{"id":26851,"date":"2019-01-03T05:18:33","date_gmt":"2019-01-02T18:48:33","guid":{"rendered":"https:\/\/www.solarquotes.com.au\/blog\/?p=26851"},"modified":"2019-01-03T05:21:34","modified_gmt":"2019-01-02T18:51:34","slug":"wa-wholesale-electricity-mb0885","status":"publish","type":"post","link":"https:\/\/www.solarquotes.com.au\/blog\/wa-wholesale-electricity-mb0885\/","title":{"rendered":"WA Wholesale Electricity Price Rises Under The Spotlight"},"content":{"rendered":"
\"Wholesale<\/a>

Image : geralt<\/a><\/p><\/div>\n

Synergy’s wholesale electricity market dominance has been highlighted in a discussion paper from Western Australia’s Economic Regulation Authority (ERA) released a few days before Xmas.<\/p>\n

Synergy is Western Australia’s largest electricity generator and retailer, providing 52% of the electricity sold to residential and commercial customers in the South West Interconnected System (SWIS) according to the company. The ERA states Synergy owns or controls around 80 per cent of electricity generation in the SWIS.<\/p>\n

Synergy is also WA government owned.<\/p>\n

In a report to Western Australia’s Minister for Energy on the effectiveness of the state’s wholesale electricity market (WEM) (2017\/18), the ERA notes prices had jumped by just under 50 per cent in the last six years. Usual drivers of price increases, demand and fuel costs, don’t seem to be the culprits.<\/p>\n

The ERA notes increased penetration of “intermittent” generation, particularly behind-the-meter technologies such as solar power, has been easing network demand during the middle of the day.<\/p>\n

Just in terms of small-scale solar (<100kW systems), Western Australia is home to more than 280,000 PV systems with a collective capacity north of 1 gigawatt. The number of systems in the SWIS has been pegged at close to 200,000. As at October 25, an estimated 26.1% of dwellings across the state had rooftop solar power<\/a> installed according to Australian PV Institute (APVI) statistics. This puts WA in third place in terms of saturation – behind Queensland (32.6%) and South Australia (32.1%).<\/p>\n

While increased use of gas-fired electricity generation to provide the rapid ramp-up in output needed to meet afternoon peaks when solar output quickly drops off could be driving higher input costs, the Authority’s initial findings on run times for Synergy\u2019s major generators suggests this is not the issue; although it is continuing research in this regard.<\/p>\n

The discussion paper also notes the volume of ancillary services required in response to increased volatility in demand related to rooftop solar power systems has seen no change, nor has an increased volatility in supply from a greater penetration of renewables-base generation been observed.<\/p>\n

Lack Of Competitive Pressure – But Still Struggling<\/h2>\n

Based on the information it has, the ERA’s conclusion:<\/p>\n

“Synergy\u2019s market power and a lack of competitive pressure in the WEM could be behind the upward trend in balancing prices, or gas-fired generation could be setting the balancing price in more intervals over the last six years.”<\/p><\/blockquote>\n

The ERA has invited those interested on commenting on its findings in the discussion paper<\/a> to make a submission. Submissions close 4:00 pm (WST) Friday, 8 February 2019 and should be lodged online using this form<\/a>.<\/p>\n

Even with the price hikes, Synergy has continued to find itself in financial strife and it doesn’t look like things will get better any time soon. In late December, it was reported Synergy’s bottom line was “set to blow out by more than a quarter of a billion dollars<\/a> over the next four years.” As in 2017<\/a>, a reason given was solar energy eating Synergy’s lunch.<\/p>\n

Long gone are the days when electricity generators and retailers looked at solar power and laughed. After realising solar would change everything, their resistance began and then finally grudging acceptance (although some continue to fight it<\/a>). The lack of foresight and expending so much energy in resisting change has been of great disservice to electricity consumers.<\/p>\n","protected":false},"excerpt":{"rendered":"

