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Australia has a long history of privately owned utility price regulation, one that is little known. This price control was designed to restrain the market power of several utilities (gas, rail, tramways, electricity, and water). The purpose of this paper, therefore, is to establish what types of price control that were used in Australia in the utilities sector before the First World War and to determine the degree to which this price control influenced efficiency. As price levels in this era were set in legislation, the lack of flexibility led to less-than-optimal outcomes, and eventually and led to new approaches were developed after 1912 to the utilities that remained in private ownership, and in some cases influenced the movement in Australia towards government control. [ABSTRACT FROM AUTHOR]

Purpose: This paper aims to comprehensively analyse the sustainability reporting practices of Australian electricity retailers in comparison with global sustainability reporting indicators outlined in the Global Reporting Initiative (GRI) framework. Design/methodology/approach: Based on the GRI G4 sector-specific guidelines, the paper investigated Australian electricity retailers' reporting in three broad areas of sustainability, namely, economic, environmental and social. The 2018/2019 annual reports along with websites, corporate social responsibility reports and standalone sustainability reports of the major electricity retailers listed on the Australian Energy Regulator were analysed and coded using a content-based technique. Findings: The findings inform that electricity retailers' disclosures are substantially varied between and within the three categories of sustainability reporting, and the majority of the retailers have failed to address over two-third of the GRI indicators. This study also shows that positive information is the dominant form of the disclosures, and reporting with declarative information without providing any quantifiable data is a common practice of the retailers who fail to address an indicator that requires information in numerical terms. Originality/value: Electric utilities provide essential services to society and have a significant influence on sustainable development. This study contributes to the social disclosure literature, in particular in a developed countries energy sector context, and captures insights about the sustainability reporting and accountability behaviour of the major electricity retailers operating in Australia. [ABSTRACT FROM AUTHOR]

Increasing the energy and carbon efficiency of homes has been at the forefront of international climate change mitigation policy. In Australia, recent policy action led to the introduction of minimum energy efficiency standards for new homes within the Building Code of Australia in 2003, with subsequent stringency increases in 2006 and 2010. Although not yet reflecting international best regulatory practice, these standards represent substantial progress in addressing the energy and carbon emission impact of new homes, yet there are a number of energy policy challenges that highlight the need for further change. This paper documents the history of house energy standards in Australia and examines the post-occupancy evidence of that policy outcome. The paper examines international and domestic issues pointing to a possible future direction for Australian house energy regulation, highlighting the key drivers for change. In particular, we investigate the concepts of net zero carbon and net zero energy homes which have recently been adopted internationally, examining the technical and economic evidence that would support such a policy position in Australia. [ABSTRACT FROM AUTHOR]

This paper describes very short-term wind prediction for power generation, utilizing a case study from Tasmania, Australia. Windpower presently is the fastest growing power generation sector in the world. However, windpower is intermittent. To be able to trade efficiently, make the best use of transmission line capability, and address concerns with system frequency in a re-regulated system, accurate very short-term forecasts are essential. The research introduces a novel approach—the application of an adaptive neuro-fuzzy inference system to forecasting a wind time series. Over the very short-term forecast interval, both windspeed and wind direction are important parameters. To be able to be gain the most from a forecast on this time scale, the turbines must be directed toward on oncoming wind. For this reason, this paper forecasts wind vectors, rather than windspeed or power output. [ABSTRACT FROM AUTHOR]

This paper presents a multi-nodal intertemporal Cournot gaming model with transmission constraints and uses it to simulate energy-only and capacity-energy market designs in the presence of uncertainties stemming from intermittent renewable power generation. Both market paradigms are compared to a competitive benchmark in order to determine which one performs better in a concentrated market with significant penetration of wind and solar generation. As a specific example, the model is applied to the South Australian zone of the Australian National Electricity Market (NEM). The simulation results for the time interval 2013–2030 show that the capacity-energy market has the potential to induce significant new capacity and push prices much closer to the competitive level in contrast to the current energy-only market design. [ABSTRACT FROM AUTHOR]

