AGL agrees to keep Victoria’s Loy Yang A power station available until mid-2035

Deal with Victorian government includes $50m to support ‘orderly retirement’ of coal-fired plant to provide certainty to workers, the community and industry

• Follow our Australia news live blog for latest updates
• Get our morning and afternoon news emails, free app or daily news podcast

Australia’s Loy Yang A power station will remain available to operate until mid-2035 under an agreement signed between its owner AGL Energy and the Victorian government aimed at providing certainty to workers, the community and industry.

In a separate development, EnergyAustralia said it would shift its Mount Piper coal-fired power plant – New South Wales’s newest – to a “reserve role” to be used “only as needed” before its scheduled 2040 closure date.

Sign up for Guardian Australia’s free morning and afternoon email newsletters for your daily news roundup