The Australian Energy Regulator (AER) has today released its draft interim guidance note on export limits for public consultation. This guidance note is intended to provide guidance to distributed network service providers (DNSPs).
The primary objectives of the interim non-binding export limit guidance note are to:
- provide clarity on policy objectives and design principles for DNSPs when implementing and using flexible export limits as a tool for managing network congestion and increasing available hosting capacity for exports of solar PV based generation to the grid
- provide clarity to DNSPs on AER expectations to support the development of expenditure to implement and use flexible export limits, and
- establish ‘guard rails’ for the development and use of flexible export limits to protect consumers and enable owners of consumer energy resources to maximise the value from their investments in a manner that delivers benefits to all consumers.
The AER will hold a public webinar so that interested stakeholders can provide feedback as part of the consultation process. The date and registration for the webinar are as follows:
Public consultation webinar for all stakeholders:
- 11 am – 12:30 pm AEDT Monday 27 November (Click here to register)
Consultation on the draft export limit interim guidance note will close on 19 January 2024.
Background
The AER is the regulator for electricity and gas networks in every state and territory in Australia except Western Australia.
Throughout 2022 to mid-2023, the AER led a review of the regulatory framework for flexible export limits as part of the Energy Security Board’s Consumer Energy Resources Implementation Plan. This plan sought to effectively integrate consumer energy resources, such as rooftop solar and batteries, into the National Electricity Market.
The primary purpose of the AER’s review was to identify and analyse potential regulatory gaps associated with the implementation of flexible export limits by DNSPs and identify actions that could address the risks to energy consumers associated with these gaps.