Review of Distribution Reliability Outcomes and Standards – NSW Workstream

This submission responds to the Review of NSW Distribution Reliability Outcomes and Standards. The Review’s Terms of Reference direct the to AEMC estimate ‘the willingness of the NSW community to pay for a range of reliability outcomes through expert analysis and public consultation.  This Review has been initiated in response to concerns about the effect reliability standards have on consumers’ energy bills. In recognition of this, PIAC contends that the process for establishing consumers’ willingness to pay should give consumers the opportunity to record their preferences against a range of models for providing reliable supply which are indicatively costed. PIAC also recommends that the residential survey being used to understand the value customers place in reliability should seek to clarify whether anyone in the household is reliant on life support equipment or any other essential health or mobility aids. PIAC believes the value of reliability in these circumstances should be viewed in the context of the consequences of unreliable service, rather than people’s willingness to pay.