AER releases annual assessment of Demand Management Incentive Scheme (DMIS) incentives for Ergon Energy, Ausgrid, Endeavour Energy and United Energy for 2019–20

The Australian Energy Regulator (AER) today released its assessment of the annual incentive claims for 2019–20 made by electricity distributors Ergon Energy, Ausgrid, Endeavour Energy and United Energy under the Demand Management Incentive Scheme (DMIS).

The AER has approved a total of $534,500 of financial incentives for these distributors on four demand management (DM) projects. The distributors implemented non-network solutions such as synchronous generation, residential air-conditioner load control, load control replacement, and residential demand response to address network constraints and defer network expenditure.

The DMIS encourages DM projects that are efficient and contribute to resolving a network constraint. In deciding if a project is efficient, the AER requires distributors to test the DM services market. This increases transparency, promotes competition and puts downward pressure on electricity prices.

In August 2020, the AER approved United Energy’s DMIS claim for the reporting year 2019. However, publication of the report was deferred until the assessment of other distributors’ reports could be completed. The purpose of deferring the publication of United Energy’s DMIS report was to enable a meaningful comparison with DM projects undertaken by other distributors.

For more detailed information about the projects, please refer to each distributor's DMIS report.

Issued date: 
12 April 2021
AER reference: 
AC 42/21
AER General Inquiries