Review of SA Electricity Licensing Framework

**UPDATE: The Department has released a Position Paper for the Review of the South Australian Licensing Framework. See below.**

Have your say on South Australia's current electricity licensing framework!

What's being decided?

Licences are required in South Australia under the Electricity Act 1996 for electricity generation, transmission, distribution, and system control functions. A retail licence may also be required for entities who sell electricity to customers but are not connected to the National Electricity Market.

The current licensing framework was established back in a very different technological environment from the one that is currently evolving. Distributed Energy Resources and associated business models, such as Virtual Power Plants and Electric Vehicle charging networks, are expected to have a significant impact on our future electricity supply and demand balance.

To help us work out the best way forward, your feedback is sought on the following:

• strengths and weaknesses of the current electricity licensing regime
• costs and benefits of the current electricity licensing regime
• whether the current electricity licensing regime is achieving its objectives
• how well the current electricity licensing regime interacts with the NEM.

Your comments, experience and insight are valuable to help ensure that the licensing framework keeps pace with the way that electricity is increasingly being generated and delivered to customers in South Australia.

Background

The electricity supply is in the process of rapidly transitioning to a carbon constrained future, with South Australia leading this transition. This is resulting in technically different ways in which the electricity supply is entering the market and radical changes to customer demand.

The transition to a decentralised power system represents an unprecedented change in power system and electricity market operation:

• Consumers are leading the way in the growth in installed distributed PV.
• Solar industry competitiveness and marketing is leading to increasing choices for consumer energy solutions.
• The falling cost of renewable generation and batteries is lowering the cost of providing off-grid electricity supply.
• The increasing role of storage means electricity market participants are both drawing electricity from the grid and sending electricity out to the grid.

Get involved

Find out more:

• Read the Review of the South Australian Electricity Licensing Framework Consultation Paper.
• Read the Supplementary Paper - Overview of Existing Approval Requirements and Conditions.

Have your say by:

• Joining the online discussion below.
• Join us for an online workshop on Friday 21 January 2022 from 10:00 am to 11:30 am (ACST) (register your interest at dem.consultation@sa.gov.au)
• Emailing a submission to dem.consultation@sa.gov.au
• Posting your written submission to:
  
  Department for Energy and Mining
  Review of the Electricity Licensing Framework
  GPO Box 320, Adelaide, South Australia 5001

What are the next steps?

All feedback will be consolidated and considered to determine appropriate reform options.

If you would like to provide any comments in addition to a submission or discuss this consultation further, please email dem.consultation@sa.gov.au.