Australian wholesale power costs soaring despite Morrison government’s budget claims

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Spike in prices in part caused by coal-fired power plants cutting output, says analyst

The Liddell power station in Muswellbrook, NSW shut one of its four units on 1 April. Prices for most of the national electricity market are running at double that promoted in the federal budget.The Liddell power station in Muswellbrook, NSW shut one of its four units on 1 April. Prices for most of the national electricity market are running at double that promoted in the federal budget.

The prices – which are one factor affecting household power bills – are at odds with the Morrison government’s claims as recently as last month’s“The government is delivering on its commitment to a secure, affordable, and reliable energy supply and has achieved its goal of wholesale electricity prices under $70/MWh,” the budget said. “The government’s actions have helped reduce residential electricity costs by 8% and small business costs by 10% over the past two financial years.

 

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