Queensland Government submits signed letter to the AER

Dan Hunt, Director-General of the Department of Mines and Energy, and Terry Wall, Director-General  of the Environmental Protection Agency have penned an open letter to Mike Buckley, General Manager of the Australian Energy Regulator commenting on the paper “Potential development of demand management incentive schemes for Energex, Ergon and ETSA Utilities (now SA Power Networks) for the 2010 – 15 regulatory control period” released in April 2008.

The letter states that “the Queensland Government supports the implementation of a demand management incentive scheme that provides for a more economically efficient market where network and non-network investments that deliver the same level of service reliability are given equal regulatory concession, and economic benefits are ultimately transferred to Queensland electricity consumer.”

It goes on to state that “Energex, Ergon Energy and Powerlink Queensland have conducted electricity consumption modelling which forecasts that under a ‘business-as-usual’ scenario, peak electricity demand in 2020 will be 75 per cent higher than 2007 level and total consumption will be up to 48 per cent higher”.



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