National electricity market records a power surplus

FALLING demand for electricity in eastern and southern Australia has created a 16% power surplus in the national electricity market.

The surplus is hindering the transition to renewable sources of power generation, an Institute for Energy Economics and Financial Analysis report claims.

The report argues the domination of the market by coal-fired power is creating a "market imbalance" that could lead to blackouts and lower-polluting coal power stations being shut down earlier than higher ones.

The institute wants policies to drive more investment in renewable energy.



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