Looking at the existing regulatory framework of the energy market in Australia, changes that are needed, and opportunities within it.

1. Opportunity within existing and
proposed regulatory framework
Connor James
Nexus Lawyers

2. TRADITIONAL STRUCTURE
Generators
Produce electricity
Generator
Transformer
Converts low voltage
electricity to high voltage
for efficient transport
Transmission
Companies
Carry high voltage
Distribution
Transformer
Converts high voltage
electricity to low voltage for
distribution
Distributors
Carry low voltage
electricity to consumers
Homes, offices and factories use
electricity for lightning and heating
and to power appliances
• Generators
• Distributors
• Transmission
• Retailers
• Consumers
• Regulators
Source: AEMO website
2
Consumers
Play a passive role

3. WHY REGULATE?
Regulation is unpopular
Response to interest groups as
a result of protectionism and popularism

4. WHAT IS CHANGING?
Wind Turbines
Generator
Transmission system
System operator control
and data center
Substation
Smart
meter
Offices
Factory
Distribution
Marketplace
National Energy
Marketplace
Home monitoring
of electricity data
Distribution system
Source: http://www.dream-smartgrid.eu/market-benefits-for-costumers/
4
Onsite generation
feeding back into
the grid

5. Redefined
roles
Determine
value
Adjust to
reflect
changes

6. FOCUSING ON
Reliability
Consumer Protection
Photo: Twitter/Vic_Rollison
6

7. PPAs (not new but an example of a innovative product)
Small Generation Aggregation (access the wholesale market)
Valuation of embedded renewable generation

8. Embracing change