The Economic Regulation Authority (ERA) reviews the effectiveness of Western Australia’s Wholesale Electricity Market (WEM) annually resulting in a report to the Minister for Energy containing findings and recommendations. To facilitate consultation, the ERA released a discussion paper on 25 July.
One of the main areas of focus in the discussion paper is how to take forward and prioritise reform initiatives in the WEM. In particular, the ERA highlights some of the potential negative effects on generation competition that may result from interim network access arrangements, offering partially constrained access for new connections. The ERA also states its preference for evolving the market to being based on constrained access with co-optimised dispatch of energy and ancillary services.
The impact of intermittent generation and recommendations flowing from the Finkel review are also considered in the discussion paper and the ERA is seeking feedback on how these issues should be incorporated into future reform of the WEM.
Feedback should be directed through the ERA web-portal by 1 September.