
| NOTE: Following the successful disaggreagtion of West Power Corporation as of 1 April 2006, the Electricity Reform Implementation Unit has been disbanded. This site remains active for historical reference only. For further and current information relating to the West Australian Electricity Industry, please visit the Office of Energy Website |
Electricity reform is intended to put downward pressure on prices by introducing competition into the State’s monopolistic electricity industry.
This was done by creating four new businesses out of the previous Western Power Corporation:
- Electricity Generation Corporation (trading as "Verve Energy");
- Electricity Networks Corporation (trading as "Western Power");
- Electricity Retail Corporation (trading as "Synergy"); and
- Regional Power Corporation (trading as "Horizon Power");
The key was breaking the link between the generation and retail businesses, which means new players will be able to compete on a level footing.
Changing the structure of Western Power Corporation was just part of the solution. Getting the electricity market right is just as important in encouraging competition in new and replacement generation. This was done through the creation of a Wholesale Electricity Market (WEM), which commenced electricity trading on 21 September 2006. The new Wholesale Electricity Market has a range of features to encourage new entrants, increase investment in electricity infrastructure and improve reliability.
The ultimate objective of the new Wholesale Electricty Market is to provide benefits to the community by facilitating competition and minimising the cost of electricity supplied to consumers in the SWIS.
The Market Rules that govern the wholesale market were made by the Minister for Energy on 1 October 2004 and subsequently published in the Government Gazette on 5 October 2004. During the transitional phase, that was, prior to the commencemnt of energy trading on 21 September 2006, the Minister for Energy approved and published a series of a amendments against the initials rules.
For historicial details on the Wholesale Electricity Market and the Market Rules select here>>
Select the appropriate title for further current information on the Wholesale Electricity Market and Wholesale Electricity Market Rules (WEM Rules).
A new Electricity Networks Access Code has also been established to govern the commercial arrangements that will apply to use of the SWIS (generally retailers). The Access Code is independently administered by the Economic Regulation Authority.
Click here to obtain a copy of the Electricity Networks Access Code 2004 (gg205)