Elevated prices (in QLD and NSW) on Friday morning 9th October 2026 … and then SA a little later

On the morning of 9 October 2026, prices spiked to $500, $1,000 per megawatt-hour across Queensland and NSW during the early dispatch intervals. Wind output was limited across the NEM at that hour: only 700 MW in Queensland and 350 MW in NSW, with the bulk of available wind in the three southern regions. Solar had not yet come online. South Australia experienced similar price spikes about two hours later. These were the first sustained high-price alerts in months.
Where this fits
This event exposes the reliability cost of a renewables-dependent grid. When wind and solar are unavailable or misdirected geographically, the system must rely on whatever firm capacity remains. The spike is not a one-off anomaly; it is the predictable outcome of retiring dispatchable plant faster than storage or demand response can replace it. This is the core cost the transition has under-counted: firm power cannot simply be replaced by weather-dependent resources and called solved.
What it means
As coal stations close and wind and solar dominate the fleet, these morning gaps, before dawn, before the wind picks up, will recur. The grid must either hold expensive gas capacity online for these events, or accept price volatility that damages industrial competitiveness and household budgets. Australia is building a system that works well when the weather cooperates and fails expensively when it does not. A firm, non-weather-dependent alternative exists and is legally barred from deployment.
By the numbers
at ~A$2000–3200/kW installed. Source: CSIRO GenCost 2024-25. Indicative.
at a ~38% capacity factor, and only when the wind blows, so it still needs firming.
enough for 7–18 TWh a year of firm, always-on power, generating for ~60 years. Source: CSIRO GenCost 2024-25 (A$8.5–13.2bn/GW), IAEA capacity factor.
Figures are indicative conversions from the article's stated quantity using published cost, material and capacity factors (CSIRO GenCost, BNEF, IEA, IAEA). Ranges, not precise forecasts.
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.
Xi Jinping and the Purge That Built an Army
The PLA that Xi Jinping inherited in 2012 was modernising, and the one he commands in 2026 is transformed. Part IV of the Unprepared series.
Reported by WattClarity. Read the original report ↗
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