The Department of Climate Change, Energy, the Environment and Water (DCCEEW) has consulted on the National Consumer Energy Resources (CER) Roadmap which sets out an overarching vision and implementation plan to support CER at scale across Australia.

Australia’s electricity transition is entering a decisive decade.

As the economy decarbonises there will be rapid growth in electrification and new industrial demand.

As ageing coal assets are retired, this increases the opportunity for effective management of consumer energy resources (CER) – which has the benefit of avoiding an over-reliance on gas generation.

These CER will enable governments and energy bodies to meet the National Energy Objectives (NEO) on both emissions reductions and affordability. Embedding demand-side solutions into the very fabric of planning, governance and investment will enable the energy system to meet challenges at the lowest cost.

These demand-side solutions include flexibility, electrification, effective use of CER, and efficiency. Today, consideration and planning of supply-side resources dominate the energy system.

Transmission and generation planning are supported by strategic plans and detailed annual outlooks (ISP, ESOO, GSOO). The consideration of demand is less developed, only represented by aggregate forecasts, and incentive mechanisms are ineffective.

This risks locking in unnecessary gas peaking and network expansion, while under-utilising the multi-billion-dollar opportunities from demand flexibility.

Climateworks Centre’s submission centres on three recommendations to elevate the demand side:

  • Deliver a well-governed annual Demand-side Statement of Opportunities. Underpin annual statement with consistent data, shared methodologies and a coherent approach to demand-side planning and investment.
  • Develop consistent visibility of local and national demand forecasts. Publish clear, aligned local and national demand forecasts, while tracking flexible demand potential and applying national monitoring standards to provide a transparent, reliable picture for planners and investors.
  • Prioritise demand-side solutions in decision making on energy system investments. Reform planning and investment tests so demand response and flexibility are fully evaluated alongside new networks and generation. This would ensure reliability, reduce costs and be more cost-effective.

More detail on these recommendations can be found in the submission.