Chapter 1 - Introduction

[1]        Journals of the Senate, 2016–17, No. 59, 7 September 2017, pp. 1894–95.

[2]        Senate Standing Committee for the Scrutiny of Bills, Scrutiny Digest, No. 9 of 2017, 16 August 2017, p. 6.

[3]        Parliamentary Joint Committee on Human Rights, Scrutiny Report, No. 9 of 2017, 5 September 2017, p. 1.

[4]        Council of Australian Governments (COAG) Energy Council, 'Australian Energy Market Agreement (as amended December 2013)', p. 1, 9 December 2013, COAG energy website, http://www.coagenergycouncil.gov.au/sites/prod.energycouncil/files/publications/documents/Australian%20Energy%20Market%20Agreement%20-%20Dec%202013.pdf (Accessed on 27 September 2017.)

[5]        Queensland, New South Wales, Australian Capital Territory, Victoria, Tasmania and South Australia. Western Australia and the Northern Territory currently operate their own electricity markets, with Western Australia in the process of examining how it might enter the NEM. See Department of the Environment and Energy, 'Electricity market development', http://www.environment.gov.au/energy/markets/electricity-market-development (Accessed 27 September 2017.)

[6]        Eastern gas region, Western gas region, and Northern gas region. Unlike the NEM, there is no national wholesale market for gas. See AEMC , 'Natural gas markets', AEMC website http://www.aemc.gov.au/Australias-Energy-Market/Markets-Overview/National-gas-market (Accessed 27 September 2017.)

[7]        The NEL is in the schedule to the National Electricity (South Australia) Act 1996; the NGL, which regulates gas pipelines and gas wholesale markets, is in the schedule to the National Gas (South Australia) Act 2008; and the NERL, which regulates the supply and sale of energy to retail customers, is in the schedule to the National Energy Retail Law (South Australia Act 2011).

[8]        Explanatory Memorandum, p. 4.

[9]        Department of the Environment and Energy, 'Energy market institutions', http://www.environment.gov.au/energy/markets/energy-market-institutions (Accessed on 27 September 2017.)

[10]      Explanatory Memorandum, p. 4. In Western Australia, the state body Economic Regulation Authority (ERA) is the regulator.

[11]      Explanatory Memorandum, p. 4.

[12]      The process is outlined in the explanatory memorandum, pp. 5–6. See also Australian Energy Regulator, Submission 3, Attachment 2, Submission to the review of limited merits review framework, October 2016, pp. 4–6.

[13]      Merits review is the process by which a person or body, other than the primary decision maker, reconsiders the facts, law and policy aspects of the original decision and determines the 'correct' or 'preferable' decision. COAG Energy Council, Review of the Limited Merits Review Regime Consultation Paper, September 2016, p. 6.

[14]      COAG Energy Council, Review of the Limited Merits Review Regime Consultation Paper, 6 September 2016, p. 7.

[15]      Explanatory Memorandum, p. 9.

[16]      Explanatory Memorandum, p. 6; AER, Submission 3, Attachment 2, p. 8.

[17]      Explanatory Memorandum, p. 6.

[18]      Judicial review 'only allows for a review of the legality of earlier decision making processes'. It usually consists of a review of the procedures undertaken to make a decision. COAG Energy Council, Review of the Limited Merits Review Regime Consultation Paper, September 2016, p. 6.

[19]      COAG Energy Council, Review of the Limited Merits Review Regime Consultation Paper, 6 September 2016, pp. 4, 8–9.

[20]      COAG Energy Council, Review of the Limited Merits Review Regime Consultation Paper, 6 September 2016, p. 4.

[21]      COAG Energy Council, Review of the Limited Merits Review Regime Consultation Paper, 6 September 2016, p. 9.

[22]      Explanatory Memorandum, p. 6.

[23]      COAG Energy Council, Review of the Limited Merits Review Regime Consultation Paper, 6 September 2016, p. 4.

[24]      Explanatory Memorandum, pp. 6–7.

[25]      COAG Energy Council, Meeting Communique, 14 December 2016.

[26]      COAG Energy Council, Meeting Communique, 14 December 2016.

[27]      COAG Energy Council, Meeting Communique, 14 December 2017.

