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ISP cost-benefit framework

View on aph.gov.au (opens in a new tab)
Status: Answered, finished
Asked by: Senator the Hon. Matthew Canavan
Portfolio: Climate Change, Energy, the Environment and Water
Agency: Australian Energy Regulator
Round: 2026-27 Budget estimates
Question No: SQ26-000665
Asked: 8 June 2026
Answer due: 16 July 2026

Question

1. Does the ISP cost-benefit framework explicitly test the effect of the proposed system build-out on industrial electricity prices or manufacturing competitiveness? 2. In reviewing the Draft 2026 ISP, did the AER identify whether AEMO had transparently explained the impact of the pathway on large industrial users, not just consumers in aggregate? 3. Does the current ISP framework distinguish between the effect on general consumers and the effect on trade-exposed manufacturing loads? 4. If the ISP is said to deliver net market benefits for consumers, does that include any specific assessment of factory viability or industrial competitiveness? 5. If not, does the AER consider that a material gap in the transparency of the electricity planning framework?

Answer

Please see the attached answer.

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