Consumer Action welcomes the opportunity to provide a brief submission in response to the Energy Security Board’s (ESB) Draft Design Consultation Paper: National Energy Guarantee (Consultation Paper).
- we support the incorporation of an effective emissions reduction mechanism in energy regulation—it is essential that the mechanism creates ‘additional’ emissions reductions that would not have occurred in the absence of the scheme;
- we question whether the reliability guarantee is necessary, or at least how the additional cost of any increase in reliability is going to be balanced with affordability; and
- we contest an underlying assumption in the Consultation Paper that a competitive retail market will ensure additional costs created by the National Energy Guarantee (NEG) will be tempered by effective competition.
180308 Submission NEG Draft Design Consultation Paper