High energy prices to stay
ENERGY prices are likely to remain high until there is more investment in power production, and that requires certainty from government energy policy, says industry heavyweight AGL Energy.
Australia’s second- largest energy retailer says high wholesale electricity prices reflect increased fuel costs and the disorderly withdrawal of coal- fired power stations.
AGL chief executive Andrew Vesey says wholesale electricity prices have moderated in recent months, but the energy market needs more investment for prices to really ease.
“Until that happens, we’re not going to see the kind of ( price) decrease on a sustained level that we expect,” Mr Vesey said yesterday.
He said AGL was already investing in new supply projects to drive down prices.