This is about much more than the factors the Australian Energy Market Operator (AEMO) blames for its unprecedented intervention:the rapid onset of cold weather,the shortages at coal-fired power stations that are out of action for maintenance,the high prices for coal and gas.
It is about a disgraceful failure in Australian politics over a long period of partisan fighting without a solution.
After years of slow failure in plain sight,the Australian energy system has hit the wall. This is a moment like the collision at the end of a slow-motion crash test video when the car crumples under pressure. Anyone watching could see the jolt coming for the crash test dummies.
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But this is no test:Australian customers are in the passenger seats. This is a live experiment with an electricity market that is no longer up to the essential task of serving households and businesses.
Australia has not installed enough renewable energy quickly enough and has failed to provide enough storage for that energy. The withdrawal of coal-fired power has been under way for years and the country is still not ready despite the warnings. The high price of gas has been forecast for years and is sending electricity prices soaring.
While the Russian invasion of Ukraine put even more pressure on fuel supplies and prices,the trends were foreseen long ago.