PIAC responded to the Australian Energy Regulator’s (AER) consultation on draft guidelines for actioning the Integrated System Plan (ISP). We are generally supportive of the draft guidelines but highlight several issues. We recommend the objective of the ISP should be the long–term interests of consumers, rather than to maximise the present value of net economic benefit to all those who produce, consume and transport electricity, as it is a strategic planning document PIAC.
We support:
- the AER’s proposed classification framework for elements of the Guidelines,
- the Guidelines requiring AEMO to present key distributional effects of its optimal development path
- the requirement for AEMO to conduct holistic, periodic reviews and more discrete, as-needed reviews of its forecasting and modelling.
- AEMO continuing to seek means to convey the uncertain nature of its forecasts.
- AER involvement and oversight of the development and outputs of ISP
