Energy Market Review: More Renewables, Competition

The BusinessNZ Energy Council (BEC) welcomes the second phase of the Electricity Authority’s wholesale market review.

Executive Director Tina Schirr says an efficient electricity system is vital for a competitive economy, and that a recently-commissioned survey by the Authority of the investment pipeline looked promising.

"The survey shows that indicated renewable generation development has accelerated. But there are factors at play which are slowing investment down.

"These include uncertainty around gas supply, the timing and manner of exiting fossil-fuelled generation, the NZ Battery Project and questions surrounding the future of the Tiwai Point smelter.

"BEC supports a market-based framework where generators and retailers compete vigorously, and where businesses and residential consumers trade in a way that enables them to manage their risks at efficient prices.

"We would like to acknowledge the significant time and effort the Authority has committed to conducting both phases of this review and look forward fully analysing this latest report, to put forward further submissions on the subject.

"BEC will be debating these proposals within the report with energy sector leaders at an upcoming event in November. Keep an eye on BEC's event page for details.

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