This morning the AEMO published it’s Quarterly Energy Dynamics (QED) Q1 2023 report.
In this Media Release to accompany the report, the AEMO notes:
Renewable energy is driving down the wholesale cost of energy, setting new records for minimum demand for electricity from the grid and driving emissions to record lows, AEMO’s latest market intelligence report shows.
AEMO’s CEO, Daniel Westerman, said the insights in the report underlined the need for more investment in new transmission and firming technology to connect the new locations of wind and solar farms, and to even out the variable nature of renewable generation.
“These insights reinforce that critical transmission investments, such as VNI West and Energy Connect, are needed to share low-cost, low emission renewable energy with consumers. Constraints are affecting output from regions like Victoria’s Murray River Renewable Energy Zone – that is why we need investment in new transmission,” Mr Westerman said.
“Growing renewable output across the NEM meant that 12% of the time wholesale prices were negative or zero. Further, between 9.00 am and 5.00 pm, wholesale electricity prices were negative in South Australia and Victoria 60% and 55% of the time, respectively,” he said.
Early commentary about the release
Below are the news articles that I came across after a quick scan this morning that mention the
The Australian Financial Review
Mark Ludlow wrote “Solar glut drives energy grid demand to 18-year low”
Giuseppe Tauriello wrote “AEMO report shows electricity prices fell 11pc in March quarter”
Peter Hannam wrote “Record renewables help bring down Australia’s energy prices and emissions”
The Sydney Morning Herald/The Age
Nick Toscano wrote “Green energy surge cuts east-coast power costs from record highs”
Giles Parkinson wrote “Record wind and solar deliver lower prices, loosen coal and gas power over grid”
AER’s Wholesale Market Quarterly (WMQ) Q1 2023 also released
Last week the Australian Energy Regulator also published its quarterly report, the Wholesale Markets Quarterly for Q1 2023.
This report analyses trends in the Australian wholesale electricity and gas markets, with the intended purpose of alerting market stakeholders of issues and other concerns in the market. Like the AEMO report, the WMQ also noted lower electricity prices across most regions.