter distributed energy resources (BTM DER) has been a key feature of the NEM over recent years. BTM solar has grown from ~1-2% of total energy supplied five years ago to ~6% this year. In fact, looking within the day, the percentage of supply being provided by...

Low carbon generation

Australian chart of the week | SA shatters record: lets talk about the elephant in the room…

As springtime rolls around in the NEM, those with interest in the market are always keeping an eye on South Australia to see just how low operational demand will go and when (not so much if) the record will be broken. This year has not disappointed. On 11 October 2020...

Energy storage and flexibility

Chart of the week | Flexible asset PPA market—growing, evolving & competitive

We’ve just completed the latest research for our Flexible Asset PPA Market report. In this report we analyse and forecast key aspects of this market to detail how Power Purchase Agreements (PPAs) are being used to support flexibile assets. Here, we look at some of the key headlines from the...

Energy storage and flexibility

Pixie Chart of the week | Pixie Energy demonstrates value of flexibility

In 2018, BEIS provided funding to support a range of Flexibility Market Feasibility Studies. Pixie Energy, as part of a consortium including Ipswich Borough Council and Suffolk County Council, led a study based on Ipswich. Here, we outline some of the project’s findings.