Stable regulation essential to deliver energy transition
Energy Networks Australia has welcomed recognition in two key reports today of the need for timely investment in transmission and to support integration of solar and storage into the grid.
Acting Chief Executive Officer Tamatha Smith said the ESB’s Health of the NEM and AER’s State of the Energy Market reports highlighted the importance of energy networks in delivering customers a secure, reliable and affordable transition to renewables.
“Australia’s energy distribution and transmission networks are the most stable part of the supply chain and are essential to delivering our nation’s transition to net zero emissions,” she said.
“Consistent, stable policy and regulation frameworks are critical to support networks making the investments necessary to deliver new transmission, to enable more customer solar and storage connections and ensure the grid is more resilient to climate change impacts.”
Ms Smith said new transmission would put downward pressure on wholesale prices by boosting competition in electricity markets and enabling more low-cost renewable generation to connect to the grid. It would ensure system security and reliability as we cope with more variable renewable generation.
“The reports also acknowledge the essential work required – that networks are doing – to support and manage the connection of increasing amounts of solar and storage to the grid,” she said.
“The importance a whole-of-system approach to gas and electricity and the future role of renewable gas is also recognised. This will ensure we continue to have diversity of energy supply to ride through droughts in renewable generation and retain customer choice.
“There is no doubt the energy transition is a huge challenge and the infrastructure required will increase price pressures, however timely and efficient network investment and stable regulatory frameworks will ensure costs are kept as low as possible.”
Media Contact: Chantelle Casse, 0457 006 015.
Energy Networks Australia is the national industry body representing Australia’s electricity transmission and distribution and gas distribution networks. Our members provide more than 16 million electricity and gas connections to almost every home and business across Australia.