Final Power of Choice review published
The final report of the AEMC Power of Choice review was presented to the Standing Council on Energy and Resources for their consideration in November.
It recommends a substantial reform agenda for the National Electricity Market which could provide households, businesses and industry with more opportunities to make informed choices about the way they use electricity and manage expenditure.
The final report follows 18 months of investigation and consultation with industry and consumers, and sets out final recommendations including:
- More flexible electricity pricing to better reflect the costs of electricity supply at different times.
- Price incentives for consumers who choose to change their consumption patterns, with safeguards for consumers with limited capacity to change their consumption.
- A review of existing arrangements to make it easier for consumers to switch between electricity retailers.
- Encouraging commercial investment in the technology that enables flexible pricing options and other demand side participation products.
- Rewarding commercial and industrial energy users for changing their consumption patterns.
- Improving consumer access to electricity consumption data to enhance understanding of their energy use.
- Clarifying the role of third parties providing energy management services to improve competition and robust consumer protection.
- Incentives for networks to consider demand side projects in lieu of infrastructure investments.
- Allowing consumers to sell energy they generate (eg. solar, embedded generation, battery storage) to parties other than their retail electricity supplier.
The final report, together with a detailed implementation plan, is with SCER ministers for consideration.
It is available for review at the Australian Energy Market Commission (AEMC) website .