ENERGY Networks Australia has welcomed support from the COAG Energy Council for a national hydrogen strategy and a streamlined process to deliver a more connected electricity grid.
CEO Andrew Dillon said the COAG Energy Council direction to progress the Group 1 projects in the Australian Energy Market Operator’s Integrated System Plan was an important step towards delivering better flows of power across the National Electricity Market (NEM).
“Around the world, the logical response to growing levels of variable renewable generation is to have a more connected electricity system,” Mr Dillon said
“A more connected grid that links states will provide significant benefits to customers – better reliability and increased competition in the wholesale energy market.
“The overall savings to the electricity system from timely transmission investment have been estimated by AEMO to be about $1.2 billion – savings for customers off future power bills.”
Mr Dillon also welcomed the South Australia and New South Wales Memorandum of Understanding to progress a new electricity interconnector between the two states.
“This project will lower electricity prices in both states and improve security of power supply right across the NEM,” he said.
Another important decision of the COAG EC was the agreement to develop a national hydrogen strategy to progress options to decarbonise Australia’s gas networks and the development of a hydrogen export industry.
“Hydrogen is a fuel of the future and Australia is perfectly placed to benefit from its use to help decarbonise our gas sector,” he said.
About Enery Networks Australia
Energy Networks Australia represents Australia’s electricity transmission and distribution networks and gas distribution networks. Members provide energy to virtually every household and business in Australia.