This paper proposes a rule-based power management algorithm to enable the dispatch of a utility-scale PV power plant consisting of a hybrid energy storage system, in accordance with the Australian national electricity rules. This algorithm is purposely designed to regulate the instantaneous power of a PV plant with the same level of dispatchability as conventional power plants. Additionally, the proposed algorithm is robust under large forecasting errors (up to 60%) of solar irradiance and it can be easily implemented in practice. Specifically, this algorithm can be executed within seconds even when considering detailed market operation and model nonlinearities. A 30 MW PV plant, including a 7.5 MW/1.25 MWh vanadium redox battery and a 1.5 MW/0.25 MWh suppercapacitors bank, has been modeled using MATLAB/Simulink and PLECS software environment. The simulation results were based on various scenarios and confirmed the effectiveness of the proposed power management algorithm. It has been shown that even in the worst-case scenario of solar forecasting error of 60%, the proposed algorithm still managed to deliver over 94% of the available energy for a given solar irradiance profile of one month. [ABSTRACT FROM AUTHOR]

The electricity industry in Australia has recently undergone significant restructuring. Generation, transmission and distribution have been unbundled and placed under private or public corporate ownership. Industry restructuring, together with concerns about the environment, have resulted in a noticeable increase in distributed electricity generation, especially small-scale generation. This development has important ramifications for the electricity industry and the wider economy. This paper provides an empirical analysis of the recent growth in distributed electricity generation in Australia, and analyzes the factors driving this resurgence of interest. The paper also attempts to identify the underlying factors contributing to the development of distributed generation. Past and current distributed generation projects are classified according to which technical or institutional factor was dominant in the realization of each project. This enables us to identify changes over time in the rationale for distributed generation. A comparative analysis of the developments in the different Australian states provides additional insights into the roles played by factors such as geography, the availability of low-cost industrial by-products for fuel, and the introduction of competitive markets. [ABSTRACT FROM AUTHOR]

Transmission system structure has an essential effect on the reliability of the power system and electricity market performance, especially when producers bid strategically. As part of on-going research on the design of a robust algorithm for expansion planning of the transmission grid in the Australian electricity market, this paper presents a framework which addresses: (1) the security of power delivery to the load points of the transmission system in case of single line outages; (2) the minimization of transmission system lost load; (3) an efficient electricity market for market participants; (4) construction and maintenance costs of transmission augmentation options; and (5) operation efficiency of the transmission grid. The suggested algorithm benefits from the dynamic programming and sensitivity analysis approaches along with the aggregation method in its multi-criteria decision-making to locate the optimum configuration of a future transmission system. A set of indices, which account for impacts of the augmentation options of the transmission grid on five aforementioned reliability and market criteria, are proposed and used in the optimum framework for expansion planning of the transmission grid. Although the methodology is promising for expansion planning of the transmission system, considering the sensitivity analysis concept employed, the proposed methodology would be suitable to detect the sensitive areas of the transmission system to be expanded. The tool would be very useful in the case of large scale power systems for a smart reduction of the transmission expansion options. The proposed methodology has been applied to a 6-bus and a modified IEEE 30-bus test system to show the effectiveness of the sensitivity-based algorithm. [ABSTRACT FROM AUTHOR]

Least-Cost Planning played a key role in the development of the energy efficiency and renewable energy industries in the USA. It has not been widely used elsewhere, largely due to differences in other nations' regulatory environments and the emergence of competitive markets as the dominant paradigm for electricity planning. Least-Cost Planning, however, may offer valuable insights for creating regulatory frameworks for competitive electricity markets. This paper examines some lessons which may be extracted from an analysis of the Least-Cost Planning experience in the USA and suggests how these lessons might prove beneficial in guiding Australia's electricity industry reform. This analysis demonstrates how market-based reforms may be flawed if they ignore the history of previous reform processes. [ABSTRACT FROM AUTHOR]

