Can the ECA’s network blueprint deliver better outcomes?

When I first began working on energy policy, the notion of rooftop solar powering a significant slice of our electricity needs was a distant dream, and talk of rooftop solar as a core piece of Australia’s energy puzzle would have sounded a bit ambitious at best. Fast forward to today and it’s a reality: with solar panels on nearly 1 in 3 Australian rooftops they provide the largest capacity of renewable generation in the grid at more than 26 GW. The second largest source of renewable capacity is wind (13 GW). That’s not just impressive; it’s transformative. But if these customer (distributed) energy resources (CER) like solar and batteries are now such a big part of the system then why does our approach to planning the networks that deliver, and increasingly receive, that power remain so rooted in the past. Why are we still planning our electricity networks like it's 1999?

Are the current rules around how distribution network service providers (DNSPs) plan their investments out of step with the rapid rise of CER? Right now, networks forecast just five years ahead, even for assets expected to last 30 years or more. This mismatch isn’t just academic; it carries real costs. By undervaluing the long-term benefits of CER such as rooftop solar, batteries, electric vehicle charging infrastructure and demand response, we risk overbuilding capital intensive infrastructure or, conversely, failing to harness smarter non-network solutions. That’s a misalignment with massive consequences. If we undervalue what CER and demand response can do beyond year five, we risk unnecessary infrastructure being built, or on missing out on smarter solutions altogether. 

And it’s not just about timeframes. Even more concerning is the data blackout that persists on the distribution side. DNSPs sit on troves of valuable information like low voltage flow profiles and granular hosting capacity data that could identify the need, the opportunity and become the market enabler for the innovative services from third parties like virtual power plant operators that are so needed in a high CER world. Yet most of this data remains locked away, inaccessible to the very entrepreneurs who could turn it into cost saving grid deferrals and other consumer benefits.   

This asymmetry stifles competition and entrenches an incumbent advantage. As it stands, third parties don’t have the visibility they need to offer competitive, innovative solutions. This data asymmetry gives networks a strategic benefit. They can see what’s needed and where, while everyone else is left guessing. This is not in the public interest.

Enter the Integrated Distribution System Plan (IDSP): A Modern Blueprint for Smarter Energy Planning 

Energy Consumers Australia (ECA) is proposing a new planning approach: the Integrated Distribution System Plan, or IDSP. It’s not a buzzwordy rebrand of existing processes, it’s a rethink from the ground up. Imagine if every two years, each network released a 20-year roadmap that incorporated national forecasts, like those in the Integrated System Plan (ISP). Instead of guesswork and siloed decisions, we’d have coordinated, transparent strategies for where the grid is going and how to get there. 

And at the core of the IDSP proposal is data transparency. We’re talking hosting capacity maps, aggregated smart meter data, and clearly defined constraints all available in quarterly updated machine readable formats and shared in open access. This kind of visibility lets innovators build where it makes sense and helps consumers maximise their CER returns. And it’s not just about fairness; it’s about efficiency. When everyone can see where the opportunities are, we defer expensive builds, unlock more CER potential, and introduce real competition drivers to deliver the grid solution at lowest cost. 

The AEC believes the time is right to support this idea. Why? Because CER is here, it’s proven, and it's growing fast. We now operate in a world where virtual power plants, dynamic pricing, and real-time energy data aren't fringe concepts anymore. They’re active parts of our energy mix. That’s why Energy Consumers Australia’s proposal for an Integrated Distribution System Plan (IDSP) deserves broad support.  Under this model, DNSPs would publish a comprehensive update to a longer term plan every two years, aligned with the Australian Energy Market Operator’s Integrated System Plan. And DNSPs would update this plan quarterly with machine readable data on hosting capacity, CER uptake, voltage constraints, and more.   

Critics will point to the upfront cost of upgrading systems, building new datasharing platforms, and staff and capacity commitments. But let’s put that in perspective: deferring even a small percentage of routine network upgrades through smarter CER integration could save consumers billions over the next two decades.  The real question isn’t whether we can afford to build these capabilities; it’s whether we can afford not to. 

Right now, there’s a real risk of the left hand not knowing what the right is doing. The national ISP might be planning for high area EV uptake by 2030, while a local network assumes a much slower rollout. The result?  Overbuilding in some places, bottlenecks in others, and stranded assets that nobody wants to pay for. The IDSP solves that by aligning local planning with national forecasts, and by having networks to explain when and why they diverge.  It’s not about enforcing uniformity; it’s about avoiding chaos.   

It took a century to get to here. 

Change takes time. That’s why the ECA is suggesting a seven-year roadmap to phase in IDSP requirements, giving networks time to upgrade systems and processes.  We think that’s fair and feasible.  And it’s not seven years until the first benefits are apparent. In fact, some early wins like publishing feeder-level hosting maps could be achieved in just 24 months we think. Most importantly, this roadmap holds networks to account. Clear milestones, a common industry timetable, and regular reviews will help ensure it’s not just making plans; it’s making progress. 

As Australia races toward net zero by 2050, our grid must evolve from a one-way delivery system into an intelligent, interactive platform. That transformation demands not only new technologies but also new planning rules that recognize the value of DER, reward transparency, and foster competition. The IDSP isn’t a silver bullet, but it’s a vital step toward a more resilient, efficient, and consumer focused energy future. 

The AEC believes the long-term benefits far outweigh the upfront investment. We’re talking capital deferral, market competition, emissions reduction, and - most importantly - better outcomes for consumers. Let’s seize this opportunity to plan better, spend smarter, and build a grid that works for everyone.