Australia’s energy landscape is undergoing a major shift with rooftop solar generation hitting record highs and pushing coal’s share of electricity supply below 50 percent for the first time. Demand for grid power fell to new lows in the final quarter of 2024 sending wholesale prices tumbling into negative territory a record 23.1% of the time. However, the new energy mix presents challenges for large scale renewable producers and the grid operator

Demand for grid power fell to new lows in the final quarter of 2024…

Despite the lower coal output and cheaper wholesale electricity some states experienced sudden price spikes due to outages and limited transmission capacity. The Australian Energy Market Operator warned that coal’s declining reliability is fueling the need for more renewable capacity and better infrastructure. Federal officials insist that improved transmission and continued investment in renewables are essential to stabilizing the market, lowering costs and cutting emissions. This information was featured in a report by the Australian Energy Market Operator and covered by The Australian Financial Review.