AER Draft Wholesale Electricity Market Performance Monitoring Statement of Approach and 2018 Focus

In a dynamic and changing energy market, the Australian Energy Regulator’s (AER) wholesale monitoring role is increasingly important for the efficient market required to ensure the long-term interests of consumers are met. PIAC supports the AER being an ‘expert’ regulator rather than a ‘legal’ regulator. This entails the AER using its full discretion to give primacy to the National Electricity Objective, particularly as it relates to price impacts over the longer term, and seeking any changes to the rules that would help the AER to achieve that. As such, PIAC strongly supports both AER’s Draft Statement of Approach and Draft 2018 Focus.

PIAC supports the AER’s method of using a Statement of approach that remains largely fixed across years, while outlining the particular areas of focus for each report as this balances consistency and responsiveness.