Australia’s electricity supply is primarily sourced from coal, natural gas, and renewable energy sources such as wind, solar, and hydro. The country has a complex electricity market, with a mix of state and federal regulations governing the generation, transmission, and distribution of electricity. The country has a large number of energy providers domestically as well as internationally.
Whole Sale Market of Energy Providers
The Australian Energy Market Operator (AEMO) is responsible for managing the National Electricity Market (NEM), which covers the eastern and southeastern states of Australia. The NEM is a wholesale market where electricity is traded between generators, retailers, and large energy users.
Focus on Renewable Energy
In recent years, there has been a push towards renewable energy in Australia, with the government setting a target of reaching 50% renewable energy by 2030. This has led to significant growth in the wind and solar sectors, with large-scale projects being developed across the country. This will lead to reduction in the price of the electricity and Consumers can get the cheapest electricity.
Coal as conventional resource of energy
Despite this, Australia still relies heavily on coal for electricity generation, and there are concerns around the country’s ability to transition to a more sustainable energy system while maintaining energy security and affordability.
In terms of electricity prices, Australia has some of the highest electricity prices in the world, due in part to the country’s reliance on fossil fuels and the high cost of electricity infrastructure. However, prices vary depending on the state and region, with some areas experiencing lower prices due to the presence of renewable energy sources.
By considering the above facts it can be concluded that the electricity supply in Australia is complex and evolving, with a mix of fossil fuels and renewable energy sources being used to generate electricity. Expert advice from professionals in the energy industry can help individuals and businesses navigate this complex system and make informed decisions around energy use and management.