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Energy, Gas Prices Surge Amid Coal Plant Outages and Cold Weather A sequence of unforeseen coal power plant outages and cold weather has put a severe strain on Australia’s electricity grid, sending energy and gas prices soaring. The National Electricity Market witnessed a threefold increase in consumer spot prices, reaching an average of $120 per megawatt-hour (MWh) in June, compared with around $43 per MWh for the same month last year. This comes amid increased reliance on pricier gas power after two unplanned coal power plant shutdowns. First, the fire and explosion at Queensland’s coal-fired Callide Power Station in May, which left 400,000 homes without power. Then second, flooding near Victoria’s coal-fired Yallourn Power Station in Latrobe Valley forced the coal-driven generators to limit output last month over safety concerns.

Western australiaLatrobe valleyMatthew canavanJulian smithClimate council senior research tim baxterClimate councilNational electricity marketConsumer commissionCallide power stationYallourn power stationSouth australiaTimes photoAustralian competitionCouncil senior research tim baxterFederal governmentGas fired recovery