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Forest report incoming
Flying together
David Butler, Laura Myer, and Phillip Bloy are part of the Mountain Track team.The program has established workshops in Jumbuck, and aims to help troubled youth get back on the right path. STORY - PAGE 7
Backwards trend By PHILIP HOPKINS
ENERGY costs in Victoria have risen again, with the Australian Energy Market Operator reporting a 43 per cent surge in wholesale electricity costs for the April to July quarter this year compared with last year, due mainly to less power from both wind farms and hydro, but more production from gas. However, there was continued lower output from the Longford gas station, while the Latrobe Valley’s brown coal power stations produced at near full capacity. The AEMO 2024 second quarter report found that wholesale spot prices across the national energy market (NEM) averaged $133 per MWh, a $25/MWh (+23 per cent) increase from the second quarter 2023 and a $58/MWh (+76 per cent) rise from the first quarter in 2024. Victoria’s quarterly average price reached $127/MWh, a rise of $39/MWh
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(+43 per cent) relative to $89/MWh in the last second quarter. The Herald Sun’s business commentator, Terry McCrann said that in 2012, when black and brown coal were dominant and before the big growth in wind and solar power, AEMO data showed that the wholesale price of electricity averaged $30/MWh over the entire year and in every state in the National Energy market (NEM). Mr McCrann noted that this meant the Q2 average price of $133/MWh was 340 per cent higher than the electricity price across Australia over the entire 2011/12 year. The 2024 AEMO Q2 report said the higher wholesale prices were due to low wind speeds and reduced rainfall in the southern NEM, which forced the NEM to rely on gas-fired generation. In Victoria, the increase was also driven by stronger regional demand and the need to meet increased exports of energy to Tasmania where continuing
dry conditions reduced hydro production. Reduced wind and hydro output meant that brown coal generation was less frequently marginal, particularly in higher-price morning and evening peak hours. The average brown coal-fired generation was 3947MW in the second quarter of 2024, an increase of 166MW (+4.4 per cent) driven by the low wind and low hydro, and increased operational demand in Victoria. Increases in brown coal output were evident across all hours of the day. National average operational demand was slightly higher at 21,913MW. Output from Loy Yang A in Q2 24 was 2001MW, a utilisation rate of 95 per cent, Loy Yang B 994MW (97 per cent utilisation) and Yallourn W 952MW (98 per cent utilisation). The AEMO Q2 2024 report also included: Wind output reduced to a quarterly average of 2657MW, a fall of 657MW
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(minus 20 per cent) from last year, with wind available capacity factors down to their lowest levels since Q2 2017. This was despite new and commissioning wind farms adding 167MW to availability and half-hourly output reaching the highest level recorded to date at 8375MW on May 30. Hydro-generation reached 1607MW over the quarter, a reduction of 18 per cent from last year and the lowest output for a quarter since 2017. Gas-fired generation rose to average $1702MW, up 16 per cent on last year. Batteries’ role in supporting morning and evening demand peaks became more prominent, with average generation in those periods more than doubling since last year, reflecting the big annual increase in NEM battery capacity. Changes in domestic gas supply dynamics continued since Q2 2023,
CONSULTATION has now closed for the investigation by the Victorian Environmental Assessment Council into the future of the native forests in the Central Highlands. The Eminent Panel that has been assessing community feedback on the VEAC proposals is currently preparing its recommendations to government on the future use and management of these forests. The panel hosted more than 60 targeted engagement sessions with organisations and community representatives from more than 80 groups. More than 1000 people attended nine open community drop-in sessions in Noojee, Healesville, Warburton, Yarra Junction, Gembrook, Wandong, Marysville, Drouin and Alexandra. Data is also being collated from the EngageVic website, with more than 60,000 unique page visitors and 14,000 unique survey responses. The panel has requested extra time to complete its report to ensure that all voices are properly heard and considered as part of its report to government. VEAC will finalise its economic assessment of the panel’s recommendations and produce a final report, in line with its terms of reference, following the completion of the panel’s report. There will be further opportunities to contribute to conversations about the future use of state forests with the Great Outdoors Taskforce that is working in forests in North East Victoria and Gippsland.
with gas production from Longford continuing to decline, replaced by supply to the southern states from Queensland rising to a new Q2 record and a greater reliance on underground gas storage to meet southern demand. Production at Longford fell by 11 petajoules from Q2 2023, reaching its lowest Q2 level since the start of data publication in 2009. Member for Morwell, Martin Cameron, said the massive spike in power prices was more evidence that the state government’s promise to reduce energy prices was in tatters. “The Minister for Energy, Lily D’Ambrosio, keeps telling us that power prices are going “down, down, down”, but the opposite is happening and there is no sign of downward trends emerging,” he said. Continued - Page 3