Synergy’s wholesale electricity market dominance has been highlighted in a discussion paper from Western Australia’s Economic Regulation Authority (ERA) released a few days before Xmas.<\/p>\n","protected":false},"author":17,"featured_media":26852,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[678],"tags":[],"class_list":["post-26851","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-solar-battery-news","entry"],"acf":[],"yoast_head":"\nWA Wholesale Electricity Price Rises Under The Spotlight<\/title>\n<meta name=\"description\" content=\"Synergy's wholesale electricity market dominance 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As in other states, this is creating some challenges in WA's South-West Interconnected System\u2026","rel":"","context":"In "General Solar & Storage News"","block_context":{"text":"General Solar & Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Remote solar disconnection in Western Australia","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/10\/remote-disconnect-wa.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/10\/remote-disconnect-wa.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/10\/remote-disconnect-wa.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/10\/remote-disconnect-wa.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2021\/10\/remote-disconnect-wa.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":61864,"url":"https:\/\/www.solarquotes.com.au\/blog\/wa-electricity-credit-mb2473\/","url_meta":{"origin":26851,"position":2},"title":"WA Household Electricity Credit Great News, But..","author":"Michael Bloch","date":"May 16, 2022","format":false,"excerpt":"The McGowan Government's announcement of a $400 electricity bill credit for all Western Australian households was no doubt welcomed by many and eyed enviously by those in other states. But it again only provides short-term relief from the ongoing hip-pocket pain from power bills. The $400 credit announced last week\u2026","rel":"","context":"In "General Solar & Storage News"","block_context":{"text":"General Solar & Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Household Electricity Credit - Western Australia","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/electricity-credit-wa.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/electricity-credit-wa.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/electricity-credit-wa.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/electricity-credit-wa.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2022\/05\/electricity-credit-wa.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":15085,"url":"https:\/\/www.solarquotes.com.au\/blog\/synergy-solar-power-mb0210\/","url_meta":{"origin":26851,"position":3},"title":"WA’s Synergy Feeling Solar Power’s Pinch","author":"Michael Bloch","date":"September 18, 2017","format":false,"excerpt":"While Synergy's recently released 2017 Annual Report indicates solar power may be eating some of its lunch, the company is also making progress in including more PV in its diet. Western Australian-government owned Synergy provides 52% of the electricity sold to households and business customers in the state's South West\u2026","rel":"","context":"In "General Solar & Storage News"","block_context":{"text":"General Solar & Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Solar energy and Synergy","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/09\/solar-energy-synergy.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/09\/solar-energy-synergy.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/09\/solar-energy-synergy.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2017\/09\/solar-energy-synergy.jpg?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":95617,"url":"https:\/\/www.solarquotes.com.au\/blog\/wa-flexible-smarter-solar-mb3301\/","url_meta":{"origin":26851,"position":4},"title":"Flexible Exports Soon For WA Under “Smarter Solar”","author":"Michael Bloch","date":"October 29, 2025","format":false,"excerpt":"Energy Policy WA is consulting on proposed rule changes to kick in early next year that aim to support larger and more small-scale rooftop solar and battery installations in Western Power's service area through the implementation of flexible solar exports. What Are The Proposed Smarter Solar Changes For WA? At\u2026","rel":"","context":"In "Solar Policy"","block_context":{"text":"Solar Policy","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-policy\/"},"img":{"alt_text":"Rooftop solar power systems in Western Australia","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/10\/wa-flexible-exports.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/10\/wa-flexible-exports.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/10\/wa-flexible-exports.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/10\/wa-flexible-exports.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2025\/10\/wa-flexible-exports.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":21805,"url":"https:\/\/www.solarquotes.com.au\/blog\/synergy-solar-sales-mb0601\/","url_meta":{"origin":26851,"position":5},"title":"Allegations Of Synergy Poaching Solar Power Sales","author":"Michael Bloch","date":"May 28, 2018","format":false,"excerpt":"Synergy's push into the home solar power market has led to complaints that the electricity retailer is pinching solar sales from other installation companies; claims the company denies. Synergy, which is owned by the Western Australian government, has a legislated monopoly on the sale of electricity to residential customers (and\u2026","rel":"","context":"In "General Solar & Storage News"","block_context":{"text":"General Solar & Storage News","link":"https:\/\/www.solarquotes.com.au\/blog\/category\/solar-battery-news\/"},"img":{"alt_text":"Synergy stealing solar power system sales?","src":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2018\/05\/solar-sales-synergy.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2018\/05\/solar-sales-synergy.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2018\/05\/solar-sales-synergy.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.solarquotes.com.au\/blog\/wp-content\/uploads\/2018\/05\/solar-sales-synergy.jpg?resize=700%2C400&ssl=1 2x"},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/26851","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/comments?post=26851"}],"version-history":[{"count":3,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/26851\/revisions"}],"predecessor-version":[{"id":26855,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/posts\/26851\/revisions\/26855"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media\/26852"}],"wp:attachment":[{"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/media?parent=26851"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/categories?post=26851"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.solarquotes.com.au\/blog\/wp-json\/wp\/v2\/tags?post=26851"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}