Agl Essay

1. Introduction
1.1. Purpose- This report provides an account of the largest energy provider of Australia, AGL (Australia Gas& Light). It is basically made to assess the functioning of the ENERGY MINE i.e. AGL.

1.2 Background- Sectors of the energy (gas, electricity) supply industry are involved with the generation, transmission, distribution and retail sale of energy. Australia’s social, industrial and commercial success depends on the reliability of the energy supply. In this way, the energy producing industry contributes significantly to the national economy. With more than 175 years of experience AGL is one of Australia’s leading integrated energy companies and the largest ASX (Australian Stock Exchange) listed owner,

3. Situational Analysis
3.1 SWOT Analysis- This analysis report consists of four parts. These are:
 Strengths
 Weaknesses
 Opportunities
 Threats

Strengths • The largest energy provider of Australia with over 6 million customers.
• Most of the plants are gas and coal powered with a generating capacity of about 5000 MW
• The largest retailer of Renewable power is Australia just because of AGL.
• Has got a strong market presence and is present in all parts of the Energy value chain.
• Listed on Stock Exchange with a strong market capitalization.
Weaknesses • It is limited to the borders of Australia only.
• Government interference often affects the operational efficiency of the company.
Opportunities • Opportunities to spread gradually in South Asia.
• Power and potential to expand renewable energy portfolio.
• Increasing demand for power in Australia.
• Working on new products such as natural gas and solar power.
Threats • Production costs would significantly result in rise in prices which may lead to lower profits.
• May have to face a competition like the Airlines industry with the entrance of Asian firms in the