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The timing could scarcely be worse for Australias troubled electricity market. Power price spikes and gas shortages have frustrated businesses and homes across the country, putting pressure on state and federal politicians to resolve how one of the worlds biggest coal and gas exporters has trouble sustaining reliable and affordable electricity. Supply Bridge How other sources can bridge the supply gap in Victoria isnt clear. Under-utilized capacity elsewhere can be tapped to meet shortfalls and ensure sufficient power during summer demand peaks, according to a March 23 statement from the AEMO, which didnt provide specifics.Federal Energy Minister Josh Frydenberg said in November, when the closure was announced, that Victoria could import coal-fired power from New South Wales and hydro-generated electricity from Tasmania. One such deal seeking to bridge a shortfall in generation in neighboring South Australia was announced Wednesday. Origin Energy Ltd. plans to free up more natural gas at peak times in the state forEngies Pelican Point power plant, in return for increased electricity supply at a fixed charge. The deal speaks directly to the question of private market participants finding a solution for grid stability and reliability issues, RBC Capital Markets analyst Ben Wilson said in an emailed note. The Ai Group, an association that represents 60,000 Australian businesses, last week called for government Heart Surgeon mortgage intervention to keep Hazelwood open and said it was unclear if other generators in the market will be able to step in.
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