AGL recognises the substantial work in the Finkel blueprint and is optimistic that the solutions it puts forward will deliver a more secure, reliable and affordable energy system, provided they are implemented in an integrated fashion.
AGL has long been advocating for changes in the market that better support and integrate renewable energy generation and deliver more reliable and affordable energy for customers.
While we have advocated for an Emissions Intensity Scheme (EIS) we believe a Clean Energy Target (CET) is a viable policy option and will unleash the necessary new investment in the national electricity market. We note that the Finkel review has found the resource costs of a CET are relatively similar to both business-as-usual and an EIS.
As the operator of the most efficient and lowest emissions coal-fired generators in Victoria and NSW, coupled with our extensive renewables and gas generations assets, AGL is well placed to continue to supply our customers while investing in new lower-emissions generation infrastructure.
We support the recommendations for advanced notice of closure of thermal plant and a 'dispatchability' requirement for new renewables when AEMO deems it to be necessary. These mechanisms should provide greater system security and reliability, as well as a more orderly transition to a decarbonised energy system.
Our announcement this week to build a new fast-start, more fuel-efficient gas-fired power station in South Australia reflects our commitment to investing in a new modern energy system. We are hopeful that the Finkel blueprint does receive support so the market can invest with more certainty.
AGL is one of Australia’s leading integrated energy companies. It is taking action to responsibly reduce its greenhouse gas emissions while providing secure and affordable energy to its customers. Drawing on over 175 years of experience, AGL serves its customers throughout eastern Australia with meeting their energy requirements, including gas, electricity, solar PV and related products and services. AGL has a diverse power generation portfolio including base, peaking and intermediate generation plants, spread across traditional thermal generation as well as renewable sources including hydro, wind, solar, landfill gas and biomass.