Coal

Coal will operate to underpin affordable and reliable energy supply for as long as needed in the system and supported by the market.

In 2025, there is around 8 GW of coal-fired generation capacity owned and operated by GOCs and the private sector in Queensland, supplying more than 60 per cent of total output.

The energy market outlook for Queensland confirms state-owned coal assets will continue to play an important role in balancing supply and demand and stabilising the system.

Over time, the reliance on coal to meet the majority of Queensland’s electricity demand requirements will be influenced by ongoing system need, asset integrity and economic viability, including the pace of private sector investment into new system capacity.

Lower system investment cost by running state-owned coal assets to technical life compared to an accelerated closure schedule. The reduction of around $26 billion to 2035 translates to an annual avoided cost of $1,035 per household.

Signposts

Operating timeframes for state-owned coal assets

Based on the current state of the Queensland energy market and system outlook, coal-fired generation will remain critical for affordable and reliable energy supply.

Delivering on this commitment, the Roadmap resets operating timeframes for state-owned coal assets at least to technical lives, with options to further extend into the future.

Decision matrix for state-owned coal assets

The Queensland Government commits to a clear framework for decisions on announced operating timeframes for state-owned coal assets.

This decision matrix triangulates system need, asset integrity, and economic viability of state-owned coal units.

Over the next five years and beyond, the Queensland Government will continue to work with GOCs to review the condition of state-owned coal units and consider options for operating timeframes, including potential to extend operation beyond technical lives.

Electricity Maintenance Guarantee

Over the next five years, the Queensland Government is delivering a $1.6 billion investment into state-owned coal, hydro and gas assets through the Electricity Maintenance Guarantee.

The Guarantee delivers the investment required to maintain state-owned coal assets and ensure they can operate as needed into the future. It also establishes a performance and accountability framework for GOCs in respect of maintenance, personal safety, process safety and plant performance.