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Reliability2026-09-27· WattClarity

It’s 10 years on, since the SA System Black

Image: wattclarity.com.au

A decade on from South Australia's 2016 statewide blackout, the state's grid has been transformed by rapid solar uptake, rooftop PV in particular, but remains a net importer from Victoria in most months. Wholesale prices have risen generally across the period and spiked severely in July 2016, January 2019, May-July 2022, July 2024 and June 2025. Coal generation ended with the closure of Northern Power Station in early 2016. Large-scale solar farms have been curtailed at negative prices. Batteries now form part of the dispatch mix, though they are net energy consumers. The interconnector to Victoria carries lower volumes than it did until end-2017, but SA still relies on it for the majority of months.

Where this fits

South Australia's decade-long pivot to renewables shows the reliability problem that solar and batteries cannot solve alone: a state with one of the world's highest renewable penetrations still cannot stand alone on weather and must import firm power from Victoria. This touches the core Energy Realism thesis. A grid built on variable renewables does not retire its dependence on dispatchable generation; it relocates it, intensifies transmission costs to bring it in, and remains vulnerable to events that stress the interconnector. The repeated price spikes, especially the 2022 crisis and June 2025, point to the firming cost hidden in the headline renewables build.

What it means

A decade of solar investment has not made SA energy-independent or insulated it from price extremes. The state has built the renewables, then discovered it still needs firm power, and is paying the double cost: overbuilt transmission, curtailed solar capacity, and gas peaking plants. That pattern is now nationwide. Australia is betting the grid on weather, imported supply chains, and a neighbour's coal or gas. A firm, domestic, low-emission alternative, nuclear, remains legally barred.

Go deeper on the numbers

The bigger picture

Energy security is national security. This connects to the wider case at Unprepared: Australia's dependence on a strategic rival, and how ready it is for the world that is coming.

Reported by WattClarity. Read the original report ↗

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