Coal needed for decades to come: AEMO

Australia's coal-fired power stations will need to be operated for the next 20 years to ease the transition to renewable energy, a new report says.

Australian energy consumers will need to rely on coal-fired power for decades to come to help transition to renewables, the Australian Energy Market Operator says.

In a new report to be released on Tuesday, AEMO said extending the life of coal-fired power stations for as long as possible would be the most economically viable option, News Corp and Fairfax report.

"To support an orderly transition, ISP analysis demonstrates that, based on projected cost, the least-cost transition plan is to retain existing resources for as long as they can be economically relied on," the report said.