Market Report

Once upon a time Australia was an energy island, this is no longer the case.

As July drew to a close, rays of light penetrated from the 2022 Energy Crisis. Market conditions are easing, but it may be a temporary phase emerging from the winter.

This month's energy market news covered a wide range of issues dealing with the energy crisis, and the many transition projects and policies underway.

The month of June set new records on all fronts, leading the east coast of Australia energy market into a new paradigm.

The month of June has been extraordinary, with administered prices invoked across the NEM, market suspension and financial pain being felt by consumers and some industry participants.

The energy market in the NEM has now progressed from extraordinary to crisis, thereby becoming a topic of discussion at Sunday BBQ’s and Board Rooms across Australia.

Market news this month have been dominated by the Federal Election, AGL demerger and soaring market prices.

The Australian east coast energy market has reached an important juncture as the market grapples with the renewable transition and absorbs the global impact of rising energy prices. Origin Energy's CEO Frank Calibri prediction that, “It's going to get messy”, has arrived.

Our news bytes for the month of April 2022 are dominated by renewables, policy issues including election issues and financial news.

The month of March has been another significant month as Australia has not been immune from the global upward energy price pressures, by experiencing an unparalleled surge in energy costs for the forthcoming Australian winter, which has flowed through to forward prices for the next few years.

This month is dominated by news relating to the fast tracking transition Australia is facing to renewables. Consequently, the dominant sections are Renewables, Hydrogen and Storage.

February 2022 delivered much stronger electricity spot price outcomes and despite global pressures, steady gas spot prices. Next winter forward electricity prices surged and longer dated forward prices rallied driven by recent trends, the Russian invasion, and early power station retirements.