Australia does not need coal-fired power stations to keep electricity bills down, but rushing to 100 per cent renewable energy will be “expensive” without major technology breakthroughs to provide back-up power during long winter wind droughts.

The findings from the Grattan Institute debunk the myth that cheap coal power stations need to be kept running to ensure power bills do not skyrocket. But they also sound a distinct note of caution against a full-on shift to an all-renewable electricity supply system.