A customer's demand is calculated in 30 minute intervals over a month, and the interval with the highest or maximum level of demand (that falls within the peak Calculation charging window) is used as the electricity quantity to be multiplied by a price. Every month, the calculation is reset. Source: SAPN revised tariff structure statement Part B – SAPN also proposed: New and existing residential customers and small businesses with a single phase supply will default to an existing energy based tariff. These customers can opt-in to a cost reflective tariff if they have the required meter The business single rate tariff (closed) has been simplified to a single block from an inclining block tariff Electric vehicles with chargers (<25A) that are hard-wired, are permitted to use the controlled load tariff, and Small customers with multiple properties are eligible to apply for a lose’ 12 ‘can’t month on cost-reflective prices if the properties are currently on legacy tariffs (e.g. this applies to customers currently assigned to either the business two-rate or business single rate tariffs). The majority of stakeholders were supportive of demand tariffs. The Australian Department of State Development supported the implementation of demand tariffs as a means to reduce the pressure on the network at peak times, limiting network expansion and therefore minimise electricity prices over time. It stated demand based tariffs provide greater incentive for customers to change their usage during periods of peak demand. The Energy Council supported the principle of moving towards cost reflective network pricing. It submitted reducing peak demand and spreading the electricity load more evenly will improve network utilisation, reducing network spending and wholesale electricity costs. The Clean Energy Council notes the key issue for tariff reform is to implement the reforms in ways that build public understanding and support. Business SA submitted a joint study undertaken by Business SA / SA Wine Industry Association shows the majority of small business users are likely to be better off under cost reflective tariffs, however there needs to be appropriate mechanisms available for them to predict likely tariff outcomes. Origin, Red and Lumo Energy supported demand tariffs, however considered customers need time to understand the impact that their demand profile in order to benefit from a demand tariff. However, Solar Citizens and the Renewable Energy Policy Group consider demand tariffs are inappropriate for many residential and small business customers. Solar Citizens and the Renewable Energy Policy Group submitted that until more dynamic tariff structures are available, time-of-use tariff structures are the better choice for improving price signals to customers.
Calculation A customer's demand is calculated in 30 minute intervals over a month, and the interval with the highest or maximum level of demand (that falls within the peak charging window) is used as the electricity quantity to be multiplied by a price. Every month, the calculation is reset. Source: SAPN revised tariff structure statement – Part B SAPN also proposed: New and existing residential customers and small businesses with a single phase supply will default to an existing energy based tariff. These customers can opt-in to a cost reflective tariff if they have the required meter The business single rate tariff (closed) has been simplified to a single block from an inclining block tariff Electric vehicles with chargers (<25A) that are hard-wired, are permitted to use the controlled load tariff, and Small customers with multiple properties are eligible to apply for a ‘can’t lose’ 12 month on cost-reflective prices if the properties are currently on legacy tariffs (e.g. this applies to customers currently assigned to either the business two-rate or business single rate tariffs). The majority of stakeholders were supportive of demand tariffs. The Australian Department of State Development supported the implementation of demand tariffs as a means to reduce the pressure on the network at peak times, limiting network expansion and therefore minimise electricity prices over time. It stated demand based tariffs provide greater incentive for customers to change their usage during periods of peak demand. The Energy Council supported the principle of moving towards cost reflective network pricing. It submitted reducing peak demand and spreading the electricity load more evenly will improve network utilisation, reducing network spending and wholesale electricity costs. The Clean Energy Council notes the key issue for tariff reform is to implement the reforms in ways that build public understanding and support. Business SA submitted a joint study undertaken by Business SA / SA Wine Industry Association shows the majority of small business users are likely to be better off under cost reflective tariffs, however there needs to be appropriate mechanisms available for them to predict likely tariff outcomes. Origin, Red and Lumo Energy supported demand tariffs, however considered customers need time to understand the impact that their demand profile in order to benefit from a demand tariff. However, Solar Citizens and the Renewable Energy Policy Group consider demand tariffs are inappropriate for many residential and small business customers. Solar Citizens and the Renewable Energy Policy Group submitted that until more dynamic tariff structures are available, time-of-use tariff structures are the better choice for improving price signals to customers.
SAPN%20TSS%20final%20decision%20%28D2016-00152162%29.DOCX