The decreasing prices of renewables and energy storage will overcome gas-fired generation in South Australia as early as 2025 as reported by the joint research conducted by Wood Mackenzie and GTM Research.
South Australia closed its last coal plant in 2016. By the year 2025, wind, solar and battery costs will go down by 15%, 25% and 50% respectively. By that time, renewables and batteries could offer a lower cost alternative to combined-cycle gas turbine plants, which are generally used in managing base load power generation in SA.
By 2025, it’s expected that 67% of South Australia’s power capacity will come from renewables and gas demand will go down by 70% in the power sector.