The Australian Energy Regulator (AER) has published an issues paper, Ring-fencing guideline (electricity transmission), updating the guideline to include negotiated transmission services (the issues paper) for stakeholder feedback.
The AEMC’s amendment to rule 6A.21.2 of the National Electricity Rules (NER) empowers the AER to update the Ring-fencing guideline (Electricity transmission) (the guideline), to achieve the functional separation of prescribed transmission services and negotiated transmission services by Transmission Network Service Providers (TNSPs) from the provision of contestable (i.e. non-regulated) electricity services by them, or by their related entities.
We are seeking more detailed views from stakeholders to assist us in developing a formal proposal for changes to the guideline. The issues paper details our framework for considering changes and sets out a range of issues for stakeholder consideration, including:
whether all, some, or no negotiated services should be ring-fenced, and the manner in which ring-fencing should occur
whether to expand the definition of ‘ring-fenced information’
whether to require additional reporting on the delivery of services
expanding current obligations, in regard to marketing staff separation, to provision of negotiated services, and
whether to introduce restrictions on cross-branding and promotions.
The aim of the issues paper is to gather more detailed and specific information on the above considerations and to understand the potential costs and impacts of ring-fencing obligations applied to different types of negotiated services.
We are seeking information that will help us to assess which matters should be excluded from the guideline altogether, which matters should be included in the guideline but waivable upon application, or any matters which should be included but not subject to waiver at all.
