OPINION

Diesel and gas generation peaks in South Australia

No wind, cloudy weather leaves market exposed

Diesel and gas generation peaks in South Australia

Market operator data on Friday showed there had been a significant spike in diesel generation over the last 48 hours with its share of the energy mix jumping from less than 2% to nearly 20%.

Gas generation also jumped from roughly 4% to 80% of the mix. 

This is largely to do with a cold front over the state, which meant there was little wind and heavy cloud, impacting both wind and solar generation.

Wind made up just 1% of the energy mix yesterday and part of today, compared to 60% earlier in the week. There was no solar generation in the mix at all at one point. South Australia's feted big battery contributed 1% of electricity back up for about an hour or so.

The Australian Petroleum Production Exploration Association said the rise in gas use underscored the necessity of gas as a firming fuel amid the energy transition to renewables. 

"What this situation highlights is the important role gas will play in the future cleaner energy mix as a reliable fuel source, particularly as a firmer for renewables," APPEA acting chief executive Damian Dwyer said. 

"What is happening is precisely the reliable role gas can play, stepping up when the wind doesn't blow or the sun doesn't shine."

The rise in gas and diesel use came as the Australian Energy Market Operator on Friday afternoon issued a market notice warning that there was "inadequate" generation, and it may need to intervene in South Australia.

AEMO has the power to shut down commercial or industrial gas consumption in order to maintain grid security.

The first step in this is asking these gas customers to cut their use and receive small payments. However, at 5pm AEST it said there was an "absence of sufficient market response" and "may need to intervene by issuing a direction to one of more SA synchronous generation units."

A growing series of reports, each focused on a key discussion point for the energy sector, brought to you by the Energy News Bulletin Intelligence team.

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