The Energy Security Board, in collaboration with the Australian Energy Market Commission, Australian Energy Market Operator and the Australian Energy Regulator, is making the National Electricity Market fit-for-purpose. The 2025 project addresses essential change in a world of expanding consumer choices, new technologies, and large-scale capital replacement as old thermal power stations leave the market. Without reform we can’t get the full value of emissions reduction offered by the renewables revolution.
In August 2017, the Energy Security Board was established by the nation’s energy ministers to coordinate implementation of recommendations from the Independent Review into the Future Security of the National Electricity Market (Finkel Review).
The Energy Security Board reports to the Energy National Cabinet Reform Committee (ENCRC). The ENCRC and the energy ministers’ meeting are ministerial forums for the Commonwealth, States and Territories to work together in pursuit of national energy reforms. The ENCRC and energy ministers’ meeting were established following cessation of the Council of Australian Governments (COAG) in May 2020.
The ESB also provides whole of system oversight for energy security and reliability to drive better outcomes for consumers. The ESB comprises an Independent Chair, Independent Deputy Chair and the heads of the Australian Energy Market Commission, Australian Energy Regulator and Australian Energy Market Operator.
The ESB’s Independent Chair is Dr Kerry Schott AO
The Independent Deputy Chair is David Swift.
AEMC is the rule maker for Australia’s electricity and gas markets. We make and amend rules under the National Electricity Law (NEL), the National Gas Law (NGL) and the National Energy Retail Law (NERL).
The AEMC also undertakes reviews and provides the ministerial forum of energy ministers (formerly the COAG Energy Council) with advice on improvements to the design of regulatory and energy market arrangements that will benefit consumers in accordance with the national energy objectives.
Above all the AEMC is focussed on the long-term interests of consumers by making sure least cost and targeted solutions are found to address challenges ahead for the market.
As Chair of the AEMC, Anna Collyer, also serves on the Energy Security Board.
AEMO is responsible for operating Australia’s largest gas and electricity markets and power systems, including the National Electricity Market and interconnected power system in Australia’s eastern and south-eastern seaboard, and the Wholesale Electricity Market and power system in Western Australia.
AEMO also operates the Victorian Declared Wholesale Gas Market and the Victorian gas transmission system; the wholesale gas Short Term Trading Market hubs in Adelaide, Sydney and Brisbane; the Wallumbilla Gas Supply Hub in Queensland; and the Moomba Gas Supply Hub in South Australia.
As Australia’s independent energy markets and power systems operator, AEMO provides critical planning, forecasting and power systems security advice and services to deliver energy security for all Australians.
As CEO and Managing Director of AEMO, Mr Daniel Westerman also serves on the Energy Security Board.
The Australian Energy Regulator (AER) regulates electricity networks and covered gas pipelines in all jurisdictions except Western Australia through setting amount of revenue that network businesses can recover from customers and enforcing the laws for the National Electricity Market and spot gas markets in southern and eastern Australia.
The AER protects consumers by enforcing the Retail Law in New South Wales, South Australia, Tasmania, Queensland, and the ACT, and also sets the standing offer prices that customers pay in areas where there is no other retail price regulation (South Australia, New South Wales and south-east Queensland).
The AER’s purpose is to make energy consumers better off now and in the future and acts to: protect vulnerable consumers and enable consumer participation; regulate competitive markets through monitoring, enforcement and compliance; regulate monopoly infrastructure while incentivising networks to become platforms for energy services; and inform debate.
As Chair of the AER, Ms Savage also serves on the ESB Board. Prior to joining the AER, Ms Savage was Deputy Chair of the ESB.