$51m lift for energy cop
Government acts to address power bill shock
THE energy regulator and competition watchdog will get a $51 million funding boost to ensure lower power bills for Australian households and small businesses.
The Morrison Government will give the Australian Energy Regulator an extra $23 million over five years to create a reference bill and default market offer for electricity.
Ongoing funding will also be available for the AER to regularly update the bill and market offer, and federal Energy Minister Angus Taylor (pictured) wants the initiative to be finalised by April 30 next year.
An additional $28 million over seven years will be injected into the Australian Competition and Consumer Commission, to monitor electricity prices and deal with energy company misconduct.
The agency’s first report is due by March 31 next year, ahead of a report every six months until 2025.
The funding boost comes as the Morrison Government yesterday directed the Clean Energy Finance Corporation to prioritise investments that support more reliable, 24/7 power.
Renewable energy projects will have to show they support and not disrupt the reliability of the electricity grid, under a new directive for the corporation.
“The CEFC will have to take into consideration the potential effect on reliability and security of supply when evalu- ating renewable energy generation investment proposals,” Mr Taylor and Finance Minister Mathias Cormann said in a joint statement.
“The CEFC has also been directed to continue to focus on emerging and innovative clean energy technologies with a view to further reduce the risk of the CEFC crowding out private finance in more established renewable energy markets.”
The Federal Government has also announced taxpayer money could go towards upgrading existing coal-fired power plants in an attempt to reduce power bills.
Registrations of interest for the underwriting plan opened on Thursday, giving the industry a six-week window to apply so that a shortlist can be decided early next year. The program will offer financial support for both new projects as well as existing facilities, over various stages until 2023.