Marco Stella
Governments Markets News & Commentary NSW Government Smart Energy Victorian Government
Victoria energy efficiency market rides wave of optimism, NSW hopes to follow
After an eye-watering rally, VEEC market settles in mid $30s awaiting government's response. Meanwhile, a waiting game of sorts is also playing out north of the border.
The second half of 2019 has seen a healthy improvement in prices in Victoria and NSW energy efficiency markets, despite a shock expansion in one state.
Seismic shift in LGC market fundamentals caused big rise in prices across second half of year, while STC experienced some volatility within narrower trading range.
VEEC submissions grew sharply across May, perhaps due to backlogged supply, or to solar installs hitting a government wall. In NSW, ESC pricing remained stubbournly stable.
With the 2020 Large-scale Renewable Energy Target all but met, attention is focused on the LGC surplus in the pivotal 2019 compliance year.
Changes to product requirements and compliance matters, plus the election in New South Wales, have made for interesting times in NSW and Victoria energy efficiency markets.
Markets Other Good Stuff Renewables Wind
Renewable Energy Market Report – sharp declines in large scale certificates
Recent months saw a sharp decline in LGC prices with shortfall penalty strategies and surplus impacts much discussed. Meanwhile, STC supply continued to grow.
Downward trend continues in the LGC market with liquidity issues along the way, while STCs experience a volatile period on regulatory concerns.
Release of new scheme regulations sees debate over future of VEEC supply take an unexpected turn in October, with a major impact on the VEEC price the result.
Stability in energy efficiency markets came to an abrupt end in August due to concerns about future supply from residential sources, the Victorian election and solar hot water policy...
