NEM

  • Press Releases

    Coal exit and workforce shortages keep short-term power prices high

    The ongoing phase-out of coal facilities and the sluggish progress in launching new renewable energy projects, partly due to shortages in the skilled workforce, are poised to push electricity prices higher until 2030 as the next tranche of coal units retires. The latest NEM Benchmark Power Curve report from Cornwall...

  • Press Releases

    Proposed change in capacity forecasts for National Electricity Market an important step towards accuracy

    Data analysed by Cornwall Insight Australia, as part of our ongoing review of the National Electricity Market (NEM), has shown the capacity of the NEM is being drastically overestimated in the short-term and underestimated in the long-term. The delays experienced by new connections and the exclusion of projects that are...

  • Press Releases

    Incentives for off-peak charging of electric vehicles could ease stress on the grid

    New data from Cornwall Insight Australia's EV uptake model shows that under an extreme scenario, 22 million electric vehicles (EVs) are expected to be part of the National Electricity Market (NEM) states’ fleet by 2052. The scenario is based on a high population and an EV penetration rate of 98%...

  • Press Releases

    Average power prices to remain elevated for the next three years

    Data from Cornwall Insight Australia’s Benchmark Power Curve (BPC)1 has forecast that from 2026, power prices in a neutral/base scenario will be, on average, ~$60-$100/MWh across all states in the National Electricity Market (NEM). This aligns with ~$40-80/MWh levels seen during 2021. The BPC has, however, forecast that the annual...

  • Press Releases

    ESB and Cornwall Insight Australia provide final advice to energy ministers

    Last week, the Energy Security Board (ESB) released its recommendations for the redesign of the National Electricity Market (NEM). Cornwall Insight Australia (CIA) was engaged by the ESB to assess the potential benefit of the proposed essential system service reform package for system strength provision. The report detailed that these...

  • Press Releases

    Market Price Cap incidents on the rise in the last two years

    Instances of sustained Market Price Cap (MPC) – especially during high demand days – have been on the rise in recent years, according to the latest research from Cornwall Insight Australia. In the last two years, the total count of periods when the market has settled at MPC is 16...

  • Press Releases

    7GW of battery storage projects in the pipeline across Australia

    Projections from Cornwall Insight Australia show there is ~7GW of battery storage projects proposed or currently in the planning process. Of that 7GW there is just over 900MW of committed or significantly progressed storage projects set to be delivered by 2024. Key findings ~7GW of battery storage projects either proposed...

  • Press Releases

    Significant rise is electricity system constraint issues across Australia

    System strength — such as voltage control — is one of the most talked-about issues in the National Energy Market (NEM) this year. There are currently three rule changes dealing directly with system strength issues, which could have a profound impact on the electricity grid. Cornwall Insight Australia has examined...

  • Press Releases

    Increasing value for battery storage to shift generation

    The Federal Government announced last week that they would step into the electricity market to build up to 1,000MW of gas-fired generation to fill the gap left by the Liddell Power station for the 2023-24 summer unless the market can demonstrate final investment on dispatchable power by 2021. Since then,...

  • Press Releases

    Wind generation’s share of non-coal merchant revenues increased 30% in three years

    The energy transition is having a significant effect on merchant revenues for different generation types across the NEM. Research from Cornwall Insight Australia suggests wind generation captured almost half of the total spot market revenues in New South Wales (NSW) last quarter, accounting for more than gas and hydro’s share...

  • Press Releases

    Batteries FCAS revenues $290,000/MW more lucrative in SA than in Victoria

    The Frequency Control Ancillary Services (FCAS) markets are (mostly) created equal, with volumes procured across the National Energy Market (NEM) and prices settling at similar levels across each state most of the time. However, prices can deviate due to contingency events (interconnector failing or a generator tripping), constraints binding or...

  • Press Releases

    Solar power responsible for paying 20% of total FCAS regulation costs

    Latest research from Cornwall Insight Australia shows that solar farms are responsible for paying somewhere between 10%-20% of total regulation FCAS costs in any given month (see Figure 1). This is disproportionate to solar’s energy generation in the NEM, which in FY20, was only ~3%. In contrast, wind is far...