Electricity Tariff Review
Through its Roadmap to Renewables policy the Northern Territory Government has committed to achieving a 50% renewable energy target by 2030. The Government’s underlying principles for achieving the renewable energy target and delivering reform to the electricity sector are to achieve reliable, secure, and least cost power for consumers and taxpayers.
Integral to achieving the renewable energy target and realising benefits from electricity reform are appropriate incentives and price signals to:
- encourage the efficient use of the Territory’s resources
- support optimal investment in behind-the-meter technology
- reduce the need for network upgrades
To help the Government determine how to achieve its renewable energy target, a Renewable Energy Expert Panel was commissioned to deliver a report on a pathway to 50% renewable energy by 2030. The report, ‘Northern Territory Roadmap to Renewables, 50% by 2030’, was publicly released on 27 November 2017, together with Government’s response to the recommendations. The report includes 11 high level recommendations which the Government has supported or supported in principle, noting that further analysis is required to assess the feasibility of suggested actions.
The report suggests the Northern Territory Government consider a number of actions directly related to electricity tariffs, including:
- mechanisms to refine solar feed-in tariffs (FiT) for all new solar PV customers, incorporating arrangements to reflect time-of-day of energy generation and the costs and benefits for customers and networks using electronic interval metering
- tariff structures that are both “cost reflective of generation and delivery” and “opportunity cost reflective of demand reduction”
- tariffs to support ‘behind the meter’ customer-owned renewable energy, including storage.
The departments of the Chief Minister and Treasury and Finance have been tasked with reviewing the Territory’s regulated electricity tariffs and feed-in tariffs to provide options on a long term transition pathway to the Government on tariff policy that will complement the Government’s renewable energy and electricity market reform programs.
Getting electricity tariff policy right, will contribute to the sustainable development of the Territory and help minimise living costs for Territorians.
The Northern Territory Government will invite submissions from members of the public and interested groups to the Electricity Tariff Review.
Following consultation a report will be delivered to Government along with advice on options for the setting of efficient electricity retail tariffs and complementary feed-in tariff structures to be provided by an independent consultant.
Government will consider the options and public comments and a draft tariff policy will be released to the public in 2019.
The public will be given another opportunity to comment on the tariff reform through submissions on the draft policy and associated public engagement forums.
To enquire about the tariff review or provide comment prior to the release of a tariff review information paper please email Dcm.firstname.lastname@example.org