Nexa Advisory Submission – AEMC Interconnector Cost Allocation

Nexa Advisory is pleased to share our submission to the Australian Energy Market Commission (AEMC) on the Providing flexibility in the allocation of interconnector costs draft determination.

We advocate for more timely delivery of transmission, and have highlighted the need for:

  • a fit-for-purpose regulatory pathway – which considers holistic delivery efficiency; and
  • Better national transmission planning and coordination – which sees improved transparency and accountability for the timely delivery of the ISP’s Optimal Development Path (ODP).

Nexa Advisory does not believe the draft rule change provides adequate certainty or confidence around the timely delivery of transmission.

We consider that a mechanism which allows for ‘beneficiary-pays’ cost allocation of nationally significant interconnector projects would constitute a simple and efficient solution. Together with certainty around coal retirement, it is critical that any rule changes provide certainty around transmission delivery and provide the market confidence required to progress the transition.

Read our submission here: AEMC Interconnector Cost Allocation – Nexa Advisory Submission