AGL Energy said it now expects outage at its Loy Yang A Unit 2 power station in Victoria to extend until the second half of September, amid multiple outages that have pushed the country’s coal generation to a record low.
Since the initial outage, AGL has been working closely with its engineers and suppliers to plan and implement the necessary works to enable a safe and reliable return to service.
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Loy Yang A Unit 2 initially went offline on April 15, 2022, following an electrical fault with the generator. Subsequent testing determined that the generator rotor had failed and AGL’s preliminary estimate of the unit’s return to service at this time was August 1, 2022.
AGL said it would provide an update on the FY23 financial impact of the extended Loy Yang A Unit 2 outage in the new financial year.
As a consequence of the ongoing market volatility and the fact that the review of AGL’s strategic direction announced on May 30 will not be completed until September, AGL said it does not anticipate issuing FY23 earnings guidance before the review has been completed.
The financial impact of the Loy Yang A Unit 2 outage is not recoverable via insurance, AGL said.