The energy market operator warns that coal must remain part of the mix for the next 20 years

Key Points:

• AEMO estimates that 30% of coal resources will be closed over the next 20 years
• The report does not recommend extending coal-fired electricity generation beyond beyond what already exists, but does not want them to be closed before the end of their technical life
• According to its latest report, the Australian Market Market Operator (AEMO) says the Australian electricity grid will not be reliable if coal-fired power plants close before the end of their technical life

  . "This approach is also cost effective because even if existing generators are still running, they can generate less cost than new investments," the report says.

  But AEMO does not recommend extending the production of coal-fired electricity beyond what already exists.

  The report is AEMO's plan for the national power grid over the next two decades, to make sure the lights stay on. while national deputies wave new coal-fired power plants and urge the prime minister to invest in basic energy

  Josh Frydenberg, Minister of Energy, urged AGL to maintain the Liddell Valley coal-fired power plant, said the report served as a timely reminder for energy companies.

  "Deleting [coal-fired power stations] prematurely, [it will] sends electricity bills and grid stability down," he told ABC

  "This is not a good result for consumers, the energy market operator. "

  The AEMO report examines where the energy will come from. future, and how to store and transfer to households and businesses in a more efficient manner.

  He estimates that about 30 percent Current coal resources are expected to close over the next 20 years.

  General Manager Audrey Zibelman told AM that the market operator would now work with the people behind the Snowy 2.0 and Tasmanian hydraulic projects to find ways to manage the system if coal-fired power plants like Liddell were closing down. in the production of electricity would not necessarily lead to higher electricity bills.

  "You can not necessarily translate the fact that we have to invest in a price increase, it's something we'll have to manage to move forward," she said.

  The report focuses on The market must start now to benefit consumers.

  Power sharing along the east coast

  The national electricity market is one of the largest in the world, but AEMO believes that states can afford additional help by sharing more of their energy.

  The report recommends to increase the transfer capacity, or connections, between New South Wales, Victoria and Queensland, and to establish a new transfer capacity between New South Wales and New South Wales. l & # 39; South Australia.

  "Increased investment in an interconnected network provides the flexibility, security, and economic efficiency badociated with a power system designed to make the most of existing resources," says the report. .

  The report also highlights the growing need for energy storage over the next 20 years to "increase flexibility and reliability of supply."

  The Minister of Energy said the government was already working on ways to store energy.

  "Another key aspect of this report is its strong support for Snowy 2.0 and the Tasmanian pumped hydro plans to become the nation's battery," said Frydenberg

  "Storage will be the key and the Turnbull Government "

  The AEMO report points out that climate change is a factor that must be taken into account when building new energy infrastructure.

  According to him, the grid will have to withstand more extreme weather in the future, which will require a "multi-dimensional strategy."

  "A vision of future resilience to climate risk will also influence road selection, weather events and bush fires increase the value of diversity of roads, "says the report.

  AEMO modeling shows that $ 27 billion will be needed to replace old and retired structures.

  The government has argued for a "technologically neutral" approach.

  Topics:

  Government and politics,

  alternative energy,

  electricity-energy and utilities,

  energy,

  coal,

  Australia