AGL supports the Australian Energy Regulator's (AER) draft rule, granting them authority to enforce ringfencing obligations on Transmission Network Service Providers (TNSPs). This expansion, extending beyond prescribed transmission services, aims to limit discriminatory practices in the contestable connections market. AGL emphasizes the need for transparency in negotiations for connection services, citing complexities and potential cost escalations. The proposed rule change offers flexibility to address market dynamics and fosters competition. AEMC’s proposed rule commencement is 30 May 2024 and included a requirement in the draft rule for AER to update its guidelines within 12 months of this date. AGL along with other stakeholders supported a quicker timeframe than 12 months.
Read the full submission here.