[28]      AER, 'Federal Court judgement on AER electricity and gas price decisions disappointing outcome for NSW and ACT consumers', Media Release, 24 May 2017.

[29]      Minister for the Environment and Energy, the Hon Josh Frydenberg, MP, 'States need to put energy consumers first', Media release, 24 May 2017.

[30]      Prime Minister of Australia, the Hon Malcolm Turnbull, MP, Minister for the Environment and Energy, the Hon Josh Frydenberg, MP, Minister for Resources and Northern Australia, Senator the Hon Matt Canavan, 'Securing our energy future', Media release, 20 June 2017.

[31]      Minister for the Environment and Energy, the Hon Josh Frydenberg, MP, House of Representatives, Hansard, 10 August 2017, p. 8037.

[32]      Explanatory Memorandum, p. 9.

[33]      Explanatory Memorandum, p. 9.

Chapter 2 - Issues raised in evidence

[1]        Mr Chris Alexander, Energy Consumers Australia, Committee Hansard, 3 October 2017, p. 34.

[2]        Mr Craig Memery, Public Interest Advocacy Centre, Committee Hansard, 3 October 2017, p. 24.

[3]        Ms Joann Wilkie, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 29.

[4]        Ms Joann Wilkie, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 29.

[5]        Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 32.

[6]        Ms Joann Wilkie, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 32.

[7]        Mr Chris Pattas, Australian Energy Regulator, Committee Hansard, 3 October 2017, p. 37.

[8]        Mr Paul Italiano, Chief Executive Officer, TransGrid, Committee Hansard, 3 October 2017, p. 22.

[9]        Mr Warwick Anderson, Australian Energy Regulator, Committee Hansard, 3 October 2017, p. 37.

[10]      Dr Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 31.

[11]      Australian Energy Regulator, Submission 3, p. 2.

[12]      Australian Energy Regulator, Submission 3, Attachment 2, Submission to the review of limited merits review framework, October 2016, p. 15.

[13]      Australian Energy Regulator, Submission 3, p. 1.

[14]      Mr Craig Memery, Public Interest Advocacy Centre, Committee Hansard, 3 October 2017, p. 25.

[15]      Energy Consumers Australia, Submission 12, p. 1.

[16]      Ms Joann Wilkie, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 30.

[17]      Australian Energy Regulator, Submission 3, p. 2.

[18]      Australian Energy Regulator, Submission 3, pp. 1–2; Dr Bruce Mountain, CME Australia, Committee Hansard, 3 October 2017, pp. 8–10; Department of the Environment and Energy, Committee Hansard, 3 October 2017, pp. 29–31; Mr Chris Pattas, Australian Energy Regulator, Committee Hansard, 3 October 2017, p. 37.

[19]      Australian Energy Regulator, Submission 3, p. 3.

[20]      Australian Energy Regulator, Submission 3, p. 3.

[21]      Mr Craig Memery, PIAC, Committee Hansard, 3 October 2017, p. 25.

[22]      Australian Energy Regulator, Submission 3, pp. 1–2; Mr Warwick Anderson, Australian Energy Regulator, Committee Hansard, 3 October 2017, pp. 37–38.

[23]      Dr Bruce Mountain, Committee Hansard, 3 October 2017, p. 9.

[24]      Mr Chris Pattas, Australian Energy Regulator, Committee Hansard, 3 October 2017, p. 37.

[25]      Ms Julia Mansour, PIAC, Committee Hansard, 3 October 2017, p. 27.

[26]      Mr Chris Alexander, Energy Consumers Australia, Committee Hansard, 3 October 2017, p. 34.

[27]      Explanatory Memorandum, p. 5.

[28]      Ms Joann Wilkie, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 30.

[29]      Australian Energy Regulator, Submission 3, Attachment 2, Submission to the review of limited merits review framework, October 2016, pp. 3–4.

[30]      Australian Energy Regulator, Submission 3, Attachment 2, Submission to the review of limited merits review framework, October 2016, p. 7. See also Mr Craig Memery, Public Interest Advocacy Centre, Committee Hansard, 3 October 2017, p. 28.

[31]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 31.

