Analysis

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OECD Price Comparison: How do we stack up?

As households and small businesses are notified of changes to their energy prices for the financial year, there continues to be scrutiny of our power prices. With energy affordability an ongoing concern for Australians, comparisons with overseas energy markets are common with consideration of how Australia's costs compare to other countries. We take a look at how our electricity prices stack up against other developed nations using the latest data across 38 OECD countries.

BY Carol Tran Jul 10 2025

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The gas transition: What do gorillas have to do with it?

The gas transition poses an unavoidable challenge: what to do with the potential for billions of dollars of stranded assets. Current approaches, such as accelerated depreciation, are fixes that Professorial Fellow at Monash University and energy expert Ron Ben-David argues will risk triggering both political and financial crises. He has put forward a novel, market-based solution that he claims can transform the regulated asset base (RAB) into a manageable financial obligation. We take a look and examine the issue.

BY David Markham Jul 03 2025

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Australia’s Sustainable Finance Taxonomy: Solving problems or creating new ones?

Last Tuesday, the Australian Sustainable Finance Institute (ASFI) released the Australian Sustainable Finance Taxonomy – a voluntary framework that financiers and investors can use to ensure economic activity they are investing capital in is consistent with a 1.5°C trajectory. One of the trickier aspects of the Taxonomy was whether to classify gas-powered generation, a fossil fuel energy source, as a “transition” activity to support net-zero. The final Taxonomy opted against this. Here we take a look at how ASFI came to this decision, and the pragmatism of it.

BY Rhys Thomas Jun 26 2025

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What’s behind the bill? Unpacking the cost components of household electricity bills

With ongoing scrutiny of household energy costs and more recently retail costs, it is timely to revisit the structure of electricity bills and the cost components that drive them. While price trends often attract public attention, the composition of a bill reflects a mix of wholesale market outcomes, regulated network charges, environmental policy costs, and retailer operating expenses. Understanding what goes into an energy bill helps make sense of why prices vary between regions and how default and market offers are set. We break down the main cost components of a typical residential electricity bill and look at how customers can use comparison tools to check if they’re on the right plan.

BY Tom Monaghan Jun 19 2025

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Twenty-Five Years of Rooftop Solar: Who were the Pioneers?

Australia’s energy landscape has transformed dramatically over the past 25 years, driven in part by the Renewable Energy (Electricity) Act 2000 and the introduction of renewable energy certificates in 2001. Through the Small-scale Renewable Energy Scheme, households have been incentivised to install rooftop solar with the help of Small-scale Technology Certificates (STCs). From just 118 rooftop systems in 2001, over four million Australian homes now generate their own power. We take a closer look at regional trends in solar adoption, beginning with the early pioneers and the trajectory of small-scale PV uptake across the country.

BY Carol Tran Jun 05 2025

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Gas in the NEM: Is there a case for a new and expanded RERT?

Gas-powered generation (GPG) will be essential to maintaining reliability in the National Electricity Market (NEM) as coal exits and the grid becomes increasingly reliant on variable renewable energy (VRE) and storage. However, current market settings and investment mechanisms are failing to support the GPG capacity needed for both regular firming and emergency insurance against high-impact, low-probability (HILP) VRE droughts. We take a closer look at whether a new and expanded Reliability and Emergency Reserve Trader (RERT) framework could provide a viable pathway to deliver insurance GPG outside the market without distorting competitive outcomes.

BY Peter Brook May 29 2025

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NEM Expert Review: Key areas and direction come into sharper focus

The National Electricity Market (NEM) Review Expert Panel is currently conducting public forums.  The Australian Energy Council attended the Sydney forum, where the Panel shared insights gathered from market participants through submissions and bilateral discussions, and presented indicative directions for feedback. The strong attendance at the Sydney forum indicates the importance attached to the review within the energy sector.  With further forums planned through to early June, we take a look at what we learnt, what happens next and what we see as the key areas for focus. 

BY David Feeney May 22 2025

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Climate and energy: What do the next three years hold?

With Labor being returned to Government for a second term, this time with an increased majority, the next three years will represent a litmus test for how Australia is tracking to meet its signature 2030 targets of 43 per cent emissions reduction and 82 per cent renewable generation, and not to mention, the looming 2035 target. With significant obstacles laying ahead, the Government will need to hit the ground running. We take a look at some of the key projections and checkpoints throughout the next term.

BY Rhys Thomas May 15 2025

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Principles-based regulations: What are the opportunities and trade-offs?

As Australia’s energy market continues to evolve, so do the approaches to its regulation. With consumers engaging in a wider range of products and services, regulators are exploring a shift from prescriptive, rules-based models to principles-based frameworks. Central to this discussion is the potential introduction of a “consumer duty” for retailers aimed at addressing future risks and supporting better outcomes. We take a closer look at the current consultations underway, unpack what principles-based regulation involves, and consider the opportunities and challenges it may bring.

BY Braeden Keen May 08 2025

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2025 Federal Election: Distinctly Different Energy Policies

Energy has been a major issue and point of difference for the major parties. Labor and the Coalition offer sharply contrasting visions, with significant implications for generation investment, grid reliability, emissions outcomes, and regulatory certainty. With a minority government considered a strong possibility, we examine the competing platforms of Labor and the Coalition, as well as the positions of the Greens, Teals, and key Independents.

