The Independent Market Operator's compliance and enforcement functions have today been transferred to the Economic Regulation Authority (ERA).
Energy Minister Mike Nahan said the transfer of the Independent Market Operator's residual functions was essential to ensure regulatory continuity for electricity market participants.
"Following the transfer of these residual functions, it is intended the Independent Market Operator will be abolished later this year," the Minister said.
Today's announcement follows the transfer of electricity market operations functions to the Australian Energy Market Operator last November, and forms part of a broader reform program under the electricity market review to increase the efficiency and effectiveness of institutional arrangements and governance structures in the electricity market in the South-West of WA.
The remaining functions and responsibilities of the Independent Market Operator will also be transferred in due course, and include:
- the reliability criteria in the wholesale electricity market
- rule-making in regard to the wholesale electricity market rules and the gas services information arrangements.
Dr Nahan said the transfer of these functions would not impose any additional costs on the State or electricity market participants.
"The Independent Market Operator's performance of these functions was funded through fees levied on electricity market participants, and these arrangements will remain in place once the functions are transferred," he said.
The ERA will undertake compliance and enforcement functions as of July 1, 2016
The functions provide the ERA with compliance and enforcement responsibility for the wholesale electricity market and gas services information regulations and rules
For more information, visit the Department of Finance website
Minister's office - 6552 5700