Sydney Facing Power Blackouts As Energy Tensions Rise

Sydney could have an energy crisis on its hands, with conflict emerging between AGL and the government regarding the usage of coal-fired power stations.

PM Malcolm Turnbull raised the issue in Parliament, suggesting that AGL should keep going with its coal-fired power stations beyond the original 2022 cut-off date, extending by another five years.

This is due to the threat that homes and businesses could lose power during extreme summer temperatures, according to a report from the nation's energy regulator.

However, AGL chief executive Andy Vesey does not believe that keeping the Liddell station open longer is the solution to the problem.

"Keeping old coal plants open won't deliver the reliable, affordable energy our customers need," Mr Vesey said.