[32]      Mr Craig Memery, PIAC, Committee Hansard, 3 October 2017, p. 25. See also Mr Oliver Derum, Energy Consumers Australia, Committee Hansard, 3 October 2017, p. 35.

[33]      Mr Warwick Anderson, Australian Energy Regulator, Committee Hansard, 3 October 2017, p. 38.

[34]      Infrastructure Partnerships Australia, Submission 9, p. 2; Australian Council of Trade Unions, Submission 4, p. 3.

[35]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 31.

[36]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 30.

[37]      COAG Energy Council, Consumer participation in revenue determinations and associated regulatory processes: Consultation paper on consumer resourcing, 5 October 2017, p. 4. See also Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 31.

[38]      Australian Energy Regulator, Submission 3, p. 6. See also Mr Chris Pattas, Australian Energy Regulator, Committee Hansard, 3 October 2017, pp. 37, 40.

[39]      Australian Energy Regulator, Submission 3, p. 6.

[40]      Mr Garth Crawford, Energy Networks Australia, Committee Hansard, 3 October 2017, p. 15.

[41]      Australian Energy Regulator, Statement of Intent 2017–18, p. 3.

[42]      Mr Chris Alexander, Energy Consumers Australia, 3 October 2017, pp. 35–36.

[43]      Mr Craig Memery, PIAC, Committee Hansard, 3 October 2017, p. 25.

[44]      Electrical Trades Union, Submission 1, pp. 2–3; Australian Council of Trade Unions, Submission 4, pp. 2–3; Energy Networks Australia, Submission 5, p. 2; Spark Infrastructure, Submission 7, p. 1.

[45]      Energy Networks Australia, Submission 5, p. 3.

[46]      Energy Networks Australia, Submission 5, p. 2; Spark Infrastructure, Submission 7, p. 1.

[47]      Queensland Law Society, Submission 11, p. 2.

[48]      Mr Lance McCallum, Australian Council of Trade Unions, Committee Hansard, 3 October 2017, p. 2.

[49]      Energy Networks Australia, Submission 5, pp. 1–2; Mr Paul Italiano, TransGrid, Committee Hansard, 3 October 2017, p. 17; Mr Lance McCallum, Australian Council of Trade Unions, Committee Hansard, 3 October 2017, p. 2.

[50]      Mr Paul Italiano, TransGrid, Committee Hansard, 3 October 2017, p. 18.

[51]      Frontier Economics, Submission 2, p. 9.

[52]      Energy Networks Australia, Submission 5, p. 2. See also Mr Andrew Dillon, Energy Networks Australia, Committee Hansard, 3 October 2017, pp. 12, 13.

[53]      Mr Andrew Dillion, Energy Networks Australia, Committee Hansard, 3 October 2017, p. 13.

[54]      Dr Bruce Mountain, Committee Hansard, 3 October 2017, p. 8.

[55]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 29.

[56]      Minister for the Environment and Energy, the Hon Josh Frydenberg, MP, 'States need to put energy consumers first', Media release, 24 May 2017.

[57]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 32.

[58]      Ms Joann Wilkie, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 29.

[59]      Frontier Economics, Submission 2, p. 1. See also Spark Infrastructure, Submission 7, p. 1; Infrastructure Partnerships Australia, Submission 9, p. 2.

[60]      Mr Paul Italiano, TransGrid, Committee Hansard, 3 October 2017, p. 17.

[61]      Queensland Law Society, Submission 11, p. 2.

[62]      Queensland Law Society, Submission 11, p. 2.

[63]      Frontier Economics, Submission 2, p. 4; Mr Paul Italiano, Chief Executive Officer, TransGrid, Committee Hansard, 3 October 2017, p. 18.

[64]      Frontier Economics, Submission 2, pp. 4–5. See also Queensland Law Society, Submission 11, p. 2.

[65]      Dr Bruce Mountain, Committee Hansard, 3 October 2017, p. 8.

[66]      Dr Bruce Mountain, Committee Hansard, 3 October 2017, p. 9.

[67]      Ms Julia Mansour, Public Interest Advocacy Centre, Committee Hansard, 3 October 2017, p. 26.

[68]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 32.

