Responses to AER's Consumer Challenge Panel

At the end of May 2014, TransGrid submitted our Revenue Proposal for 2014/15 – 2018/19 to the Australian Energy Regulator (AER).

As part of the AER's Better Regulation Guidelines, the Regulator established a Consumer Challenge Panel (CCP) to provide input into networks' proposals from a consumer perspective. As a part of the AER's review process, a number of stakeholders, customers and the CCP have made submissions on TransGrid's Revenue Proposal. These are available on the AER's website.

TransGrid has provided the AER with responses to the CCP's submissions on our demand management innovation allowance and Consumer Engagement Step Change.  We consider both parts of our Proposal key to continuing our commitment to improving our decision making through meaningful engagement. We believe that stronger engagement can help us test expenditure proposals, and can raise alternative views on matters such as service priorities, capital expenditure proposals and price structures.

Demand management innovation allowance

Based on feedback received from consumers and large energy users, we included a Demand Management Innovation Allowance in our Revenue Proposal. Stakeholders were encouraged to see the steps already taken in growing the demand management market and suggested that there was more to be done. Over the last regulatory period, TransGrid conducted two of Australia's largest demand response programs, one of which received an award at the 2013 Energy Efficiency Council Awards. We believe that while the demand management industry is growing rapidly, in order to assist it to reach maturity, we need to take a leading role. This includes investing in collaboration, market understanding and technology trialling. TransGrid believes that demand management can be viable alternative to network investment and can provide significant savings to electricity users throughout NSW. 

Read more here

Consumer engagement step change

Since early 2013, TransGrid has been taking steps to open up our planning processes. We are giving NSW electricity users a voice in the development of our business plans and an opportunity to engage with us on the ways we ensure a safe and reliable electricity supply. Both independent reports and our own research has shown that consumers want to be involved in our decision making processes. TransGrid believes that proper consumer engagement has the potential to both save consumers money, and ensure the funds spent are in line consumer interests and needs.  To us, engagement is more than a simple 'communications' exercise, but a conversation between a range of stakeholders to improve decision making impacting our network's cost and service levels. 

Read more here

We invite you to continue to conversation about the electricity transmission network by registering today or participating in the ongoing AER consultation process.