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applegrove

(132,452 posts)
Sun Apr 12, 2026, 02:44 AM Sunday

In early 2026, South Australia has emerged as a global case study for the renewable transition, with electricity prices




In early 2026, South Australia has emerged as a global case study for the renewable transition, with electricity prices dropping by roughly 33% in a single year as the state nears its goal of 100% net renewable energy.

Reddit

Key Highlights of the Transition
Price Reductions: Wholesale electricity prices in South Australia recently tumbled by a third, reaching some of the lowest levels in the country.
Abundant Supply: The state has reached milestones where renewables (wind and solar) met over 150% of total electricity demand, allowing excess power to be stored in large-scale batteries or exported.
Negative Pricing: Wholesale prices frequently go negative—occurring nearly 48% of the time in some quarters—due to the oversupply of renewable generation.
Household Savings: More than 50% of homes in the state now have rooftop solar, with many also installing home batteries to further reduce or eliminate grid reliance.

New Scientist
+3
Broader Australian Context
While South Australia leads, the rest of the country is seeing similar trends as it moves toward a national target of 82% renewables by 2030. According to the Australian Energy Market Commission (AEMC), residential electricity prices are projected to decline through 2030 as renewable and battery capacity increases.

AEMC
+2
Experts from Climate Energy Finance note that while the transition requires significant upfront investment in transmission and storage, wind and solar are now the cheapest forms of new energy generation in Australia.


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In early 2026, South Australia has emerged as a global case study for the renewable transition, with electricity prices (Original Post) applegrove Sunday OP
roof top solar. control the sun on your space. battery backup for the low times. winner nt msongs Sunday #1
As someone who actually lives in South Australia I must say Bunkum! Aussie105 Sunday #2
Thank you for responding with facts rather than hopium. harumph Sunday #3
Yikes! There's no way I'll be clicking on that bloated link. hunter Sunday #4

Aussie105

(8,004 posts)
2. As someone who actually lives in South Australia I must say Bunkum!
Sun Apr 12, 2026, 04:08 AM
Sunday

Last edited Sun Apr 12, 2026, 04:47 AM - Edit history (1)

At least on the 'cheaper' part.

No price reduction seen by me, the bill payer.

I can quote you quarterly bills for electricity going back over 10 years.
The total bill for 2025 is around AU $4K.
And looking to be higher this year.

South Australia has the highest electricity prices in the country.

What explains the high current prices?

1. The cost to electricity suppliers of setting up wind and solar farms.
2. Setting up a battery farm for a 24 hour supply if the generation system or network goes down.
3. Setting up a desalination plant in preparation for the next drought. It's idling but still needs power to do that.
4. Relatively small population to spread the costs over. 1.9 million.

Source of the claim that electricity prices dropping by roughly 33% in a single year desperately required, because I'm not seeing it.

Maybe in future years, when the establishment costs have been paid off.
Maybe by 2030?

Honestly, some of the crap pushed as facts! Mind boggling!

But the sources are Reddit, Facebook and New Scientist . . . say no more!

Some Alternate Facts:

"Electricity prices in South Australia are among the highest in Australia, with average annual bills for households exceeding $2,300 as of mid-2025. Costs are rising due to network investments and generation costs, with average rates around 43.9c/kWh. Residents are advised to compare plans, as rates vary significantly, and solar feed-in tariffs are declining, often to 4c–8c/kWh.

Key Electricity Price Factors & Trends (2026):
Price Increases: Annual bills for South Australian households were projected to increase by $71 starting July 1, 2025, exceeding $2,300, according to industry forecasts."

We aren't big users.

All electric home, 2 adults, 1 cat. No rooftop solar.

Heating and cooling is by a single wall mounted reverse cycle air conditioner and restricted to the living room only.
The rest of the house is hot or cold depending on the weather.

hunter

(40,750 posts)
4. Yikes! There's no way I'll be clicking on that bloated link.
Sun Apr 12, 2026, 01:25 PM
Sunday

In any case the claim that "wind and solar are now the cheapest forms of new energy generation" is an accounting trick that neglects the costs of integrating this "renewable energy" into a reliable electric grid. If we are being honest with ourselves it's a lie.

In practice places with aggressive renewable energy programs have some of the most expensive electricity in the developed world and the economic viability of these renewable energy schemes is dependent on having neighbors willing to buy excess solar and wind energy. In some places, such as Scotland and Northern England, the utilities have to PAY for the privilege of exporting excess wind energy. Electricity consumers in Norway, for example, are starting to complain about increasing electric bills that are a consequence of surrounding nations using their hydroelectric powered electric grid as a "battery."

When Scotland generates 200% of it's national electric demand with wind power that excess energy has to go somewhere. Worldwide, the problem of excess wind or solar power is usually dealt with by selling it (sometimes at a negative price... ) to neighbors with dirtier electric grids. If neighbors are not willing to accept this excess power (maybe because they have their own surplus of "renewable energy" ) the knee-jerk solution is expensive battery or pumped hydro energy storage schemes. These add further to the cost of electricity.

The results of large scale renewable energy experiments are not promising. The rough math is:

For fossil fueled electric grids you can triple the price of electricity for a 75% reduction in greenhouse gas emissions. Further additions of renewable energy have increasingly diminishing returns. Renewable energy cannot displace fossil fuels entirely.

In the long run nuclear power costs less than hybrid gas/wind/solar/battery systems with a quarter the greenhouse gas emission or less. Nuclear power could displace fossil fuels entirely. In doing so it would also make large scale wind and solar projects unnecessary.

South Australia follows the same pattern as other electric grids with aggressive renewable energy programs such as California or Denmark. Electricity is expensive and carbon dioxide emissions are five or six times those of nuclear powered France.

https://app.electricitymaps.com/map/zone/AU-SA/12mo/monthly

Estimating future reductions in greenhouse gas emissions by linear extrapolations of renewable energy trends is unrealistic. I'm certain the fossil fuel industry in Australia and worldwide understands this. If the public will not accept an economy powered entirely by fossil fuels, these aggressive renewable energy programs are the next best thing because they will only prolong our dependence on fossil fuels.

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