Research by the Australian Competition and Consumer Commission (ACCC) has prompted the Government to introduce new measures to deal with misconduct in the electricity sector.
Announcing what he called “Big Stick” legislation, Minister for Energy and Emissions Reduction, Angus Taylor quoted the ACCC findings that electricity companies had “played a major role in poor outcomes for consumers”.
“To address this, the legislation that holds the energy companies to account for misconduct is now in effect and will drive down energy prices and strengthen supply,” Mr Taylor said.
He said it would ensure reductions in wholesale costs were passed on to customers, while penalties would apply for anti-competitive behaviour or moves to manipulate electricity prices.
“The ACCC will be responsible for enforcing the legislation, and will have a graduated range of penalties at its disposal,” the Minister said.
The ACCC would also establish an ongoing inquiry into the National Electricity Market continuing to 2025.
Mr Taylor said that other aspects of the legislation included an end to “sneaky” late payment penalties; an extension of the Consumer Data Right to energy to make it easier for consumers to switch energy providers; and the progression of the Underwriting New Generation Investments program to improve competition and reduce wholesale prices.
“We will also establish a new $1 billion Grid Reliability Fund to support Government investment in new energy generation, storage and transmission infrastructure,” Mr Taylor said.
