Bonfire Electricity Bills! Two day heat wave burns nearly $400m: $45 per head in Vic, $70 each in SA.

While geniuses are bragging that the Australian grid survived two normal hot summer days without falling over, they don’t mention the flaming spectacle of the cost.

Tom Quirk and Paul Miskelly, after a couple of suggestions from me, have calculated the full staggering electricity bill at $119m for SA and $267m for Victoria, making it nearly a $400 million dollar bonfire — for two days that were neither the hottest ever, or records for peak electricity use. See their work and details below.

To put this in perspective, a whole new gas plant could have been built for around $230 million. Instead of vaporising this money, Australians could have constructed one whole new gas generation plant, paid it off, and had money left over to give away free electricity.

Every household of four in Victoria just lost something like $170 of productivity for two days of electricity, and in South Australia, $280. Respectively, $45 per Victorian and $70 per South Australian. While businesses also share this burden, ultimately companies are made of people, and this is productivity lost to both states. The losers are shareholders, customers, and employees. Some will be interstate, but the pain flows back. The price is […]

Peak heat: Electricity prices lifting off; industry shutting off in Australia. Hospitals switching off lights, “Code Yellow Alert”.

UPDATE: MELBOURNE hospitals are enacting emergency procedures to prepare for the potential loss of power. Hospitals are switching off non-essential electrical equipment, including some lights, to minimize energy use. This is a “Code Yellow” alert asking hospitals to check their back up generators are ready. The Victorian Minister insists this is not about the “threat” of blackouts, but because hospitals need to be “good corporate citizens”. Pull the other one. At the very least, this is about reducing electricity bills. h/t Chris in Hervey Bay.

See further UPDATES on “The art of blaming coal” at the bottom.

How much fun can you have? The AEMO (Australian Energy Market Operator) projects that as temperatures hit 42C in Victoria, prices are forecast to rise over 100 fold. The AEMO is furiously busy issuing market notices.

The ABC tells us it is 42C, that Portland Alumina has reduced production, but for an ‘undisclosed price’ (why can’t taxpayers know what they are paying this group, not to produce aluminium today?) Meanwhile the AEMO has put the RERT plan into action: “Under the RERT scheme, AEMO has contracted 884 megawatts of “demand side response” across Victoria, NSW and South Australia.” Translated, […]

Summer heat — electricity prices hit cap of $14 per KWhr in SA, almost there in Victoria

Watching the AEMO dashboard as a hot summer day hits

Is this the summer crunch-time that the the National Grid managers have been fearing?

Today things are not running smoothly in the green states of Victoria and SA where prices this minute have hit $14,000 per MW hour, or $14 per KWh. These are wholesale prices. Right now heads of major industries are watching the dashboard, turning off everything they can turn off, or switching on the diesel generators, or counting hundreds of thousands or even millions being added to their bills if production cannot stop.

Demand Management schemes (a form of load shedding) will be running to reduce demand — air conditioners will be remotely switched down.

How much of the productive brain power of Vic and SA is distracted from more useful tasks today?

The AEMO has put out an Actual Lack of Reserve Notice (LOR1) saying that Victoria is 300 MW short: “The contingency capacity reserve required is 1100 MW. The minimum reserve available is 815 MW”. Another notice of a “non-credible contingency event” (a code for “something broke”) reports that a busbar, transformer, and line have tripped or opened in Victoria, unplanned.

Victoria

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ABC: Let’s pretend base load power doesn’t exist, call it a dinosaur. Who’s in denial?

The new phrase that must be neutered is “base load”. It’s like kryptonite for renewables!

Nick Kilvert at the ABC helpfully provides a no-hard-questions mouthpiece and tells us Base load power is the dinosaur in the energy debate.

To serve the Australian taxpayer he quotes a Professor Vassallo, Chair of Sustainable Energy Development (USyd), and CSIRO Energy Director Dr Glenn Platt. Just in case they weren’t green and biased enough he also interviewed Professor Blakers, director of the ANU Centre for Sustainable Energy Systems. Finally he turns to Dr Mark Diesendorf, who is apparently just some guy at UNSW with a team of modelers. (Kilvert doesn’t give us his title, but a two second search suggests he works at the “Centre for Energy and Environmental Markets“. Perhaps it was an oversight, or maybe Kilvert was feeling guilty that every single person he quoted has a career in sustainable energy). Glenn Platt — by the way, is not just “Energy Director” but is described at The Conversation as leading the Energy Transformed Flagship research centre at CSIRO. So that’s four green academics, no one from the coal industry, no skeptics, no other engineers, and no one involved in managing a grid.

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Within 5 minutes a wave of hot water systems switch on in SA adding 250MW of demand to the grid

We are creatures of habit. Look at the spike caused at 11:32pm as something like 27,000 hot water tanks in South Australia suddenly switch on to use cheaper off-peak electricity. This spike is entirely due to pricing plans. It’s entirely avoidable too, but at least it’s predictable. “Scheduled”.

This peak, allegedly, is only a problem if SA is “islanded” — meaning if it can’t rely on the coal generators in Victoria.

Yesterday people were asking why the South Australian demand was peaking at 1am (and why two hours were strangely missing from that graph). “Hot water” is the answer (at least to the first part).

SA Hot water systems add sudden 250MW of demand at 11:30pm. Graph.

This graph comes from the AEMO report in Feb 2016. What follows is their electro-nitty-gritty:

Based on previous experience, and as demonstrated in a separation event on 1 November 2015, maintaining the SA power system in a secure operating state is challenging if there are large changes to the supply-demand balance during a period of islanding.

There is a risk of automatic under frequency load shedding if SA is being operated as an island during the hot water demand peak, […]

Hazelwood Countdown: 53 years old and making more electricity than Australia’s entire wind industry

Three days to go: The Hazelwood shut down begins

The situation in Australia right now:

The total fossil fuel output compared to total wind power generation, NEM, Australian electricity market, 21 March 2017

One old coal plant makes more electricity than all the wind farms

Guest Post by TonyfromOZ and Jo Nova

I’ve been watching the output of all eight generators at Hazelwood closely all month and comparing it to the total wind farm generation across the National Electricity Market (NEM). The old warhorse is a remarkable engineering and economic success.

I’ve kept a total of the power output each day from midnight to midnight and a running cumulative total. So far, the running total output from Hazelwood has always stayed ahead of the total from wind farms. So this 53 year old coal fired plant that is being shut down next week has produced more energy than the 43 wind plants on the National Energy Market. Even if we could store the energy from the wind farms, it still doesn’t add up to the same as one very ancient coal plant. The shut down starts in three days time on Friday March 24th.

Over […]

The South Australian black out — A grid on the edge. There were warnings that renewables made it vulnerable

Australians are going to be talking about this for weeks. Indeed, the SA Blackout is the stuff of legend.

The Greens are blaming coal (what else?) for causing bad storms and blackouts. Forget that Queensland gets hit with cyclones all the time and the whole state grid doesn’t break. Some greenies are also raging against “the politicization” of the storms. Yes, Indeedy. Go tell that to Will Steffen.

We are not being told the whole story. We do know that South Australia has the highest emphasis on renewables in the world. It also has a fragile electricity network, and wild price spikes to boot. (Coincidence?) The death of a few transmission towers should not knock out a whole state, nor should it take so long to recover from. The storm struck worst north of Adelaide near Port Augusta but the juicy interconnector from Victoria runs in from the south, and goes right up past Adelaide and most of the population. Why couldn’t the broken parts of the system be isolated?

Digging around I find ominous warnings that while the lightning and winds probably caused the blackout, the state of the South Australian grid appeared to be teetering on the brink, […]