Central-West Orana - Renewable Energy Zone - Ring-fencing class waiver

Commencement date: 
1 March 2022
Effective date: 
29 March 2022
General enquiries - Ring-fencing AERringfencing@aer.gov.au


A class waiver under the electricity distribution Ring-fencing Guideline (the Guideline) enables distribution network service providers (DNSPs) to potentially build and operate transmission infrastructure in a Renewable Energy Zone (REZ).

In considering whether to grant such a waiver, the AER must have regard to the National Electricity Objective, the potential for cross-subsidisation and discrimination if a waiver is granted or not granted, and whether the benefit, or likely benefit, to electricity consumers of the DNSP complying with clause 3.1 of the Guideline would be outweighed by the cost to the DNSP of complying with that obligation.

The AER sought submissions on granting a class waiver that will enable DNSPs to potentially build and operate transmission infrastructure in the Central-West Orana NSW REZ. Submissions closed on 14 March 2022 and 3 submissions were made.