Letter to NSW Energy Security Taskforce

Publication date:
26 April 2017
Resource type:
Submission

PIAC took the opportunity to respond to the NSW Security Taskforce terms of reference by making several points regarding resilience and security. In PIAC’s view, it is critical to understand that resilience is not the same as energy security or reliability, and measures to improve reliability can actually have a negative impact on resilience through their negative impact on the affordability of energy. The lack of coordinated energy and carbon policy at a national level, along with the absence of central planning more broadly, has created an environment of uncertainty that has deterred efficient and timely investment in generation and energy infrastructure.

System security and reliability can be improved through the increased use of demand management solutions that also reduce the cost to consumers. Batteries at both the behind the meter and grid level can provide a number of additional services, beyond just storing energy for use to reduce peak demand, to the energy system as a whole. PIAC is concerned that governance of the Australian energy markets generally favours incumbents, at the expense of competition from emerging players, limiting opportunities for new and emerging businesses to support improved resilience.

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