why heat wave in vic & sa is good for ajq.

According to EnergyQuest, when Victoria was suffering in the grip of a heatwave, electricity consumption spiked and went through the roof.

Most people would expect this to happen.

What most people would not expect is that natural gas contributed 91% of the extra electricity needed last week in South Australia and natural gas contributed 46% of the additional electricity required in Victoria.

These numbers are based on YOY comparisions of which energy source was used to supply additional power to the grid when needed.

The five consecutive days of 40 degrees plus temperatures in VIC & SA required an increase of total electricity generation of 19% in VIC and 32% in SA.

AGL's Loy Yang electricity generation plant in VIC is coal fired and experinced an outage during this period...... natural gas stepped up to help meet demand.

Source: AFR and EnergyQuest.

The cost of closing coal fired power stations is horrendous. IMO, we will see coal fired power stations continue to operate but on reduced loads and to help meet our targets of reducing emissions, other energy sources, such as CSG, will slowly but steadily continue to increase as percentage of the energy source for base load power generation.

Australia's manufacturing industry is crying out for stable energy pricing, otherwise thousands more manufcaturing jobs are under threat.

More and more, gas is seen as an integeral part of providing our energy requirements.

Share price wise, AJQ does not look great short term but long term, she's cooking with gas....