The Australian Energy Market Commission today released a discussion paper for the forthcoming public forum on the East coast wholesale gas market and pipeline frameworks review. The forum will be held on Wednesday 25 February in Sydney.
The paper outlines key issues to be addressed by the review in order to facilitate discussion at the forum, after which stakeholders will be invited to make written submissions to the AEMC by 26 March 2015.
The AEMC has also now received and published the terms of reference for the review. The review is to consider the role and objectives of the facilitated gas markets currently in operation, and set out a road map for their continued development in order to meet the COAG Energy Council’s vision for gas markets.
Specifically, under the terms of reference the review will consider:
- the appropriate structure, type and number of facilitated markets on the east coast, including options to enhance transparency and price discovery, and reduce barriers to entry;
- opportunities to improve effective risk management, including through liquid and competitive wholesale spot and forward markets which provide tools to price and hedge risk;
- changes to strengthen signals and incentives for efficient access to, use of and investment in pipeline capacity.
The terms of reference specify that the review will be conducted in two stages.
Stage 1 will outline the overall direction for east coast market development, including any actions for immediate implementation, with a stage 1 report to the COAG Energy Council due in June 2015.
Stage 2 will further develop any necessary medium and long term adjustments. The AEMC intends to provide a draft stage 2 report to the Council ahead of its December 2015 meeting, and to release a final report in 2016, following a response from the Council to the draft report.
The public forum begins the consultation process for stage 1 of the review. Note that registration for the forum closes today, Friday 20 February.
For information contact:
AEMC Director, Andrew Truswell (02) 8296 7800
Media: Communications Manager, Prudence Anderson 0404 821 935 or (02) 8296 7817