GEMS Act Review, Renewable Energy Targets and AER announcements: January 2018 Energy Compliance Update

Share on twitter
Share on linkedin
Share on facebook

With only the first month of the year gone there have already been a range of regulatory initiatives announced that affect businesses in the energy industry. In our first monthly update on energy regulation and compliance for the year we identify the regulatory and compliance announcements that you should be aware of, including renewable energy targets.

Renewable Energy Targets
Photo by Chris Barbalis on Unsplashgy,
  1. The GEMS Act Review

On 19 January, the first independent review of the Greenhouse and Energy Minimum Standards Act 2012 (GEMS Act) was announced. The GEMS Act is the legislation that allows the Government to set mandatory minimum efficiency requirements for appliances and products and national labelling requirements.

This five-year independent review is mandated by the Act and will report to the Minister by mid-2018. The terms of reference specify that the review will be carried out shortly (for more information see

A 2015 GEMS review identified early signs that the GEMS Act regime was performing better than the previous regime where manufacturers and suppliers had to meet different standards depending on the state or territory (see

  1. Renewable Energy Target in sight

On 23 January the Clean Energy Regulator announced that there will be sufficient renewable energy projects built over the next three years to meet the Renewable Energy Target in 2020 (see

Milestones are being reached ahead of schedule in light of a record level of investment in renewable energy in 2017. One of the major shifts has been a surge in large-scale solar projects. It is expected that this extra supply will lead to a reduction in wholesale electricity prices over the next three years.

It remains to be seen how the Government will integrate the Renewable Energy Target with the National Energy Guarantee scheme which is still in development (for further information see

  1. Federal Court confirms Australian Energy Regulator (AER) revenue decision

On 18 January the full Federal Court confirmed the AER October 2015 revenue decision for SA Power Networks (SAPN) (see SAPN had proposed recovering $4.5 billion from consumers over the five-year regulatory period commencing on 1 July 2015. AER had determined that only $3.8 billion was required for SAPN to meet its obligations.

Note that the Government’s abolition of Limited Merits Review process last year means that distributors will no longer be able to challenge AER decisions in this way. For further information on that law change see

  1. AER consultation on Draft Retail Performance Reporting Procedures & Guidelines

These draft Guidelines were released for consultation in late December but submissions can be made up until 19 February ( The draft Guidelines concern the retail market performance reporting obligations of the AER and how it is to collate information from retailers in order to meet those obligations. Key amendments in the draft Guidelines include requiring energy retailers to provide:

  • information on the rollout of smart meters;
  • further information about customers experiencing payment difficulties;
  • further detail about customer contracts.

Other amendments concern timeframes for reporting and the manner in which information must be submitted.

More to explorer

Window lights in multistorey house at night, Kuala Lumpur

A Guide to the Role of the Metering Coordinator

In the complex landscape of the electricity market, the role of the Metering Coordinator (MC) is crucial for ensuring the accurate measurement and efficient coordination of metering services. With the National Electricity Rules (NER) as the guiding framework, AEMO has published a guide to the role of a metering coordinator and this article serves as a summary of that role drawing on the guide. Understanding the Purpose and Scope: The Guide to the Role of the Metering Coordinator is specifically

Digital electric meters in a row measuring power use. Electricity consumption concept.

Roles and Functions in Electricity Metering: A Short Guide

Electricity metering is a complex process that requires the collaboration of various entities to ensure accurate measurement and efficient energy management. Understanding the roles and responsibilities of these entities is crucial for maintaining compliance and facilitating the smooth functioning of the electricity market. In this article, we will explore in detail the key roles in electricity metering, including Financially Responsible Market Participants (FRMPs), Metering Coordinators (MCs), Metering Providers (MPs), and Metering Data Providers (MDPs), as outlined in Chapter 7 of

Preparing to Apply for a Retailer Authorisation: A Comprehensive Guide

The Australian Energy Regulator (AER) oversees the authorisation process for energy retailers in Australia. If you’re considering joining this market, it’s crucial to understand the AER’s guidelines and requirements. This article will outline the preparatory steps your business needs to take before applying for a retailer authorisation.

Leave a Reply

Your email address will not be published. Required fields are marked *