Uploaded August 2026 | Updated September 2026, 3 weeks ago

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Australia has one of the world's fastest-moving electricity systems. It leads the world in rooftop solar, has deployed grid-scale batteries at extraordinary speed, and is now starting to replace its ageing coal fleet with cleaner sources of energy. But as renewable costs rise and electricity demand grows, can the transition remain affordable while maintaining a reliable power system?

This week on Cleaning Up, Michael Liebreich is joined by Paul Simshauser, CEO of Iberdrola Australia, and one of Australia's leading energy economists. Drawing on decades of experience across electricity markets, networks and policy, Paul explains what makes Australia's power system unique, and what the rest of the world can learn from it.

They discuss why rooftop solar has become so successful in Australia, how batteries are transforming electricity markets, and how the country's energy-only market encourages investment. They also explore the economics of replacing ageing coal plants, the costs of new renewable generation, the role of electricity pricing and demand tariffs, and what will be needed to build a resilient, affordable power system as Australia moves towards net zero.

Topics discussed in this episode:
• The rooftop solar revolution
• How batteries are reshaping the grid
• Why solar is cheaper in Australia than elsewhere
• The challenges of retiring coal
• Whether renewables can stay affordable
• Building a resilient power system

Leadership Circle
Cleaning Up is proud to be supported by its Leadership Circle. The members are Actis, Alcazar Energy, Arup, Copenhagen Infrastructure Partners, Cygnum Capital, Davidson Kempner, EcoPragma Capital, EDP, Eurelectric, the Gilardini Foundation, KKR, Mitsubishi Heavy Industries, National Grid, Octopus Energy, Quadrature Climate Foundation, Schneider Electric, SDCL and Wärtsilä. For more information about the Leadership Circle, visit cleaningup.live

Links
• Paul Simshauser’s bio: linkedin.com/in/paul-simshauser-00106713
• Iberdrola: iberdrola.com/home
• Link to Paul’s articles: https://experts.griffith.edu.au/18942-paul-simshauser/publications
• Malcolm Turnbull on Cleaning Up youtube.com/watch?v=t9CUGRHCswU&t=5s
• Marc England on Cleaning Up youtube.com/watch?v=1tKVSJcS_SI
• Darren Miller on Cleaning Up youtube.com/watch?v=iBhkBTZ9lSI&t=2s
• Tony Abbott on Cleaning Up youtube.com/watch?v=_39HmAgq9RY&t=1s
• Subscribe to our newsletter: cleaninguppod.substack.com

Acronyms
STC: Small-scale Technology Certificates
CFD: Contract For Difference
PPAs: Power Purchase Agreements
IBGYBG: “I'll be gone, you'll be gone.”
OEM: Original Equipment Manufacturer
AEMO: Australian Electricity Market Operator
LNG: Liquefied Natural Gas

Chapters
00:00 - Intro
02:28 - Paul's Background
04:07 - Iberdrola Australia
06:42 - Australia's Power System
09:15 - Battery Revolution
12:36 - Energy-Only Market
14:35 - Why Solar Succeeds
18:21 - Commercial Solar Challenge
24:30 - Ageing Coal Fleet
28:49 - Carbon Markets & Pricing
35:00 - Renewable Costs
39:18 - Future Demand
42:45 - Grid Resilience
48:00 - Outro