The Department for Energy and Mining (DEM) has invited public comment on the licensing of electricity entities to ensure the framework keeps pace with evolving technology.
Inviting the comments, the Department said that under the Electricity Act 1996, licences were required for electricity generation, transmission, distribution and system control functions and, in certain circumstance with retail licences possibly also required for electricity retailers.
“The current licensing framework was established in a very different technological environment from the one that is currently evolving,” DEM said as it released the Consultation Paper, Review of the South Australian Electricity Licensing Framework.
To help understand and determine the best way forward, DEM said it was seeking feedback on the Strengths and weaknesses of the current electricity licensing regime; Costs and benefits of the current electricity licensing regime; Whether the current electricity licensing regime was achieving its objectives; and How well the current electricity licensing regime interacted with the National Energy Market.
The Department said Distributed Energy Resources and associated business models, such as Virtual Power Plants and Electric Vehicle charging networks, were expected to have a significant impact on future electricity supply and demand balance.
“Your comments, experience and insight are valuable to help ensure that the licensing framework keeps pace with the way that electricity is increasingly being generated and delivered to customers in South Australia,” it said.
“The transition to a decentralised power system represents an unprecedented change in power system and electricity market operation.”
Stakeholders are encouraged to read the consultation paper and provide submissions directly to DEM by close of business Friday 18 February 2022.
DEM’s 21-page Consultation Paper can be accessed at this PS News link.