Natural gas will play a crucial continuing role in stabilising Australia’s energy grid during the country’s energy transition over the next 30 years, according to a report by the Australian Energy Market Operator (AEMO).

Australia’s electricity supply is expected to be generated mainly from renewable resources by the mid-2040s, using energy storage to help manage the challenges of seasonality and intermittency. But gas-fired generation will provide firming support during peak periods of demand, the AEMOreport suggested.