Owing to the technological development of natural gas exploration and the increasing penetration of gas-fired power generation, gas and power systems inevitably interact with each other from both physical and economic points of view. In order to effectively assess the two systems' interdependency, this paper proposes a systematic modeling framework and constructs simulation platforms for coupled gas and power systems in an energy market environment. By applying the proposed approach to the Australian national electricity market (NEM) and gas market, the impacts of six types of market and system factors are quantitatively analyzed, including power transmission limits, gas pipeline contingencies, gas pipeline flow constraints, carbon emission constraints, power load variations, and non-electric gas load variations. The important interdependency and infrastructure weakness for the two systems are well studied and identified. Our work provides a quantitative basis for grid operators and policy makers to support and guide operation and investment decisions for electric power and natural gas industries. [ABSTRACT FROM AUTHOR]

Injustice is said to be the cornerstone of collective action, but why is it so important, and how does the way in which it is framed for mobilisation affect the outcomes? This paper compares two lengthy disputes in the Australian electricity industry which demonstrate that a sense of injustice and a history of successful industrial action do not guarantee that a dispute will be resolved to employees’ satisfaction when the wider context is unfavourable. Although leaders of both disputes expressed confidence in success predicated on the outcomes of previous industrial activity, there were specific factors within the industrial, economic and political context which provoked determined employer and government counter mobilisation leading to unsuccessful outcomes for the workers in dispute. The reasons for the poor outcomes are discussed within the context of the framing of the injustice by leaders and the effect of the response of a determined government. [ABSTRACT FROM AUTHOR]

Active load shifting of the electricity demand unlocks a variety of benefits. Examples of such advantages include the increased stability of energy systems, reduced electricity costs and financial savings in the transmission as well as generation infrastructure. Although the technology necessary for demand response has been extensively studied for individual appliances or at the micro-grid level, evaluations of its nationwide impact are scarce. Yet governments and policy-makers require quantitative assessments in order to understand the underlying value and derive appropriate policies. For this purpose, this paper utilizes real-world data from the German-Austrian electricity market in order to calculate ex post the impact of demand response on electricity spot prices and load. As a result, we find that a 25% adoption rate of the available potential for load shifting could have decreased nationwide electricity expenses by approximately €500 million, or 6%, in 2014. At the same time, we observe that the price volatility rises under this scheme and thus impairs non-flexible electricity customers. This observation entails significant implications in terms of designing effective policies. [ABSTRACT FROM AUTHOR]

Deregulation in the electricity supply industry (ESI) is taking place globally and this paper analyses a case of reform in Australia. The focus is on change management rather than the technical aspects of power generation, transmission and retail s upply. Change theory has moved on from static models to dynamic models of strategic choice and it is against this background that the case is viewed. A contextualist approach is employed in which the substance, context and politics of change are used to analyse unfolding events. Management implications of the case are discussed. [ABSTRACT FROM AUTHOR]

Despite considerable mitigation efforts, global emissions from the electricity sector continued to grow in recent years. In Australia, the electricity sector is the largest CO 2 -emitting industry, contributing 35% of the country's total greenhouse gas emissions. The Australian government targets an 80% reduction of greenhouse gas emissions by 2050 relative to 2010. With a large variety and quantity of renewable energy resources, it is technically feasible and seems indispensable that Australia's electricity sector be largely decarbonised by 2050 in order to achieve this target. In this paper, scenario-based hybrid Life-Cycle Assessment is applied to calculate the economy-wide carbon footprints of seven electricity generation technologies in scenarios with differing renewable electricity penetration. This work is the first to apply a full life-cycle approach to scenario analysis of electricity generation in Australia. The findings are at the higher end of previously reported carbon footprint intensity ranges and above median values. However, even when taking into account indirect emissions along the technologies' life-cycles, the results indicate that the employment of different renewable energy technologies can potentially save a considerable fraction of Australia's greenhouse gas emissions. This makes renewables an essential option for climate change mitigation. [ABSTRACT FROM AUTHOR]

