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The NSW Independent Pricing and Regulatory Tribunal (IPART) has completed its review of the future of embedded networks in NSW. It recently published its final report.
The NSW Government introduced the NSW Embedded Network Action Plan to address gaps in customer protection regulatory frameworks. As a part of the Action Plan, the NSW Government issued IPART The future of embedded networks in NSW Terms of Reference. These Terms of Reference asked IPART to make recommendations on how maximum prices should be set for electricity, gas, and hot and chilled water supplied to small customers through embedded networks. It also asked IPART to make recommendations on a compliance and enforcement framework for new price protections, and whether new hot and chilled water embedded networks should be prohibited in NSW.
In the final report issued IPART has recommended:
- methodologies for setting maximum prices for electricity, gas, and hot and chilled water for customers in embedded networks, based on what on-market customers pay for these services
- a compliance and enforcement framework for any new protections
- that the NSW Government should not prohibit the establishment of new hot and chilled water embedded networks.
A copy of the final report can be viewed here Final Report – Future of Embedded Networks in NSW – April 2024.
What is an Embedded Network? An embedded network is when a privately owned energy network supplies multiple premises and residents within a building or site. They can supply, individually or in combination, electricity, gas, or hot or chilled water. They are often found in new residential strata scheme developments.
© Bugden Allen Group Legal Pty Ltd. All information contained in this article is of a general nature only and you should obtain specific legal advice in relation to any property-related affairs on any of the topics mentioned.
