News

June 16, 2022

EnergyAustralia Supply Update 

Key Points

  • EnergyAustralia continues to focus on all options to increase fuel and generation supply into the National Electricity Market.   

  • Generating units at Mt Piper, Tallawarra, Newport, Jeeralang and Hallett are online. 

  • Three of the four units at Yallourn are online, with the fourth planned to return to service late next week.  

  • Gas generators are currently playing a critical role in supporting the energy system. 

  • The Illawarra NSW based Tallawarra gas power station has been running at much higher than historic levels.  

  • EnergyAustralia is purchasing gas and diesel on spot markets to support additional production from Newport and Jeeralang in Victoria. 

Statement attributed to Mark Collette, Managing Director at EnergyAustralia:  

“We acknowledge and support the decision of the Australian Energy Market Operator to temporarily close down the spot electricity market yesterday. The situation in recent days has posed challenges to the entire energy industry.   

“Right now we are exploring all options to continue to increase our fuel and generation supply into the electricity market. Our teams across Australia are working 24 hours a day to get more energy into the system. 

“Today, we have our units at Mt Piper, Tallawarra, Newport, Jeeralang and Hallett online.   

“Three of our four units at Yallourn are now online, which is good for the system, our customers and we thank our people for their hard work. Yallourn’s maintenance teams are working tirelessly to bring the fourth unit back online, planned for late next week.  

“Our gas generators are currently playing a critical role in supporting the energy system. 

“Our Illawarra based Tallawarra power station has been running at much higher level than in recent years, backing up the system through this time.   

“In an average year, Tallawarra power station usually runs at around 20 per cent of its full 435-megawatt capacity. So far this year that figure is around 60 per cent, and since the beginning of May, the number is closer to 75 per cent.  

“Similarly, we have purchased gas and diesel through spot markets to support additional production from Newport and Jeeralang in Victoria. 

“Meanwhile, major maintenance works have been completed on our second unit at Mt Piper in New South Wales. Both units have been available since 5 June. However, one unit will need to come offline this weekend to repair boiler equipment. The plan is to swiftly return the unit to service early next week.  

“Coal supply to Mt Piper is at lower levels than we planned for. A decade ago, there were six local mines capable of supplying Mt Piper. Today, the power station gets most its coal from the nearby Springvale mine. Production and deliveries are below expected levels in 2022.  

“We know it’s our job to do everything we can to support our customers and the energy system more broadly. If any of our customers are doing it tough today – please call and let us know. Our team is here to help.”  

Customers in need of support are encouraged to visit our website or to call 133 466.  

Background

Australia’s current energy supply crunch is the result of heavy rains and geological issues slowing domestic coal supply, cyclically low wind and solar production, untimely generator outages, the war in Ukraine and sanctions against Russia and high prices for Australia’s coal and gas.  

Overall costs for supplying power have increased and the tight market conditions being seen, both domestically and internationally, is having an impact on all participants across the energy sector.  

The 1480MW Yallourn power station in Victoria has four generating units and began operations in the 1970s. The site has a history dating back almost a century and is fueled by the adjacent Yallourn mine, also owned by EnergyAustralia.   

The 1430MW Mt Piper power station in New South Wales has two units of 730MW and 700MW respectively. The station was commissioned in stages over 1992 and 1993.