The Shadow Minister for Energy Dr Steve Thomas has welcomed public comments from the WA head of the Australian Energy Market Operator that the state will need additional gas fired power generation to see it through the next decade.
With the release today of the annual AEMO report “Wholesale Electricity Market Statement of Opportunities” the media has reported that “Australian Energy Market Operator WA boss Kate Ryan argued WA would need investment in both new gas fields and power stations”.
“We would like to see two or three small gas plants (join) our system” and “Based on the modelling we’ve seen we feel there is going to be a need for additional investment in gas fired generation” Ms Ryan is quoted as saying.
And when asked on radio this morning whether we could see further extensions of the state’s coal fired power stations run by the state, Ms Ryan said “I think it’s too early to say.”
Dr Thomas said it would be hard to find stronger support for his energy policy released last month that committed to the construction of 300MW of additional gas fired generation to keep the lights on while the state transitioned to a lower emissions future.
“I have said repeatedly that the current transition plan the State Government cannot succeed on its current timeline of closing Collie’s coal generators without significant additional investment in generation and storage” Dr Thomas said.
“That is why we would extend coal until the state is ready with more gas, rather than pick arbitrary and undeliverable timelines.
“AEMO’s latest report suggests that demand will climb from 4,304MW this financial year to 6,160MW in a decade. At the same time the Government will close 1,300MW of coal generation, and the current plan does not address the shortfall.
“The report also shows that for the third year in a row AEMO will have to pay businesses to shut down next financial year because there won’t be enough power in the system, and by 2028-29 AEMO is predicting a shortfall of over 500MW, increasing sixfold to 2880 megawatts in 2033-34.
“The first role of Government is to keep the lights on and the air conditioners running, and to do it at a price the community and families can afford.
“The Government’s plan fails this initial test, and it needs to catch up.
“Even the market operator AEMO has seen the light and supports more gas as part of a better plan, but the Government appears to be happy to keep us all in the dark.”
