Yallourn operator locks in 2028 exit as mine wind-down begins - afr.com

Yallourn Energy has formally committed to closing Victoria's largest power station by the end of 2028, with the coal mine wind-down already underway. The operator has locked in the exit date following agreement with the state government and unions. Yallourn currently supplies around 20 per cent of Victoria's electricity and has been operating since 1984. The closure follows earlier commitments to retire Loy Yang A and removes a major baseload generator from the grid within five years.

Where this fits

Yallourn's closure tightens the timeline for replacing firm dispatchable power across the National Electricity Market. Victoria will lose three of its four major coal plants by 2028, with no equivalent firm generation contracted to replace them. This compounds the cost and engineering burden on the transition: the grid must find replacement capacity, firming (batteries or gas), and new long-distance transmission simultaneously, all while demand growth continues.

What it means

Victoria faces a narrow window to secure replacement firm power or accept sharply higher system costs and tighter reliability margins. Renewable capacity alone will not fill the gap; the state needs either fast-tracked gas infrastructure, early nuclear deployment, or a combination of battery storage and interconnection that remains unpriced and unbuilt. Without firm dispatchable generation contracted and under construction now, 2028 arrives with Victoria holding a grid held together by contingency and hope, not engineering. The clock is real.