Eric Worrall essay
I wonder what happens next when a government imposes more proxy in the middle of an offer and affordability crisis?
The procedure of the electricity price was confirmed before 200 US dollar billing migration: “Reform is required”.
The Minister of Energy Chris Bowen will announce a review of the failure market offer system, which as a benchmark for what retailers can invoice customers.
Tamika Seeto ยท Financial reporter
Updated Wed 18 June 2025 at 9:54 a.m.
The Australian households could soon be spared rising electricity prices after the Federal Government's approach. The Minister of Energy Chris Bowen will announce a review of the DMO system (default market offer) to stamp the overload and the price range.
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Bowen will today say an energy industry conference that the DMO system does not work and will be changed next year.
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Says Bowen The reforms will be designed for this “Get the best offer for consumers” and will Bring the system more in line with the one used in VictoriaWhere households will be hit with smaller hikes next month.
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According to Canstar, this will lead to an average increase of up to 228 US dollars for NSW households, 77 US dollars for households from Queensland and 71 US dollars for south Austral households.
Victoria is recorded compared to an average increase of 1 percent, with some consumers being expected to go back. The maximum prices are determined by the state's Essential Services Commission.
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Read more:
The rest of Australia in harmony with Victoria threatens the catastrophe of Victoria's Grid Management to the entire east coast of Australia. Victoria's energy system does not work. Consumers in Victoria may have avoided paying the market costs on this occasion, but the energy supply companies seem to react to Victoria's price agency by lowering the maintenance of the power plants.
The problem was tightened during the green energy failure of last week in Victoria because one of Victoria's main coal systems was offline. The coal plant had literally started falling into pieces (H/T Rickwill).
The unit leaves the collapse at the Yalourn Power Station Offline for weeks
My June 9th
Consoling:
A unit at the Yalourn Power Station will be offline at least two weeks after an air duct has collapsed.
A report last month follows in which you showed that Yallourn is most unreliable in the Gippsland power plants.
What's next?
Energy Australia and Worksafe examine the incident.
A unit at the Yalourn Power Station in the Latrobe Valley from Victoria is expected to be offline for weeks after a huge air channel collapsed in the facility at the weekend.
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Energy Australia said it was expected that the unit was at least two weeks offline and examined the incident “to ensure the integrity of similar devices”.
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A Victorian government spokesman said there was no effect on Victoria's energy supply.
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Andy Smith, President of the Victorian district, said that the near-miss was a wake-up call to improve security in aging coal-fired power plants.
“Happiness was the only reason why nobody was injured or killed on the weekend,” he said.
“It is not practical that the plant has reached the stage in which it literally breaks down for workers while fulfilling their duties. “”
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Read more: https://www.abc.net.au/news/2025-06-09/yallourn-bower-station-oullapse/105394406
It is worthwhile to click on the link above to display pictures, appreciate the scale of collapse, the size of the collapsing air canal.
At the time of the collapse of the coal work (a few days before the collapse of the renewable generation), the Victorian government claimed that it had no effect on the offer, but subsequent events showed that the energy supply in Victoria is a real problem.
Victoria's mismanagement about her energy supply is so bad that it creates public friction with other countries that are fed up with continuously saving Victoria's bad decisions. But other states could soon have no choice but to live thanks to the federal energy minister Chris Bowen according to Victoria rules for Grid Management.
“Rescue rescue bad decisions”: Queensland strikes Victoria about gas supply
James Hall, Angela Macdonald-Smith And Sumeyya Ilanbey
June 13, 2025 – 5:55 p.m.
Victoria cannot rely on pulling more gas from Queensland to support an energy system that was pushed to the edge by a cascading set of breakdowns and concerns about the reliability of renewable energies, with the pipeline flowing south in full capacity.
The Liberal-National Government of Queensland is still decided to continue to support the southern state's energy law, and said that it does not have the gas supply to continue to save Victoria's poor decisions.
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“Queenslanders should not be punished for unscientific decisions in the south that prefer the ideology of economy and engineering.He said.
“We do not have the pipeline capacity to further save Victoria's bad decisions. The solution to the southern state's gas crisis is that the southern countries develop their gas reserves. We do not ask you to do something that we have not done ourselves. “
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Read more (Paywalled): https://www.afr.com/policy/energy-and-cima/bailing-out-bad-decisions-sland-slams-s-victoria-over-gas-20250613-P5M762
You can no longer set a offer crisis with price controls, as well as you can tax your way into prosperity. During the crisis energy prices of the past week, thanks to a collapse of the renewable generation and a number of gas and coal failure, $ 15,000 / MWh or $ 15 per kWh rose. However, the proposed reaction of Federal Energy Minister Chris Bowen is to limit the scope of the electricity retailer in order to regain these losses. At these prices, a plugin household oil heating worth 30 US dollars per hour can burn a wholesale current, but stricter price controls of the government would mean that electricity retailers can only return a small fraction of these costs.
The reasonable solution to the supply crisis is to free the energy market and to have the supply problem solved with all available means. Price signals north of 10,000 US dollars / MWh usually have the suppliers to launch their generation capacity, which leads to a rapid stabilization of price and offer. However, this necessary market correction will not happen as long as Australian politicians continue to punish reliable energy generation in their crazy striving for NET zero. The charge of price controls in the middle of an offer crisis will make the supply crisis worse – since the Australians are about to discover the hard path.
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