Australian grid wars: MP says Queensland should cut off other states to make electricity cheaper

Guess which state, big business will be headed to next?

Brilliant! Let’s talk about a Quexit of the NEM. Nationals MP, Keith Pitt is suggesting that Queenslanders could cut their power bills if Queensland stands alone and disconnects from the rest of the Australian National Grid. There are concerns from experts within the energy sector that this could result in blackouts in other states… (is there an “e” in electricity?).

Keith Pitt says these are Queensland assets paid by the Queensland people, owned by the Queensland people, but we can’t continue to prop up states that make silly decisions. He’s driven by one motivator, and that’s price for consumers.

Check out the AEMO data dashboard. On any given minute Queensland is probably sending electricity to most of the NEM.

 

#9News can reveal #EXCLUSIVE details on a bold new plan to cut power prices. @jekearsley #auspol #9News pic.twitter.com/OGVfxfLOxW

— Nine News Queensland (@9NewsQueensland) August 20, 2019

 

simon holmes à court @simonahac

this is _the_ dumbest idea i’ve heard @keithjpittb since gina’s dad suggested using nuclear bombs for earthmoving. while you’re there, you may as well blow up the highways in and out of […]

Renewables stress: The daily battle just to keep the lights on in Australia

Who’s afraid of a cascading blackout?

Last year investment in unreliable and asynchronous generators doubled in Australia thanks to government decree. For some reason, adding another few gigawatts of iffy capricious infrastructure to a 50GW finely-tuned-system appears to put the whole national grid in a near constant state of emergency. The AEMO (our market operator) had to intervene in the South Australian market eight times in 2016/17, but last year they had to do it 101 times.

This warning comes from the Australian Energy Market Commission (AMEC) which makes the rules for the national grid. Why are they baring the dirty renewables laundry? Because the answer to the crisis is always bigger government and this is a reason to call for it.

Renewables stress the grid

Perry Williams, The Australian

Australia’s electricity grid is relying on emergency safety nets to keep the lights on, …

The deterioration of the strength of the electricity network — most pronounced in South Australia — is also spreading to southwest NSW, northwest Victoria and north Queensland, adding to wholesale costs incurred by users.

SA’s electricity system is increasingly operating under the direct intervention of the grid […]

“Market Bloodbath”: Too many new remote renewables projects means high losses

As Australia push-pumps “renewables” into remote locations some of their incomes are suddenly being cut because the losses (as they transmit across long lines) are higher than they expected. On March 8th the AEMO rerated many generators and this year it’s being called a bloodbath for wind and solar. Some of them, like AGL’s Silverton wind farm face losses of 20%.

It all revolves around something called Marginal Loss Factors, a value that is set by the AEMO each year for each generator. The rating is reduced by transmission losses over distance and also by “congestion” from other renewables which are popping up in the same remote locations far from the cities and industries that need the electricity they make. This sudden loss of expected income threatens new wind and solar projects (as it should — hello market signal!) Sometimes the loss factors are hard to predict years in advance which makes it difficult to also predict whether a project will return a profit (even despite the guaranteed subsidies).

Another renewable inefficiency strikes — “marginal loss factors”

Generators are paid according to the electricity that arrives rather than what they produce at the plant. (Seems fair). This is called the […]

Gates on renewables: How would Tokyo survive a 3 day typhoon with unreliable energy?

Make no mistake, Bill Gates totally believes the climate change scare story but even he can see that renewables are not the answer, it’s not about the cost, it’s the reliability.

He quotes Vaslav (possibly Vaclav Smil?):

Here’s Toyko, 27 million people, you have three days of a cyclone every year. It’s 23GW of electricity for three days. Tell me what battery solution is going sit there and provide that power.

As Gates says: Let’s not jerk around. You’re multiple orders of magnitude — … — That’s nothing, that doesn’t solve the reliability problem.

Bill Gates on renewables (part 1). I’ve never seen him so animated. His Tokyo in a cyclone scenario is interesting. pic.twitter.com/N2nhl2u9Ut

— David Michie (@dmichie66) December 9, 2018

h/t Craig KellyMP

During storms clouds cut solar panel productivity (unless hail destroys it) and wind turbines have to shut down in high winds.

The whole interview was part of a presentation at Stanford late last year:

Cheap renewables won’t stop global warming, says Bill Gates

The interview by Arun Majumdar, co-director of Stanford Energy’s Precourt Institute for Energy, which organized the conference, can be watched here.

