Last week, Flow Power made a submission as part of the Energy Security Board’s process of consultation on the National Electricity Guarantee.
At Flow Power, we believe that the National Electricity Guarantee (NEG) could provide a great opportunity to reconnect customers to the signals of the market – as long as we get the details right.
When we prepared this submission, we asked our customers to give us their thoughts on the issues raised by the NEG. They gave us great insights into how we will integrate low cost renewables and demand response into the reliable power system of tomorrow. Some of the comments included:
- Knowing the forecasted price for the week is nice but of little value since the price can vary by $’000’s every 5 minutes. When coupled with the fact that electricity can be consumed at a given price for a five minute period but charged at a higher price for the 30 minute interval because prices spiked late in that interval it means that pricing integrity goes out the window. Innovation in demand response is likely to improve reliability but doubtful whether it will reduce costs.
- Businesses such as ours need lower electricity costs overall and better pricing certainty as it is extremely difficult to compete internationally with our current system.
- A guarantee that enshrines large incumbents at the expense of competition will lead to worse outcomes in the long run. We would favour policy certainty that encourages new investment as the energy sector transitions to lower emissions technologies.
Here at Flow Power we want to represent the thoughts of Australian business’ – especially when it comes to ensure they have transparent, flexible and affordable power.
Any questions? We’re here to help.
If you’re interested in learning more about the wholesale demand response mechanism, our friendly team are always available for a chat.
If you’re an existing Flow Power customer, please do not hesitate to reach out to your account manager.
If you’re not a Flow Power customer contact our friendly team today:
📞 1300 08 06 08 (within business hours)
🖥️ Live chat message (within business hours via the chat button at the bottom of your screen)
Alternatively, you can submit your questions through our website contact form here.