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Water, energy and environment

South Australian electricity supply industry overview

In South Australia electricity is generated from renewable and non-renewable sources and sold in the National Electricity Market (NEM).

Electricity retailers buy electricity from the NEM and sell it to households, business and industry. Transmission and distribution networks transport the electricity from the power stations to the end users.

On this page:

Electricity generation
Transmission and distribution of electricity
Electricity retailers
Electricity industry regulation

Electricity generation

Electricity in South Australia is predominately supplied by four sources:

  • gas-fired generation
  • coal-fired generation
  • diesel-fired generation
  • wind energy.

The state's core supply comes from two coal-fired power stations at Port Augusta which are designed to run most of the time. Gas-fired power stations are used less often and operate to respond to changes in electricity demand.

Diesel-fired power stations are generally smaller stations that operate during peak demand periods. They are also used to service off-grid remote communities.

Wind farms operate depending on wind supply in both low demand and peak periods.

If the demand for electricity is higher than the amount the state's power stations can provide, the Murraylink (Riverland) and Heywood (Limestone Coast) electricity interconnectors can import further electricity into South Australia from the eastern states.

A full list of electricity generation licences is available from the Essential Services Commission of South Australia's (ESCOSA) website.

Selling electricity in the wholesale electricity market

Generators compete to sell the electricity they've produced in the National Electricity Market (NEM) to electricity retailers. The NEM covers:

  • Victoria
  • New South Wales
  • Australian Capital Territory
  • Queensland
  • Tasmania
  • South Australia.

The independent Australian Energy Market Operator (AEMO) manages and facilitates the wholesale electricity market.

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Transmission and distribution of electricity

The electricity transmission network transports electricity from the generator to the distribution network. South Australia's transmission network is operated and managed by ElectraNet.

Distribution networks transport electricity to homes and businesses. ETSA Utilities owns and operates South Australia's electricity distribution network.

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Electricity retailers

Electricity retailers buy electricity through the National Electricity Market (NEM) and sell it to customers. Retailers also pay fees to the transmission and distribution companies for transporting the electricity that they sell.

In South Australia customers can choose their retailer and the type of contract they sign up to. The Essential Services Commission of South Australia (ESCOSA) regulates standing contract prices for electricity customers who consume less than 160 MWh.

Find out more about energy retailers and contracts on the ESCOSA website.

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Electricity industry regulation

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More information

On this site
Choosing electricity and gas providers and comparing price plans
Non-renewable energy sources
Renewable energy 

Other websites
An Introduction to Australia's National Electricity Market (PDF) - AEMO


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