On 24 August our CEO, Hugh Bannister, presented to the EUAA’s Victorian Energy Forum. Using a sequence of NEO charts covering the period of market volatility in South Australia in June and July, 2016, his presentation takes a forensic look at the factors that drove those events.
Hugh demonstrated the relative importance of a period of high load due to a cold snap, low wind output, gas plant withdrawal from the market and interconnector outage as key factors driving the market volatility. Overlaying this was tightness in the gas supply and the closure of Northern Power station, although this closure can be attributed more to the rising cost of mining Leigh Creek coal than to the high penetration on wind in South Australia.
Hugh concluded his presentation with some suggestions for policy responses. His presentation along with those of other presenters at the Forum can be found at http://euaa.com.au/victorian-energy-forum-2016