Renewable Energy Handbook 2010 - Department of Finance - The ...

2.5.3 STATE REGULATORY ANDGOVERNING BODIESEconomic Regulation Authority (ERA)The ERA was established on 1 January 2004 toregulate the gas, rail, water and electricity industriesin Western Australia, under the provisions of theEconomic Regulation Authority Act 2003.The ERA:Regulates third party access to covered electricity·networks in Western Australia;Issues, amends, monitors and enforces licences·for electricity industry activities;Oversees wholesale electricity market functions,·including reviews into the operation of thatmarket; andManages inquiries referred by government, and·research involving economic, fi nancial, technicaland legal issues.The legislation listed in Table 2 provides theoperating framework for the ERA.TABLE 2. LEGISLATION RELATED TO THE ROLE OF THEECONOMIC REGULATION AUTHORITYOFFICE OF ENERGYRENEWABLE ENERGY HANDBOOK 2010Independent Market OperatorThe IMO is established under the Electricity Industry(Independent Market Operator) Regulations 2004 toadminister and operate the Wholesale ElectricityMarket. It is an independent entity, with no commercialinterest in the market. The functions performed bythe IMO include:Administering the Market Rules;·Registering market participants;·Managing the Reserve Capacity Mechanism (RCM),·the Short-Term Energy Market (STEM) and thebalancing process;Settling transactions under the Market Rules;·Administering the tender processes for·Network Control Services (alternatives toenhancement options);Preparing and releasing market information;·Monitoring compliance by market participants;·Assisting the Economic Regulation Authority in its·market surveillance and monitoring functions; andCarrying out system adequacy studies and·publishing a statement of opportunities.25RENEWABLE ENERGY AND THE ELECTRICITY MARKET IN WESTERN AUSTRALIALEGISLATIONEconomic RegulationAuthority Act 2003Electricity Network Access Code2004 – gazetted 30 Nov 2004PURPOSEEstablishes the Economic Regulation Authority and provides it withvarious functions in respect of the water, gas, rail and electricityindustries. It also makes consequential and other amendments tovarious Acts.Provides a framework for the independent regulation of covered electricitynetworks in Western Australia.The ERA also has a number of specifi c functionsprescribed under the Electricity Industry Act 2004,for example, licensing, customer protection, industrycode and wholesale electricity market functions.Further information can be accessed through theERA website at: www.erawa.com.au