Renewable energy generation reached record highs in all Australian mainland states in 2021 as reliance on gas continued to drop across the country.
In the country’s largest grid – the National Electricity Market (NEM) – renewables provided five times more power than gas in 2021, while gas generation reached its lowest level in more than 15 years, according to data released on Thursday by the Climate Council.
The Coonooer Bridge wind farm north-west of Bendigo in Victoria.
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In South Australia, gas generation slumped to its lowest level in more than two decades, while in Victoria it fell 30 per cent in 12 months. In NSW, gas provided just 1.5 per cent of the state’s power, its lowest level in 15 years.
Tasmania matched its previous 2020 record of 99.9 per cent of renewable energy – created through wind, water and solar – in 2021.
Major upgrades to transmission lines across Australia have increased the capacity of the ageing electricity grid to cope with the increase in renewable power, said Dr Madeline Taylor, a senior lecturer at Macquarie University’s school of law and expert spokesperson with the Climate Council, an independent and community-funded organisation.
Energy production in 2021 |
*South West Interconnected System only
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“Gas is so expensive … it’s honestly one of the silliest ways to produce electricity when we have more and more battery storage,” said Dr Taylor.
Despite pandemic lockdowns and supply chain problems, householders led a record increase in rooftop solar capacity last year. More than 3000MW was installed in 2021 and almost one-third of Australian households have solar panels, the highest rate in the world.
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Demand on the NEM has been consistent for the past 15 years and did not shift much during the pandemic because although consumers were not using power in offices, they were using it at home, Climate Council senior researcher Tim Baxter said.
“The role for gas in the grid is going to continue to decline over the course of the next 10 years,” Mr Baxter said. “This is where batteries and pumped hydro will help introduce more flexibility.”
Pumped hydro acts like a large battery. When there is excess power in the system, energy is used to pump water up to a storage area. When there is demand for energy, the water is released and used to generate electricity.
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“This was well known and forecast by any energy sector specialists,” Professor Mountain said.
The federal government has been criticised for its controversial proposal to build a $600 million gas-powered peaking plant at Kurri Kurri. When it was announced, Energy Security Board chair Kerry Schott said nobody would build it from the private sector because “it doesn’t stack up”.
Federal Energy and Emissions Reduction Minister Angus Taylor has said peaking or fast-start gas plants are needed to provide dispatchable power to fill energy supply gaps.
Victorian Minister for the Environment and Climate Change Lily D’Ambrosio said her government was proud to have achieved the largest ever annual increase in renewable power in Australia last year, attributing this to multiple, legislated renewable energy targets and projects such as the 300-megawatt Victorian Big Battery.
Links
- (AU The Conversation) Paying Australia’s Coal-Fired Power Stations To Stay Open Longer Is Bad For Consumers And The Planet
- National Farmers Federation Says Electricity Best Place To Make Emissions Cuts
- Solar PV And Wind Are On Track To Replace All Coal, Oil And Gas Within Two Decades
- (AU Climate Council) A Record Year: Renewables Provided 5X More Power Than Gas In 2021
- (AU The Guardian) NSW Approves Morrison Government’s $600m Kurri Kurri Gas-Fired Power Plant
- (AU The Age) ‘Corporate Welfare’: Commonwealth To Support Private Sector In Gas Push
- (AU Climate Council) A Record Year: Renewables Provided 5X More Power Than Gas In 2021
- (AU The Conversation) The End Of Coal Is Coming 3 Times Faster Than Expected.
- (AU SMH) Renewables Drive Australian Emissions Lower As Wind Records Blown Away