Labor has inherited an imperfect National Electricity Market, with a wealth of energy but a poverty of power
ABCAustralia's east coast has a wealth of energy sources, but a poverty of electricity being generated. Price caps lead to fears of gaming the system Coal and gas-fired power generators are facing big spikes in their input costs due to both international and local factors, sending wholesale electricity prices in Australia soaring. What the price cap means for your energy bills Photo shows Brisbane city skyline from suburban view with stobie pole and electricity power lines in foreground. Once this price cap was imposed, some coal and gas-fired generators said they couldn't produce as much electricity and withdrew offers to provide supply to the NEM. AER chair Clare Savage has fired off letters to the generators noting their withdrawal of offers of supply "may be motivated" by "seeking to avoid" the compensation scheme for delivering power under a price cap, "in favour of" the compensation they get if they're forced by the AEMO to provide power.
History of this topic
Is our energy supply in crisis? What's the National Electricity Market? Can it be fixed?
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