Renewables driving down wholesale power prices in state where targets to be scrapped
Wholesale electricity prices in Queensland fell by nearly 40% over the 2023-24 financial year, prompting calls for the new Liberal government to stick with the state’s renewable energy targets.
The Sunshine State’s average wholesale power price fell by 39% over the last financial year, or by $54 per MWh – more than any other state on the NEM.
The price drop is attributed primarily to the increased supply of solar and wind energy, as well as to a relatively stable 12 months of supply from scheduled generators.
Of course, as the report notes, lower wholesale electricity prices do not automatically translate into lower customer bills.
But they are a sign that the cost of generating electricity is not going up as the state shifts to renewables.
Queensland is also on track to meet all of its renewable energy targets, including 80% by 2035.
The new Liberal Queensland government doesn’t currently have an energy plan and is considering repealing the state’s renewable energy targets.
Queensland is now running on 27% renewable energy.