This paper proposes an energy offering strategy for wind power producers. A new trading plan is presented through which a wind power producer can employ demand response (DR) to maximize its profit. To consider DR, a new DR scheme is developed here. The proposed plan includes two steps: The first step takes place on a day-ahead basis. The corresponding decisions involve an initial offering schedule and preliminary DR arrangements for the following day. The second step coincides with the day of the energy delivery. A consecutive approach is proposed in which the wind power producer determines its final energy offer during each trading interval. Simultaneously, the required DR agreements for that interval are also confirmed. This approach is repeated until all periods of the day are covered. The proposed plan is formulated as a stochastic programming approach, where its feasibility is evaluated on a case of the Australian National Electricity Market (NEM). [ABSTRACT FROM AUTHOR]

The power industry has been grappling with regulatory uncertainty in relation to carbon since late 2004 when Australian state governments committed to the introduction of an emissions trading scheme. This article estimates the additional cost to electricity users associated with the sub-optimal introduction of new power generating capacity given regulatory delays. We find the costs to be significant; under a business-as-usual electricity demand growth scenario, prices in 2020 would be about $8.60/MWh higher than necessary. We also find that costs to consumers are lower where complementary policies are introduced to encourage energy efficiency and renewable energy. [ABSTRACT FROM AUTHOR]

Abstract: Carbon dioxide capture and storage (CCS) is widely seen as a critical technology to de-carbonise the power and industrial sectors. As such, many nations have ambitious plans to demonstrate and then promote commercial scale development of CCS. To facilitate early demonstrations and lay the groundwork for widespread use of CCS, governments are rapidly developing new CCS regulations and policies. There have been a number of important regulatory and legal developments in the European Union, United States, Australia, Canada, Norway and several other jurisdictions. This paper and presentation will provide a brief but comprehensive update of these developments and will document and synthesise discussions and activities that were undertaken as part of the IEA’s International CCS Regulator’s Network. It is hoped that information sharing of this kind can help to facilitate harmonised global approaches to regulating CCS. [Copyright &y& Elsevier]

Australia's residential peak electricity demand is escalating rapidly and causing major distribution and generation challenges for the industry. This rise is largely attributed to converging and rising expectations of comfort in the home, which are being satisfied by Australians' increasing reliance on air-conditioning. Residential demand-management strategies seek to address this by either actively managing consumer demand, or encouraging consumers to act as co-managers of their demand, during peak times. Drawing on interviews with demand-management practitioners from electricity distributors and retailers, the impact of several residential demand-management techniques is considered in relation to comfort expectations. It is argued that utilities delivering demand-management trials are shaping, and being shaped by, 'normal' expectations of comfort. Further social research is called for to assess the impact of demand-management techniques on escalating comfort expectations, and to design and implement strategies that address this fundamental issue. En Australie, le pic de la demande d'electricite residentielle augmente rapidement, provoque des perturbations importantes et est a l'origine de difficultes pour l'industrie. Cette augmentation est due, en grande partie, a la convergence et a de nouvelles attentes en matiere de confort au foyer qui sont satisfaites par une dependance de plus en plus importante des Australiens vis-a-vis de la climatisation. Les strategies de gestion de la demande d'electricite residentielle cherchent a relever ces defis soit en gerant de maniere active la demande des consommateurs soit en encourageant ces derniers a agir comme des co-gestionnaires de la demande pendant les heures de pointe. S'appuyant sur des interviews de specialistes de la gestion de la demande des distributeurs d'electricite et des detaillants, l'auteur analyse l'impact de plusieurs techniques de gestion de la demande d'electricite residentielle par rapport aux attentes des consommateurs en matiere de confort. Il ressort de cette etude que les services proposant des essais de gestion de la demande donnent forme aux attentes normales en matiere de confort mais sont aussi formes par ces dernieres. Il est necessaire de mener d'autres recherches sur le plan social pour evaluer l'impact des techniques de gestion de la demande sur l'augmentation des attentes en matiere de confort et de concevoir et mettre en œuvre des strategies pour resoudre cette question fondamentale. comportement adaptatif, climatisation, changement climatique, confort, gestion de la demande, qualite de l'environnement interieur, habitants, pic de la demande, consommation d'energie residentielle, compteurs intelligents [ABSTRACT FROM AUTHOR]