9.3 […]

Australians: destroying their grid faster than any country on Earth

Australians are the Renewable crash Test Dummies

As I said for free and two months before the ANU, with a 50% annual growth in renewables, Australia is ramping up unreliable power faster than anywhere.

Now comes a paper: Australia: the renewable energy superstar showing that, per capita, Australia is installing unreliable generators in a blitzkrieg pace, more than twice as fast as Germany is, and 4-5 times faster per capita than the EU, USA, Japan and China. No other dummies are even in the race. The largest coal exporter in the world is working harder than anyone to destroy its largest export earner — which would be noble if only there was more to it than being a magical spell to ward off storms.

This is a legendary paper and very helpful. Save the link, copy the reference, send it to your MP, your friends, your newspaper! Why not head to the launch at ANU at 5:30pm, 14th Feb?

Never again can anyone get away with national flagellation for “not doing enough”. Henceforth Green and Labor M.P.’s will stop calling us a national joke, a pariah, and a disgrace. (Though, actually, all those things are true, for the opposite […]

SA and Vic at high risk of blackouts this summer

Even the AEMO is warning of blackouts coming, because the BoM is forecasting hot, dry conditions. El Nino on the way, and I hear rumours our Snowy Hydro Dam levels are not great.

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There’ll be blackouts this summer if nothing is done, AEMO report warns

Stephanie Dalzell, ABC News

Victoria and South Australia are at a high risk of forced blackouts this summer if no action is taken, according to the latest report by the Australian Energy Market Operator (AEMO).

Not enough supply? Put another million bucks on the BBQ:

To stop that from occurring, the AEMO has sourced emergency energy reserves, which are typically not available to the market and are only accessed when supply is not keeping up with demand.

Those emergency reserves — otherwise known as Reliability and Emergency Reserve Trader (RERT) resources — do not come cheap.

It’s only money:

The report stated that last summer emergency energy cost taxpayers in Victoria and South Australia almost $52 million.

That equated to an average of an extra $6 per household bill.

That’s nothing. The two day heatwave […]

Another day, another blackout — Lightning is too much for Australian grid now

Last Saturday at 1pm both Queensland and South Australia were cut off from the national grid. In Sydney 45,000 homes lost power for a couple of hours. Shops had to close. Trains were stopped. Passengers were stranded. Traffic signals were not working on major roads. Chaos. Industrial users shut down in a mass of 725MW of load shedding.

Apparently this was due to lightning.

Once upon a time, Australian states were self sufficient, now interconnectors allow us to share problems:

Two states “Islanded” simultaneously

Two vital interstate power interconnectors blew without warning at the weekend, causing blackouts and critical industrial incidents and isolating two states from the national electricity grid, in a dramatic reminder to Scott Morrison just days into his prime ministership of the nation’s energy policy paralysis.

Queensland and South Australia were exporting power across the interconnectors when they were simultaneously tripped on Saturday, forcing power to be cut to big industrial users and retail customers in NSW and Victoria.

The nation’s biggest single-site power user, the Tomago aluminium smelter in the NSW Hunter Valley, lost power without warning, halting two pot lines for up to an hour. Alcoa’s Portland smelter in […]

At 40C Victoria has a one in three chance of blackouts in summer

In Victoria, 40C used to be known as “A Hot Day”, but now thanks to climate change it’s called an “extreme condition” (wasn’t it meant to become a common event?) Nevermind.

The AEMO (Australian Energy Market Operator) has pretty much warned us the Victorian electrical grid can no longer cope with “a hot day”.

[The AEMO] predicts a one-in-three chance of load shedding under extreme conditions this summer unless additional action is taken.

“Specifically, temperatures of 40C or more in Victoria could be the catalyst for extreme, one-in-10-year electricity demand conditions.

“Particularly when these temperatures are experienced towards the end of the day when business demand is still relatively high, residential demand is increasing, and rooftop PV’s contribution is declining.”

So since solar PV is useless in this situation, the Victorian government is spending one billion dollars installing Solar PV. One billion dollars of generation that is guaranteed not to work when we need it.

Will the new PM, Scott Morrison, be able to solve this problem? Thousands of engineers can.

Once upon a time even the brainless inanimate free market did.

h/t Dave B, Pat

PS: Still travelling.

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On the NEG — Turnbull, Frydenberg: Who is running this country? You or Andrew Vesey?

