The Australian Energy Market Commission today invited stakeholder feedback on a consultation paper setting out the proposed assessment framework for the Commission’s second review of energy retail competition in National Electricity Market states and territories.
The AEMC undertakes annual NEM-wide competition reviews for the Council of Australian Governments Energy Council, to support the commitment made by all states and territories in 2004 to deregulate retail energy prices where effective competition can be demonstrated.
The AEMC’s first NEM-wide review was carried out last year and found effective competition in retail electricity markets in South East Queensland, New South Wales, Victoria, and South Australia. This review helped inform the Queensland Government’s decision to deregulate electricity prices in South East Queensland from 1 July 2015.
The review found that competition is more tempered in retail gas markets compared to electricity markets due to differences in market size, structure and design.
This second review provides an opportunity to check whether there have been any significant changes in the competitiveness of NEM energy retail markets over the last twelve months.
Submissions are invited on the proposed approach to the 2015 Retail Competition Review by Friday 28 November.
The review will assess the state of competition for small customers in retail electricity and gas markets in all NEM states and territories – the ACT, New South Wales, Queensland, South Australia, Tasmania and Victoria.
Stakeholder submissions will be considered in determining the Commission’s approach to the review and an approach paper will be published in December. At that point we will seek submissions on the state of competition in NEM states and territories.
The Commission’s final report is due to be published by 30 June 2015.
For more information visit the 2015 Retail Competition Review project page at www.aemc.gov.au