Progressing Western Australia’s energy transition

The Australian Energy Council (AEC), the peak industry body representing energy generators, retailers, and stakeholders across Australia’s energy industry, plays a central role in advocating for the efficient and timely transition of the country’s energy system. The AEC initiated a review of Western Australia’s Wholesale Electricity Market (WEM) to help ensure the state’s transition to a renewable-led energy system is efficient and on schedule. 

Faced with potential delays driven by unclear regulatory frameworks, infrastructure bottlenecks, and funding challenges, the AEC sought to accelerate the shift to renewable energy while maintaining resilience and efficiency in the grid. With growing urgency around meeting net-zero targets, this project aimed to identify practical solutions that could unlock opportunities for faster and more effective project delivery in the WEM.

Baringa was engaged by the AEC to provide an independent view on the risk of delays in the electricity transition within the South-West Interconnected System (SWIS), including analysis and recommendations to strengthen the WEM’s existing frameworks. We were selected for our deep experience across Australia’s electricity sector. With a team of over 70 energy experts spanning modelling, policy, and strategy we’re able to offer a balanced and comprehensive view to support a timely transition, drawing on our ability to integrate quantitative insights with policy expertise.  

Identifying risks and proposing practical solutions

Leveraging our energy market modelling capability, widely relied upon for investment decisions in Australia, we provided quantitative analysis of the impact from delays in transmission build-out in the WEM. This analysis clearly highlighted the pressing need to assess any potential shortcomings within the current policy design. 

Using our knowledge of the WEM’s policy and regulatory frameworks, we identified critical inefficiencies and proposed actionable, achievable improvements. Our methodology focused on developing solutions that not only addressed the risk of immediate bottlenecks but also laid the foundation for long-term transformation aligned with the state’s renewable energy goals.

Empowering stakeholders to accelerate the WEM’s energy transition

The analysis delivered clear and impactful recommendations, empowering the AEC and key stakeholders to drive change alongside policymakers. This included reducing delays in project execution, improving infrastructure planning processes, and aligning funding frameworks with the demands of the energy transition. The project’s outcomes provide a roadmap for a streamlined and efficient transition to renewable energy in Western Australia while ensuring the reliability of the energy system.