[69]      Electrical Trades Union, Submission 1, p. 11; Spark Infrastructure, Submission 7, p. 1; TransGrid, Submission 8, p. 4; Queensland Law Society, Submission 11, pp. 2–3; Mr Andrew Dillon, Energy Networks Australia, Committee Hansard, 3 October 2017, p. 12.

[70]      TransGrid, Submission 8, p. 4.

[71]      Frontier Economics, Submission 2, p. 5; Energy Networks Australia, Submission 5, p. 2; TransGrid, Submission 8, p. 5.

[72]      Frontier Economics, Submission 2, p. 5.

[73]      Dr Bruce Mountain, Committee Hansard, 3 October 2017, pp. 9–10.

[74]      Energy Networks Australia, Submission 5, p. 2; IPA, Submission 9, p. 1.

[75]      Electrical Trades Union, Submission 1, p. 8; Frontier Economics, Submission 2, pp. 6, 7; Energy Networks Australia, Submission 5, p. 5; Queensland Law Society, Submission 11, p. 2.

[76]      Infrastructure Partnerships Australia, Submission 9, p. 3.

[77]      Australian Council of Trade Unions, Submission 4, p. 3; Electrical Trades Union, Submission 3, pp. 7–8.

[78]      Electrical Trades Union, Submission 3, p. 8.

[79]      Mr Trevor Gauld, Electrical Trades Union, Committee Hansard, 3 October 2017, pp. 2–3. See also Mr Lance McCallum, Australian Council of Trade Unions,, Committee Hansard, 3 October 2017, p. 5.

[80]      Mr Trevor Gauld, Electrical Trades Union, Committee Hansard, 3 October 2017, p. 3.

[81]      Mr Lance McCallum, Australian Council of Trade Unions, Committee Hansard, 3 October 2017, p. 5.

[82]      Mr Warwick Anderson, Australian Energy Regulator, Committee Hansard, 3 October 2017, p. 38.

[83]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 33.

[84]      Mr  Trevor Gauld, Electrical Trades Union, Committee Hansard, 3 October 2017, pp. 4–5. See also the Electrical Trades Union, Submission 1, pp. 7–8; Australian Council of Trade Unions, Submission 4, p. 3; Frontier Economics, Submission 2, p. 6; Electrical Trades Union, Submission 1, p. 9.

[85]      Frontier Economics, Submission 2, p. 5.

[86]      Mr Trevor Gauld, Electrical Trades Union, Committee Hansard, 3 October 2017, p. 5.

[87]      Frontier Economics, Submission 2, p. 6; Electrical Trades Union, Submission 1, p. 8.

[88]      Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, pp. 30–31.

[89]      Mr Warwick Anderson, Australian Energy Regulator, Committee Hansard, 3 October 2017, p. 38.

[90]      Queensland Law Society, Submission 11, p. 2.

[91]      Ms Joann Wilkie, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 30.

[92]      Infrastructure Partnerships Australia, Submission 9, p. 2.

[93]      Infrastructure Partnerships Australia, Submission 9, p. 2.

[94]      TransGrid, Submission 8, p. 4.

[95]      Ms Julia Mansour, Public Interest Advocacy Centre, Committee Hansard, 3 October 2017, p. 27.

[96]      Mr Chris Alexander, Energy Consumers Australia, Committee Hansard, 3 October 2017, p. 35.

[97]      Public Interest Advocacy Centre, Submission 6, p. 4. See also Mr Craig Memery, Public Interest Advocacy Centre, Committee Hansard, 3 October 2017, pp. 25–26.

[98]      Mr Trevor Gauld, Electrical Trades Union, Committee Hansard, 3 October 2017, p. 3.

[99]      Public Interest Advocacy Centre, Submission 6, p. 5.

[100]    Australian Energy Regulator, Submission 3, Attachment 1, pp. v–vi.

[101]    Dr Joanne Bright, Department of the Environment and Energy, Committee Hansard, 3 October 2017, p. 31.

[102]    Public Interest Advocacy Centre, Additional Information, dated 4 October 2017, p. 1.

[103]    In 2014, the COAG Energy Council and Australian Government published separate statements of expectations for the AER under accountability and performance frameworks. See https://www.aer.gov.au/publications/corporate-documents/aer-statement-of-intent-2017%E2%80%9318