The Need for Energy Market Reform

‘The electricity market ... doesn’t work. I mean, you’ve got a supposed national market which isn’t a national market because it’s got a different construct in every state. The interconnectivity isn’t sufficient to ensure you actually get the cheapest energy produced and where someone wants to acquire it.’

The BCA has estimated that $45 billion to $80 billion of investment in infrastructure is required by 2030, in part to meet the burgeoning demand for energy. The BCA wants urgent reforms such as improved investment in transmission networks across state boundaries and the removal of barriers to investment in new generation capacity, such as government ownership. It is especially keen to see this happen nationally through the COAG process.

BCA President Greig Gailey quoted in article titled ‘Warning Over Power Blackouts’ by Annabel Hepworth, The Australian Financial Review, 10 January 2008, p. 1.