The present climate for investment in electricity generation assets in Australia is uncertain. We develop a real-options model to contrast the timing of the uptake of various electricity generation technologies under two carbon tax simulations: when a carbon tax of known size commences at a certain date in the future; and a carbon tax of known size commences at an uncertain date in the future. We find that uptake in the future varies significantly depending upon an investor's view of uncertainty and whether the technology is primarily designed to be viable in a market with or without carbon taxes. [ABSTRACT FROM AUTHOR]

Analyzing the probability of power transformer failure is challenging because to observe a sufficient number of failures requires a fleet size larger than what is often operated by one utility. Parametric distributions have been applied to small datasets to model failure. However, an assumption is that the failure follows the chosen distribution. Reliability data from 97% of the 6057 utility-owned power transformers operating in mainland Australia and Tasmania were collected and analyzed to develop a more accurate understanding of failure statistics. Information on 564 failures and retirements occurring between 2000 and 2015 was collected, stratified into distribution, subtransmission, and transmission voltage class units, and then analyzed. The useful life of the three different populations was estimated, and the relationship between age and different failure types was investigated. [ABSTRACT FROM PUBLISHER]

The global experience with regulatory reforms that promote competition in small and isolated energy markets is limited. We contribute to this knowledge and policy gap by analysing the reform experience and policy options in Australia's Northern Territory ( NT) electricity market. More private participation in electricity generation and retail in the short-term and intra-regional market integration in the medium term may be appropriate policy options as the demand for electricity grows. Reforms in smaller electricity markets such as the NT should be geared towards meeting the environmental and de-carbonisation objectives from the early stages. [ABSTRACT FROM AUTHOR]

Australia has a deregulated national wholesale electricity market, a national network regulatory framework, but inconsistent state-based regulated retail price caps in workably competitive markets. This article finds that asymmetric information and the complexity of energy markets means that a regulator, no matter how wise and well resourced, could never be expected to produce reliable estimates of competitive prices. If regulation represents a policy constraint, relying on long-run concepts rather than short-run prices is least damaging to the flow of capital and non-linear pricing. [ABSTRACT FROM AUTHOR]

Are Queensland residents willing and able to respond to varying electricity prices to reduce demand in peak times? To answer this, Energex and Ergon Energy conducted one of the largest tariff trials in Australia. The trial investigated time of use, dynamic peak pricing and load capacity tariffs across three climatic regions. This article presents empirical and participant survey results from the 27-month trial. Results show participants across all regions achieved approximately a 19 per cent reduction in consumption during peak times on event days. Trial findings shed light on and challenge some long-held views regarding pricing structures. [ABSTRACT FROM AUTHOR]

The carbon tax policy proposed by Australian government has triggered deep concerns about the high electricity prices facing households and the sustainability of electricity industry. By employing a computable general equilibrium (CGE) model and an environmentally extended Social Accounting Matrix (SAM), this article simulates the effect of Australian carbon tax on the electricity industry. The modelling results show that the wholesale electricity prices indeed increase by about 90%, but the retailer prices only increase by 25%. The coal-fired electricity generators will reduce their output by 8% (for black-coal) to 18% (for brown-coal), but the profitability of the industry will drop dramatically. On the other hand, generators using oil, gas or renewable resources, will increase their output significantly and enjoy a handsome profit. Through the price, cost and profitability mechanisms, the carbon tax will transfer the Australian electricity generation to a low emission industry in the long term. [ABSTRACT FROM AUTHOR]

