The Australian Energy Market Commission has warned retailers to simplify bills and prioritise consumers or face new regulation. The warning comes as NEM wholesale power prices surged 42.5 per cent week-on-week to average $92.56/MWh. AEMC Commissioner Sally McMahon stated she wants to see a change in retailer behaviour before the rule-maker is forced to intervene with mandatory requirements. The commission is signalling a clear loss of patience with voluntary industry efforts. AEMC Chair Anna Collyer confirmed that separate, highly anticipated electricity pricing recommendations are due next week, clarifying they aim to balance interests for solar and battery owners, not protect networks.
Meanwhile, major grid augmentation projects are hitting key milestones. Queensland committed another $420 million to the CopperString transmission link, bolstering the project designed to connect the state's north-west mineral and renewable resources to the main grid. Further south, TransGrid announced its massive EnergyConnect project is now fully energised. The completion of Australia's largest transmission build brings the prospect of lower power costs closer for consumers across three states by improving interconnectivity and renewable energy transport.
Corporate demand for new generation continues to drive the project pipeline. Spanish developer Global Power Generation commissioned two solar farms in NSW and Queensland to supply Telstra under long-term power purchase agreements. The 260 MWp Glenellen and 100 MWp Bundaberg solar farms are now operational. This follows MN8 Energy's commissioning of 260 MWac of solar in the US to supply Microsoft, reflecting a global trend of large enterprises directly contracting for renewable supply to meet decarbonisation targets.
A significant shift in the global supply chain signals the rising dominance of storage. At the SNEC 2024 expo in Shanghai, battery energy storage systems surpassed solar modules in exhibition footprint for the first time. The pivot was underscored by the signing of over 97 GWh in storage supply agreements at the event. This focus on storage coincides with a global surplus of solar equipment, which is driving down costs. In Brazil, for example, residential PV installation costs fell 7 per cent year-on-year.
This rapid technological shift is occurring against a backdrop of increasing climate urgency. Global climate researchers report the 1.5°C carbon budget will be exhausted within three years at current emission rates, with warming accelerating to 0.26°C per decade. Domestically, progress faces cultural as well as technical hurdles. Analysis suggests friction between risk-averse network engineers and commercially-driven project developers is a primary barrier to accelerating grid connections in Australia. In the transport sector, ARENA is injecting $1.7 million into seven pilot projects to advance sustainable aviation and shipping fuels.
The accelerating deployment of renewables continues to displace fossil fuels globally. Natural gas's share of the global electricity mix has now fallen for five consecutive years, pushed out by cheaper solar and wind. Data from global energy think tank Ember indicates nearly half of all gas-reliant economies have already passed their peak consumption levels for the fuel. This trend highlights the economic and environmental pressures reshaping international energy markets.