End the taboo: The obvious solution to our expensive unreliable electricity is to fix old coal plants

The proposed NEG (National Energy Guarantee) will cut a pathetic sliver off our obscene bills. Malcolm Turnbull thinks Australians will be grateful for $100 off. We pay $3,700 a year for an average 4 bed house (and it’s heated with gas)? Are they kidding?

No one is even discussing the most obvious, cheap way to cut our electricity bills. Fix the old coal plants. As Ian Waters, engineer, says “Enlightened, motivated people can do it!” Just getting Liddell back up to full power would deliver another 800MW of cheap, despatchable, and reliable power. Wouldn’t that be “handy”?

All the talk of new coal ignores the cheapest source of electricity around the nation. Our star infrastructure, gift of the older generation to the younger, are our old coal power stations, paid off over decades and still powering the nation.

Ian Waters, describes below how the NEG serves the big retailers not the consumers, and it’s in their interest to run old coal plants into the dust. (Our electricity market is so screwed thanks to the […]

UK: smart meters are expected to save a whopping £11 annually

No one needed a smart meter when we had smart baseload. Beware Australians, despite the promises and threats, smart meters may or may not make UK customers a paltry saving. When all is said and done it’s not even clear the benefits outweigh the costs.

People who have smart meters installed are expected to save an average of £11 annually on their energy bills, much less than originally hoped. A report from a parliamentary group now predicts a dual fuel saving of £26.

Customer pays, but energy firms save more:

Customers have financed the smart meter programme by paying a levy on their energy bills, while suppliers have frequently blamed the levy for rising costs. However, the report claimed most of the eventual savings would be made by energy firms, rather than consumers.

It is an £11 billion programme. Correct me if I’m wrong, but it appears the country would be richer if the government just gave back £170 to each person instead.

Smart meter looks like a dumb elephant:

The report also said that:

More than half of smart meters “go dumb” after switching, meaning they stop communicating with the […]

Even AEMO head admits solar panels are a big “disrupter” in Australia – fears big players may abandon grid

The land of the sunburnt country finds that the rapid uptake of solar is a headache, disrupting the grid, adding variability, making management more complicated. Read right through. The head of the AEMO gives an upbeat talk, but the ominous message is that solar panels are flooding in, there are lots of problems, and not only are baseload generators leaving the market, but there may come a day when things are so ludicrously expensive that big energy customers leave to generate their own too. Is that what the death of a grid looks like?

 

Audrey Zibelman is the head of the AEMO – Australian Energy Market Operator – which has the responsibility of managing the electricity and gas market and grid stability for all Australians. To hear her, you’d think the future is renewable, the transition is not being artificially forced on the market, and there is no alternative to alternative energy.

Zibelman tosses out pat free-market lines with a straight face, saying at 17:20 that we never really want governments to “pick a technology”, ignoring that this whole transition, all of it, is only happening because governments “picked a technology”.

Listen at 21:30 to get an […]

Another way to destroy a grid: add a million electric vehicles

New electric vehicles have big fat batteries, which will help solve the problem known as “charge anxiety” (let’s call that the Flat-Bat-Fear).

The new fat-batteries, however, have the small catch that they need two days to trickle charge. Hmm. Then there is the other catch that each slow charger (7kW) is equivalent to adding nearly three houses to the grid. Our Energy Minister Josh Frydenberg predicts there will be one million electric cars on Australian roads by 2030.

You might think this is slow motion train wreck, but we might avoid this if households opt for fast 50kW chargers. In that case we can do the train-wreck at top speed.

Each fast charger will apparently be “like” adding the equivalent of 20, count them, 20 homes.

This is fearmongering obviously — no one is going to want a fast charger when they could leave the car in the garage for 48 hours instead.

New Zealand report claims new generation electric vehicles threaten the power network

Ben Packham, The Australian

New Zealand’s biggest energy distributor, Vector, warned electric vehicle chargers “put a large electrical load on the network”, with even 2.4kW “trickle” chargers adding the equivalent of one additional […]

Electricity prices fell for forty years in Australia, then renewables came…

Electricity prices declined for forty years. Obviously that had to stop.

Here’s is the last 65 years of Australian electricity prices — indexed and adjusted for inflation. During the coal boom, Australian electricity prices declined decade after decade. As renewables and national energy bureaucracies grew, so did the price of electricity. Must be a coincidence…

Today all the hard-won masterful efficiency gains of the fifties, sixties and seventies have effectively been reversed in full.

Indexed Real Consumer Electricity Prices, Australia, 1955-2017.

