The Essential Services Commission of SA is the independent economic regulator of essential services in South Australia with the primary objective of protection of the long-term interests of consumers.
Review of the Retailer Feed-in Tariff - Draft Price Determination
The Commission has released for public consultation a Draft Price Determination in respect of the minimum electricity feed-in tariff payable by electricity retailers to customers with solar photovoltaic units.
All electricity retailers are required to pay at least that minimum retailer feed-in tariff (R-FiT) amount for electricity exported into the distribution network, although they may offer higher amounts to customers.
The Commission’s draft determination is that it will make a further one-year price determination setting the minimum retailer feed-in tariff at 7.6c/kWh (reducing it from the current level of 9.8c/kWh). The minimum amount fixed by the Commission is at the lower end of the reasonable range of fair and reasonable value to an electricity retailer of electricity fed-in to the distribution network.
As well as setting the minimum tariff, the draft price determination provides for the introduction of a formal price-monitoring regime in respect of the feed-in tariff amounts paid by electricity retailers. This will allow the Commission to monitor the extent of competition for PV customers and the incidence of feed-in tariff amounts above the mandatory minimum 7.6c/kWh over the coming 12 months. Evidence provided through that process will inform the Commission’s future decision as to whether or not a further price determination is required.
The Commission invited submissions from all members of the community on this Draft Price Determination, submissions closed Friday 1 November 2013.
The Commission intends to release a Final Decision in early December 2013. If the Commission elects to make a Price Determination (whether or not on the same terms as this Draft Price Determination) as a result of its Final Decision, then that determination will take effect from 1 January 2014.
Further information on the Commission’s R-FiT Review is available in the Review of the Retailer Feed-in Tariff project page.
The Commission clarifies what has happened to retail energy prices since 1 July 2012
The Essential Services Commission of South Australia has issued a revised media release today to clarify what has happened to retail energy prices since 1 July 2012.
The revised media release distinguishes between the terms "Lowest Open Market Offer" and "Simple Average of Retailers' Lowest Open Market Offers" and provides estimated annual residential electricity bills for each.