EUAA Submission: SA Department of Energy & Mining – Firm Energy Reliability Mechanism Proposed Scheme Design Consultation Paper
Emily Wood | December 20, 2024
‘… The EUAA support the pursuit of net zero targets but this must be achieved at least cost, not at any cost. To do this, we support the creation of efficient, transparent markets and supportive, well-targeted government mechanisms and incentives.
Additionally, we seek an equitable allocation of the costs and risks associated with the transition to net zero, as all too often energy consumers are expected to carry the heavy weight of market (i.e. shareholder and/or debt providers) risk that should sit with market participants. We firmly believe that this transfer of risk is inconsistent with the NEO.
We also see South Australia as the leader in Australia’s transition, and often the “test-bed” for how the NEM can be managed with high penetrations of variable renewable energy resources. In recent years SA has had particular issues with the high penetration of rooftop solar that creates a negative demand on the network, but does not provide for essential system security, and the fast-ramping rate of generation required between rooftop solar reducing output while system demand approaches its maximum in the evening. These issues have been exacerbated by the exit of synchronous generation from the SA market that can provide both system security and ramping for the peak….’
Please download attached document to read full submission.
