Recovering Costs in the California Retail Market: The Power Charge Indifference Adjustment

Financial Services
Why has the Australian Federal Government gone about developing the National Energy Guarantee (NEG) rather than adopting the Clean Energy Targets advocated in the Finkel Review?[1] By Dr Drew Donnelly, Compliance Quarter. According to the Federal Government, it is a matter of balance. Balancing emissions reduction goals with the need to maintain ongoing system reliability. Of course, perspectives will differ as to whether the NEG is getting that balance right[2], but what is undeniable is that renewable energy cannot prosper in a policy vacuum. Fostering renewable energy requires that all Governments make policy adjustments to other aspects of electricity regulation in order to maintain supply at a reasonable price. In California, regulatory tension between renewables and system reliability has reached a head with a submission earlier this month of joint…
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