As for old school energy being profitable... it only remains to be the case because we end consumers continue to have price increases passed onto us. I personally want to see prices fall - not continue to rise. If Australia wants to be a leader in anything other than selling our raw resource.... we need cheap (or cheapest) energy
If it wasn't for legacy coal contracts - Bayswater and Liddell would have AGL seeing a world of pain right now
the states with the highest average power prices are those with the highest levels of coal (or fossil fuel) supply - this - is the part that needs to change.
IMO having any individual source of generation creating the majority of your supply is bound to lead to problems eventually... combine solar, wind, pumped hydro, hydro, coal, gas, wave..... in much more appropriate proportions (with appropriate geographic dispersion), then we can see just how "profitable" old school generators will be.
AGL Price at posting:
$8.41 Sentiment: Hold Disclosure: Held
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