For most of the 20th Century the Australian grid was hotch potch of separate state grids and mini grids. (South Australia was only connected in 1990). In 1998 the NEM (National Energy Market) began, a feat that finally made bad management possible on a large scale. Though after decades of efficiency gains, Australians would have to wait years to see new higher “world leading” prices. For the first years of the NEM prices stayed around $30/MWh.

But sooner or later a national system is a sitting duck for one small mind to come along and truly muck things up.

Please spread this graph far and wide.

Thanks to a Dr Michael Crawford who did the original, […]

AEMC wants input on how to save Australia’s Electricity Grid — Due Monday Feb 6th

AEMC is the Australian Energy Market Commission. It’s “the rule maker for Australian Electricity and gas markets”. They make the National Electricity, Gas, and Energy Retail rules. There are a lot of government bureacracies. AEMC sound more influential than most, and they are asking for consultation, but by Monday. There will be a chance to comment in March, but I know some readers have material already written that is relevant. Sorry about the short notice.

AEMC invites consultation on ways to deliver a reliable supply of energy at the lowest cost

Stakeholders are encouraged to provide input on the Interim report.

9.1 out of 10 based on 47 ratings […]

Political Vandals: Victoria, the diesel state, bans, hides, cheap cleaner gas, blames fuses, air conditioners

How much do we hate Lignite Gas?

Victoria is suffering the largest rises in wholesale electricity prices in the country, as it sits on large gas fields that it won’t touch. Why — geniuses hope to reduce global droughts and floods and sea level in 2100.

Robert Gottleibsen savages the state governments that conducted the renewables experiment without mentioning the real costs or the cheap alternatives.

If Victoria allowed its gas to be developed the energy scene in Australia would be transformed, as would the outlook for the nation.

But that’s not much consolation for those in vast areas of rural NSW and Victoria plus suburban Melbourne and small areas of South Australia who suffered blackouts or reduced power on Sunday night. It’s true part of the outages were caused by fuses, but the outages were too widespread. It’s another smokescreen.

If similar conditions are repeated on weekdays and/or extend over several days the blackouts will be devastating as a result of the political vandalism. Government spin doctors and others are desperately trying to conceal the truth about the damage governments headed by Victorian Premier Daniel Andrews, NSW Premier Gladys Berejiklian (plus her predecessors […]

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

[…]

Another hidden cost of intermittent renewables (It’s time to talk about FCAS and roaring price spikes!)

The shape of normal AC Electricity: 50Hz (230V) and 60Hz (110V)

Nobody says much about FCAS in public — but it’s become a hot topic among Australia’s energy-nerds and electricity traders. It never used to be a big deal, because we got it at very low cost from huge turbines — from coal, hydro, and gas. Suddenly, it is costing a lot more. As I discovered below, in one month FCAS charges in South Australia rose from $25,000 to $26 million. Wow, just wow.

What is FCAS?

FCAS means”Frequency Control Ancillary Service”. With an AC (or alternating current) system, frequency is everything — the rapid push-pull rhythm that is the power. FCAS is a way of keeping the beat close to the heavenly 50Hz hum (or 60Hz in America and Korea). Network managers cry when things stray outside 49.85Hz or 50.15Hz. So controlling the frequency is a very necessary “other service” supplied by traditional generators, but not so much from intermittent renewables. Large spinning turbines “do” FCAS without a lot of effort. And the cost used to be a tiny fraction of the total electricity bill, but it is rapidly rising in Australia, thanks to the effect of the […]

South Australia heads back 100 years to diesel (with battery back up)

The new SA rescue plan is more diesel than battery

Diesel’s prototype engine circa 1892.

A big fuss was made today over the world record battery, but the diesel generators put on a hire-purchase plan three days ago are more than twice the power:

The world’s biggest lithium ion battery has been launched in South Australia, with Premier Jay Weatherill declaring it an example of SA “leading the world”.

The first diesel generator was patented in 1892. Go, Go, SA.

A battery bandaid arrived barely in the nick of time:

That reliability was tested before the battery’s official launch when it began dispatching around 59 megawatts into the state’s electricity network on Thursday afternoon as the state hit temperatures above 30C.

How fragile is this system?

The facility has the capacity to power 30,000 homes for up to an hour in the event of a severe blackout but is more likely to be called into action to even out electricity supplies at less critical times.

There are 673,540 households in South Australia and the Big Battery can supply 4% of them for an hour with electricity, or all of the state for a […]