Australia Faces Blackout Threat as Coal Plant Closure Looms, Urgent Call for Grid Stability Solutions
November 30, 2025
While renewables and transmission are on track to replace Eraring by 2027, authorities warn the essential security infrastructure may not be delivered until 2028, creating a window of potential instability.
Origin Energy is evaluating multiple scenarios for Eraring’s closure, with a base case of 2027 and a possible extension to 2029 if needed for security, reflecting ongoing risk management.
Eastern Australia faces a real risk of blackouts starting as early as 2027 as Origin Energy retires the Eraring coal plant and rooftop solar surges, with grid-stability gaps likely to persist despite ongoing work.
NSW is accelerating the rollout of synchronous condensers—devices that add inertia and stability without burning fuel—and has passed legislation to quicken deployment by about 18 months, though some gaps may remain.
Federal Energy Minister highlights a push toward more large-scale and home batteries, pointing to programs like Cheaper Home Batteries and Solar Sharer as steps to lower bills and bolster grid reliability.
Transgrid cautions about system-strength gaps between Eraring’s retirement and condenser availability, suggesting additional coal, gas, or hydropower could be contracted to meet minimum strength requirements.
AEMO chief executive emphasizes urgent investment in condensers and large batteries to address system-strength risks in NSW and Queensland and to keep grid security as renewables expand.
The Greens oppose boosting local gas exports without federal backing and propose using potential gas-tax revenue to compensate households hit by rising prices, signaling political tension over domestic gas supply and pricing."
The retirement of coal plants and rapid rooftop solar growth remove inertia from the grid, making a renewables-dominated system cheaper but requiring extra stability services like condensers, batteries, and possibly backup generation.
Summary based on 1 source
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The Sydney Morning Herald • Nov 30, 2025
Blackout risk: Grid ‘not ready’ for coal plant closures, solar surge