A review of the Tasmanian wholesale electricity market regulatory pricing framework was announced in the 2017-18 State Budget.
Treasury appointed consultants, Energy Market Consulting Associates (EMCa) to assist with Phase 1 of the Review, which involved consultation with key stakeholders and an assessment of the existing Wholesale Contract Regulatory Instrument (WCRI).
The original Terms of Reference for the Review can be accessed below.
EMCa produced an Interim Report documenting the findings of the Review.
As part of the 2018 State Election, the Government announced its Tasmania First energy policy, which includes removal of the linkage to Victorian prices when setting the Tasmanian wholesale electricity price.
The first step in the process has been to cap price regulated retail price increases to no greater than CPI for the three year period from 2018-19.
The next step is for EMCa to commence Phase 2 of the Review process, which is to develop options for determining wholesale electricity prices after this three year period.
An update to the Terms of Reference can be found here:
Review of the Tasmanian Wholesale Electricity Market Regulatory Pricing Framework - Phase 2 Update to Terms of Reference (42Kb)
An initial Discussion Paper has been prepared outlining the approach to Phase 2 of the Review.
EMCa will prepare an Options Paper which is expected to be available for comment in late 2018 or early 2019.