The Essential Services Commission (Vic) Minimum Feed-In Tariff review 2022/23

The Essential Services Commission (Vic) Minimum Feed-In Tariff review 2022/23

AU Energy Compliance
On 2 December 2021, the Essential Services Commission (ESC) released its draft decision for minimum feed-in tariffs for solar exporters. It is anticipated that the figures in the draft will apply from 1 July 2022. This short article will discuss the proposed tariffs and provide a brief summary of the reasoning behind the adjusted tariff. We will also look at how the ESC calculates the tariff. The New Proposed Tariffs: The draft minimum feed-in tariffs have been calculated the same way as previous reviews (discussed below). The draft minimum feed-in tariffs are as follows: The draft minimum flat feed-in tariff for 2022–23 is 5.2 cents per kWh. This is 22 percent lower than the minimum rate for 2021–22. The draft time-varying feed-in tariffs are also lower than for 2021–22. *…
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Refresher: the Australian Energy Regulator’s (AER) Exempt Selling Guidelines

Refresher: the Australian Energy Regulator’s (AER) Exempt Selling Guidelines

AU Energy Compliance
NB: The most recent guidelines for exempt energy sellers are contained in the AER (Retail) Exempt Selling Guideline dated March 2018. In February 2021, the AER commenced a review of the guidelines. A consultation paper was published on 18 May 2021 and stakeholder submissions were closed on 30 June 2021. At present, the 2018 guidelines are still applicable. However, it is anticipated that there may be changes when the review process is complete. Introduction The AER guidelines for exemption relate to any person or business (entity) who sells energy to another person. Such a seller must have either a retailer authorisation or a retail exemption. To put it plainly ‘exemption’ in this context refers to whether a person or entity is required to be authorised or whether they can seek…
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AER Calls for Energy Retailers to Focus on Support for Customers in Hardship

AER Calls for Energy Retailers to Focus on Support for Customers in Hardship

AU Energy Compliance
During COVID, we saw governments enacting laws to support people suffering financial hardship due to the pandemic. We saw this in relation to tenancy evictions and the like. Despite the emergence from lockdowns in several states, people are still doing it tough. Debt, for many people, is not easy to pay down. That position will not change soon. In a recent publication on its website, the Australian Energy Regulator (AER) has called on energy retailers to provide “better” support to customers in hardship. The AER released its Annual Retail Markets Report 2020/21 on 30 November (2021) and noted that despite the fall in retail energy prices for households for the year 20/21, energy debt had risen by 12%, and the amount of the debt of customers entering the various retailer’s…
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The Ongoing Viability of Big Batteries

The Ongoing Viability of Big Batteries

AU Energy Compliance
An article appeared in The Guardian on 30 November 2021, raising concerns from battery makers and storage providers in relation to the Australian Energy Market Commission’s (AEMC) impending rule changes. The AEMC’s draft report, released in July 2021, proposed charging storage providers for drawing power. This drew responses from Tesla and Snowy Hydro: Tesla: (the charges would) kill the commercial viability of all grid storage projects. Snowy Hydro: This is a major policy change, amounting to a tax on infrastructure critical to achieving a renewable future. Both companies noted that the consumer would end up paying higher electricity costs. On 2 December 2021, the AEMC published its final decision on its website, under the heading “Incentives for more batteries to enter the market”. It was clear that they had not…
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