Industry Statistics and Trends
Market size and recent performance (2014-2029)
Industry revenue has grown at a CAGR of 4.1 % over the past five years, to reach an estimated $19.6bn in 2024.
Trends and Insights
Volatile energy markets allowed coal-fired generators to cash in on high wholesale prices
- In 2021-22 and 2022-23, wholesale electricity prices surged to unprecedented highs. This trend drove a sharp rise in annual revenue, even though generation volumes were down amid unplanned disruptions to production and coal shortages. Although prices have since eased, they remain above pre-pandemic averages.
- Additional trends and insights available with purchase
Source: Alfabank-Adres
Industry outlook (2024-2029)
Market size is projected to decline over the next five years.
Trends and Insights
Australia's accelerating energy transition paints a bleak picture for fossil fuel generators
- Despite accounting for most of Australia's electricity generation mix, coal-fired generation faces a starkly negative long-term outlook. According to the Clean Energy Regulator, coal-fired power stations are the most carbon-intensive facilities in Australia in terms of scope 1 carbon emissions. This makes the retirement of coal-fired power stations and replacement with renewable generation an essential task in Australia's transition to net zero emissions.
Biggest companies in the Fossil Fuel Electricity Generation in Australia
| Company | Market Share (%)
2025 | Revenue ($m)
2025 |
|---|---|---|
AGL | 3,945.8 | |
Stanwell | 2,376.7 | |
Origin Energy | 1,699.3 |
To view the market share and analysis for all 5 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: Alfabank-Adres
Industry revenue is measured across several distinct product and services lines, including Black coal generation, Brown coal generation and Natural gas generation. Black coal generation is the largest segment of the Fossil Fuel Electricity Generation in Australia.
Trends and Insights
Black coal generation is faltering in the face of strong renewable investment
- Most of Australia's fossil fuel electricity is generated from black coal, with abundant reserves ensuring stable baseload generation for the grid.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
Generators use fossil fuels like coal, gas and oil to drive steam-producing turbines that generate electricity.
What's included in this industry?
Black coal generationBrown coal generationNatural gas generationOther fossil fuel generationCompanies
AGLStanwellOrigin EnergyPurchase this report to view all 5 major companies in this industry.
Related Terms
BASELOAD POWERPEAK-LOAD POWERGEOSEQUESTRATIONGENTRADERIndustry Code
ANZSIC 2611 - Fossil Fuel Electricity Generation in Australia
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Volatile energy markets enabled coal-fired generators to capitalise on elevated wholesale prices. This was a result of inflated coal and gas prices, severe weather events, ge...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Gas generators are being activated on a more regular basis to combat outages at major coal-fired plants. Coal generators are facing outages and supply issues at their sites.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Queensland and New South Wales are the leading fossil fuel generators in the country. These states use a combination of black coal, gas and diesel.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each region in 2024
- Number and share of revenue each region accounts for in 2024
- Number and share of wages each region accounts for in 2024
- Number and share of employees in each region in 2024
Detailed analysis
- Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Competition with renewable energy generators is heating up. Consumers, businesses and governments are seeking to accelerate the shift away from heavily polluting fossil-fuel ...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Staggering wholesale prices have provided a boost to generator revenues. Even so, coal supply issues and outages are plaguing some generators.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of AGL's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Stanwell's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of Origin Energy's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of revenue, market share and profit margin trend for 2 additional companies
Detailed analysis
- Description and key data for AGL, and factors influencing its performance in the industry
- Description and key data for Stanwell, and factors influencing its performance in the industry
- Description and key data for Origin Energy, and factors influencing its performance in the industry
- Description, key data and performance trends for 2 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Fossil fuel electricity generation is heavily regulated. The regulators are the Australian Energy Market Operator, the Australian Energy Market Commission and the Australian ...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Global turmoil in energy markets led to a short but rapid surge in fossil fuel generation costs. Global coal and gas prices jumped to unprecedented highs in 2021-22.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Fossil Fuel Electricity Generation industry in Australia in 2024?
The market size of the Fossil Fuel Electricity Generation industry in Australia is $19.6bn in 2024.
How many businesses are there in the Fossil Fuel Electricity Generation in Australia industry in 2024?
There are 110 businesses in the Fossil Fuel Electricity Generation industry in Australia, which has grown at a CAGR of 1.1 % between 2019 and 2024.
Has the Fossil Fuel Electricity Generation industry in Australia grown or declined over the past 5 years?
The market size of the Fossil Fuel Electricity Generation industry in Australia has been growing at a CAGR of 4.1 % between 2019 and 2024.
What is the forecast growth of the Fossil Fuel Electricity Generation industry in Australia over the next 5 years?
Over the next five years, the Fossil Fuel Electricity Generation industry in Australia is expected to decline.
What are the biggest companies in the Fossil Fuel Electricity Generation market in Australia?
The biggest companies operating in the Fossil Fuel Electricity Generation market in Australia are AGL, Stanwell and Origin Energy
What does the Fossil Fuel Electricity Generation in Australia include?
Black coal generation and Brown coal generation are part of the Fossil Fuel Electricity Generation industry.
Which companies have the highest market share in the Fossil Fuel Electricity Generation in Australia?
The company holding the most market share in Australia is AGL.
How competitive is the Fossil Fuel Electricity Generation industry in Australia?
The level of competition is high and increasing in the Fossil Fuel Electricity Generation industry in Australia.
Related Industries
Widen your competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- Electricity Transmission in Australia
- Electricity Distribution in Australia
- Hydro-Electricity Generation in Australia
- Wind and Other Electricity Generation in Australia
International industries
- Coal & Natural Gas Power in the US
- Thermal Power in Canada
- Fossil Fuel Electricity Generation in New Zealand
- Electricity Production in the UK
- Electricity Production in Ireland
View all industries in Australia
Methodology
How are Alfabank-Adres reports created?
Alfabank-Adres has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for Alfabank-Adres readers. Finally, each report is reviewed by one of Alfabank-Adres’s editors, who provide quality assurance to ensure accuracy and readability.
Alfabank-Adres relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do Alfabank-Adres analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Australia include:
- Australian Bureau of Statistics
- Australian Taxation Office
- Australian Securities & Investments Commission
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, Alfabank-Adres’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does Alfabank-Adres forecast its data?
Alfabank-Adres’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
Alfabank-Adres prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