BY Tom Monaghan May 01 2025

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Will power prices come down? Not as a result of the current election announcements

Australia’s energy system is undergoing a complex, large-scale transition which requires stable, long-term policy and investment signals. Recent announcements have focused on short-term relief measures, but these do little to address the underlying structural drivers of power prices. Achieving lower cost outcomes for consumers will depend on the timing and volumes of renewables integration (particularly wind), investment in firm, dispatchable energy sources, and better integration of consumer energy resources. Chief Executive, Louisa Kinnear, assesses the policy proposals made by both parties, and offers up a range of suggestions on what government and policymakers should focus on in order for the energy transition to be delivered at the lowest cost.

BY Louisa Kinnear Apr 24 2025

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Certificate schemes – good for governments, but what about customers?

Retailer certificate schemes have been growing in popularity in recent years as a policy mechanism to help deliver the energy transition. The report puts forward some recommendations on how to improve the efficiency of these schemes. It also includes a deeper dive into the Victorian Energy Upgrades program and South Australian Retailer Energy Productivity Scheme.

BY Rhys Thomas Apr 17 2025

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Beyond the Rebate: Battery Policy, VPPs, and Household Returns

A re-elected Labor Government’s promise to cut home battery costs by 30 per cent through the Small-scale Renewable Energy Scheme (SRES) has sparked interest—and raised questions. While the move may accelerate battery uptake among solar households, critics warn it could deepen inequities by leaving renters and vulnerable customers behind. More importantly greater value will be realised if the storage capacity is also coordinated through mechanisms like Virtual Power Plants (VPPs). We take a look at the benefits of VPPs.

BY David Markham Apr 10 2025

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2025 Election: A tale of two campaigns

The election has been called and the campaigning has started in earnest. With both major parties proposing a markedly different path to deliver the energy transition and to reach net zero, we take a look at what sits beneath the big headlines and analyse how the current Labor Government is tracking towards its targets, and how a potential future Coalition Government might deliver on their commitments.

BY Ben Barnes Apr 03 2025

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Regulated Electricity Prices: A look at network and wholesale costs

Retail costs have recently received much attention in the draft regulated Default Market Offer, but network and wholesale costs have also risen. These two components make up the bulk of the final bill, accounting for 33-48 per cent (network) and 31-44 per cent (wholesale) of DMO 7 draft prices. As the energy transition progresses with new network investments and the shift to renewables, storage, and gas, these costs will require closer focus. Last week, we explored retail costs; this week, we examine the network and wholesale cost components.

BY Australian Energy Council Mar 27 2025

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Electricity Prices: Are Retail Costs the Real Issue?

Retail costs have been in the news following the release of the Australian Energy Regulator’s draft default market offer decision. This is despite retail costs being dwarfed by network and wholesale costs that make up 33-48 per cent and 31-44 per cent of the DMO 7 draft prices respectively. According to new analysis, increases in the DMO regions have been largely driven by rises in those two largest components. These are supply chain costs retailers cannot fully control and pass through to end users, so why the intense focus on retail costs? We take a look.

BY Australian Energy Council Mar 20 2025

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Wholesale Market Settings Review – Key Issues to Resolve

The Australian Energy Council continues to engage with the Expert Panel conducting the wholesale market settings review. Submissions closed on 14 February. The Review is an important piece of work, as it seeks to define the services the energy system will need as the transition continues and to ensure that market-based incentives and signals deliver the required investment, enabling a shift away from a continued reliance on Government intervention. What is emerging is good alignment across stakeholders on the key issues. We take a closer look at some of the common themes and what the AEC believes are key areas.

BY David Feeney Mar 13 2025

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Australia's Solar Waste: A Growing Problem

Australia has long been a global leader in the adoption of solar energy, with one of the highest per capita rates of rooftop solar installations worldwide. Solar power has become a cornerstone in the nation's commitment to sustainability, contributing significantly to reducing its carbon footprint and reliance on fossil fuels. However, as solar panels reach the end of their lifespan, the issue of solar panel waste is rapidly emerging as a significant environmental challenge that could escalate in the coming decades. We take a closer look.

BY Tom Monaghan Mar 06 2025

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Western Australia Goes to the Polls: What’s in Store for Energy?

As early voting opened ahead of Western Australia’s 8 March state poll energy issues and proposals continued to make headlines. In particular, the ALP’s announcement that if re-elected it would provide generous support to households to install battery storage was prominent There have also been questions raised about whether a re-elected ALP government would be successful in its energy transformation to allow the phasing out of state-owned coal plants by 2030. In contrast the Liberal Party has pledged to maintain and extend the state’s coal plants until more gas generation can be brought into the system. The Nationals have announced support for microgrids and more stringent approval processes for renewable energy projects, while the Greens are promoting a 10 per cent Clean Energy Transition Levy on onshore gas projects. We take a look at the key energy policies presented to voters.

BY Carl Kitchen & Tom Monaghan Feb 27 2025

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Navigating Energy Consumer Reforms: What is the impact?

Both the Essential Services Commission (ESC) and Australian Energy Market Commission have recently unveiled consultation papers outlining reforms intended to alleviate the financial burden on energy consumers and further strengthen customer protections. These proposals range from bill crediting mechanisms, additional protections for customers on legacy contracts to the removal of additional fees and charges. We take a closer look at the reforms currently under consultation, examining how they might work in practice and the potential impact on consumers.

BY Braeden Keen Feb 20 2025

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