New demand-response energy rules sound good, but the devil is in the (hugely complicated) details

Electricity Energy industries Electricity prices Electricity grid Electricity demand Consumer behaviour Australia

Last week the body that governs Australia’s energy market released a draft proposal to introduce a demand response mechanism to the wholesale electricity market.

It argues the proposal will unearth some electricity users’ “latent flexibility” to prices in the extremely volatile wholesale market, and that this will potentially promote more efficient use of electricity, more secure power systems, and lower prices.

The move comes after nearly two decades of sustained campaigning, which prompts the question: why doesn’t such a useful-sounding mechanism already exist?

Read the full article on The Conversation.

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