Submission on Ausgrid Community Power Network Trial Waiver Application

The Clean Energy Council (CEC) welcomes the opportunity to provide feedback to the Australian Energy Regulator’s (AER) consultation on the Ausgrid Community Power Network Trial Waiver Application.

We note and welcome that Ausgrid has committed to knowledge sharing, to support the industry to test and learn from the trial. If the AER proceed with granting the waiver the CEC suggests the additional safeguards should be included in the waiver:

1. Competitive Tendering for Key Functions: Any contestable services (e.g., ownership, operation, aggregation, trading) in the trial should be open to procurement through competitive tenders, ideally managed by an independent entity (e.g. AEMO Services, NSW EnergyCo). This ensures market discipline, cost effectiveness, and gives non-network businesses opportunity to participate.
2. Strong Ring-fencing Conditions: Maintain strict separation (functional, legal and financial) between Ausgrid’s regulated monopoly (network) business and any competitive side of the trial. Ensure no cross subsidy, no leveraging of monopoly infrastructure or branding in ways that give unfair advantage.
3. Transparent Reporting & Knowledge Sharing: Ausgrid must be required to publish regular, detailed reports covering costs, technical performance, business models tried, customer uptake, benefit streams, challenges and lessons. All data, methodologies and assumptions should be shared with all market participants.
4. Opt-in Consumer Engagement: Consumer benefit-sharing options should allow customers to choose whether to participate; no mandatory inclusion without opt-out and clear disclosure.
5. Review / Sunset / Variation Clauses: The waiver should include provisions for review (within the shorter term), possible variation or revocation if outcomes (costs, competitive impacts) are adverse, or if competition is being harmed.