Energy Ministers met today as part of the Energy National Cabinet Reform Committee.
Ministers discussed the Energy Security Board's (ESB) final recommendations on the Post-2025 Market Design project.
Ministers agreed there was a critical need to strengthen investment signals for dispatchability in the market and agreed on the need to move to detailed design work.
It was also recognised that the mechanism should encourage investment in new replacement capacity and prevent premature loss of capacity.
Ministers will meet again in September to agree the final package of reforms which will be provided to National Cabinet.
Ministers agreed it is important to release the ESB's final advice documents in relation to its recommendations to inform public discussion of these recommendations.
Ministers also noted advice on cost allocation for inter-regional transmission, and noted further work to be undertaken by the Commonwealth and interested jurisdictions on alternative cost allocation models with this work to be considered at the next meeting.
Energy Ministers' Meeting:
As part of the Energy Ministers' Meeting, Ministers agreed there is an ongoing need for a body to coordinate energy market advice, and considered models for a reformed ESB.
Ministers also acknowledged the contribution made by the ESB Chair and Deputy Chair to support Energy Ministers to drive reform and improvements to the energy system.
Ministers also noted a work plan is being developed for the Cyber Security priority, as agreed in their last meeting, and agreed this should complement ongoing jurisdictional cyber security reforms.
Ministers agreed on an expedited process to amend the National Gas Law, National Energy Retail Law and subordinate instruments so hydrogen blends, biomethane and other renewable methane gas blends are brought within the national energy regulatory framework.
Ministers have also previously agreed to a legislative package of reforms that will enhance transparency in Australia's gas markets.
These changes will ensure gas users are getting a fair go through increased price disclosure to help users negotiate short-term gas supply contracts.
The reforms will also see increased reporting on production information, liquefied natural gas export transactions, and key information on gas infrastructure.
Energy Ministers will next meet in September.
