At least half of the 14 remaining coal plants on the eastern seaboard are scheduled to shut before 2035.

Under AGL’s new timelines, its Bayswater coal-fired power plant in NSW is due to shut no later than 2033, while the retirement of Loy Yang A in Victoria’s Latrobe Valley has been brought forward by up to 10 years from 2045 to 2035.

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Grid-scale batteries, with near-zero start-up time, are seen as particularly critical to Australia’s energy transition because of their ability to soak up surplus renewable energy in the daytime to plug gaps in supply and stabilise the system when weather conditions are unfavourable for renewables.

Tom Allen, an analyst with UBS, said AGL’s deal to buy Firm Power and Terrain Solar would add about eight gigawatts of development options to AGL’s pipeline of renewable energy and firming assets, with most project sites located in Queensland and NSW.

The appointment of George as AGL chair from February would also bring “considerable renewable energy development experience” and support the acquisition, he said.

AGL’s net profit soared to $711 million in the 12 months to June 30, a stunning turnaround from the $1.2 billion loss the company posted a year earlier, during which it had suffered from wild swings in electricity prices and costly breakdowns curtailing its ageing coal fleet at critical times.

Nicks said the company’s improved financial performance and stronger balance sheet this year would help support the company’s “ongoing investment in our transition” and deliver better returns to shareholders.

“Today’s announcement demonstrates our commitment to grow and accelerate our development pipeline, which is already 6.2 gigawatts,” he said.

On an underlying basis, AGL’s profit more than tripled in the past financial year to $812 million, beating expectations.

Gordon Ramsay, an analyst at the Royal Bank of Canada, said the full-year result had been underpinned by higher wholesale electricity prices and margins, and the start-up of AGL’s Torrens Island grid-scale battery in South Australia.

Although AGL forecasts a decline in earnings, the outlook for the 2025 financial year was better than most analysts’ expectations, Ramsay said.

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