AEMO’S ESOO confirms Albanese Government Action is strengthening the energy grid
The Australian Energy Market Operator has today released the 2023 Electricity Statement of Opportunities, showing the Albanese Government’s plan to turbocharge renewables is more critical than ever following a decade of Coalition energy inaction and neglect.
Today’s ESOO clearly outlines how Federal and State Government policies, including Rewiring the Nation and the Capacity Investment Scheme, are more important than ever to increase supply and reduce the risk of shortfalls across the country.
AEMO CEO Daniel Westerman said, "Federal and state government initiatives, including transmission projects identified in the Integrated System Plan, and mechanisms delivering firming capacity, such as the Commonwealth's Capacity Investment Scheme, can address many of the identified risks over most of the 10-year horizon, if delivered to schedule”.
This sends a clear investment signal – underscoring the need for already planned investment to be delivered on schedule, as well as signalling the opportunities for new investment in renewables and storage deployment.
But this report isn’t anything new – the last five annual ESOOs under the previous government flagged supply concerns, heightened risks from coal outages and the need to incentivise continued supply.
In contrast to the Albanese Government’s strong plan 82 per cent renewables and clean energy policy certainty, the Coalition’s policy saw four gigawatts of dispatchable energy supply leave the system, and only one gigawatt come on.
Their lack of climate and clean energy leadership left Australia with no plan to take advantage of the global transition to net zero, leaving our energy system underprepared and overexposed.
To get our energy system on track the Albanese Government is acting with pace, including the announcement of the Capacity Investment Scheme rollout in Victoria and South Australia this week.
Minister Bowen said the report underscores the scale of the energy transformation, and shows how sensible government policies can bring on new investment.
“After a decade of energy policy chaos, the Albanese Government is implementing overdue policy reform to deliver a cheaper, cleaner, more reliable energy system,” said Minister Bowen.
“The latest ESOO confirms our federal government programs, including Rewiring the Nation and the Capacity Investment Scheme, will improve the strength of the grid and reduce reliability risks.
“While the former government put its head in the sand and ignored repeated calls to bring on new supply and transmission, we are acting to ensure Australia’s energy grid is fit-for-purpose in the 21st century.”