Electricity generation contributes some 35 per cent of Australia's total greenhouse gas (GHG) emissions. So far, these emissions have not been taken into account when generation firms bid their availability into the National Electricity Market. Given the increasing emphasis on GHG emissions, change is required through the use of appropriate generation technologies and/or emissions trading or abatement. An Australian Emissions Trading Scheme is likely to start in 2010. Thus, the electricity generation sector will need to move from what has been an essentially private (i.e. production) cost structure to a social cost approach. This article focuses on appropriate technological choices (e.g. 'cleaner coal', gas, hydro, renewables and nuclear) in electricity generation that would help reduce the sector's GHG emissions. It suggests that: strategies based on appropriate technology selection can give a generation firm a competitive edge through time under market rules in the face of increasing environmental costs; with appropriate technological choices (and generation plant mix), a social cost-credit approach to electricity generation may ultimately lead to electricity costs that are not as markedly different from current private costs as the simple imposition of a carbon cost per tonne on the existing system would suggest; and while nuclear power may be a viable way of containing GHGs in electricity generation, this option remains controversial when social costs such as accidents and the handling of nuclear waste are considered. [ABSTRACT FROM AUTHOR]

One of the most important microeconomic policy reforms of the 1990s was the restructuring of the Australian electricity supply industry. This process was encouraged by the perception that the state-owned electricity authorities performed poorly in the 1970s and 1980s. This article observes the long-term performance of the State Electricity Commission of Victoria over the course of most of its life. In particular the growth in demand for electricity in Victoria, the productivity growth of the State Electricity Commission of Victoria, as well as electricity prices, profits and debt levels are presented over the longer term. [ABSTRACT FROM AUTHOR]

Purpose — Australian public sector organisations are faced with their greatest challenge in decades, as public sector reforms essentially re-examine the role of the State in the economy. These changes have led to a shift away from a traditional administrative approach of public sector organisations to one that fosters managerialism and economic rationalism, the underlying philosophies of new public management. Queensland, the Northeastern state of Australia, has experienced a period of government committed to change and reform specifically related to corporatisation and a national competition policy. Aims to address this issue. Design/methodology/approach — To understand the effect of changes in budgeting, the researcher explores the processes of change over a period of time as they occur, through the use of a case study approach. The processual approach adopted for the study is consistent with old institutional economic theory, which is used to inform the findings. Findings — It was found that indiscriminate changes to the budgeting process, together with the introduction of a transfer pricing system, caused considerable resistance. Streamlining was introduced late in the study, which, for the most part, despite the embeddedness of the earlier system, overcame many of the obstacles identified with relation to the budgeting process, while the conflict as a result of the transfer pricing system remained an unresolved and thorny issue. Originality/value — The implications for organisational change management suggest the consideration of embedded institutions within an organisation, while determining the processes and directions of change. The implications for reform setters and the Queensland electricity supply industry are such that the short-term goal of cost-efficiency may not necessarily be in the best interest of the overall long-term benefits to the community. [ABSTRACT FROM AUTHOR]

Presents a study which examined the development of marketing strategies in the Australian electricity distribution market. Background on the electricity industry in Australia; Methodology used in the study; Importance of particular competitive methods.

In this article a contextualist framework is used for theoretical analysis, in which context, content and process are linked over time. Within this framework we begin with the contextual factors which appear to be significant in restructuring the electricity industry, then outline the pathway taken by reform in the United States of America, United Kingdom and Australia, before describing the principal changes to one organisation and the management issues which have arisen as a result of these changes. [ABSTRACT FROM AUTHOR]

Over the last decade, improving the performance of infrastructure industries has been the main focus of Australia's ongoing "microeconomic reform" program. The development and application of performance measures has been central to the reform process. In the electricity industry, a number of studies have quantified differences in economic efficiency using the multilateral total factor productivity and data envelopment analysis techniques. While both techniques aim to measure the same phenomena, rarely have the results obtained using the two techniques been compared using an identical database. A principal objective of this article is to compare the results from the two techniques using a database made up of observations from the Australian Loy Yang A base-load power plant and a range of similar plants in North America. The article also illustrates the use of international benchmarking as a tool for productivity enhancement. International benchmarking is playing a key role in the reform of Australia's infra structure industries by promoting indirect or yardstick competition, by highlighting the need for further reform, and by building a consensus for implementing necessary changes. [ABSTRACT FROM AUTHOR]