Coalition Senators' additional comments

1.1The Coalition supports the intention of this Bill to implement more efficient and effective governance arrangements for the Australian Energy Regulator (AER).

1.2The ACCC provided evidence to the Committee that no additional staff would be required and that no additional appropriation would be required.[1]

1.3It is also noted that evidence was provided that the separation would generate positive efficiency outcomes for the AER that would ultimately benefit consumers. Evidence was provided that the changes would improve the AER’s governance[2], limit needless duplication and make the AER more efficient and transparent.

1.4The Coalition notes that DCCEEW stated that the Bill will not lead to any future budgetary increases or resourcing increases.[3] DCCEEW believed the bill will produce efficiency gains and reduce red tape and allow staff to focus on their purpose which will deliver benefits to consumers.

1.5Coalition Senators would like to highlight the evidence of the ACCC, that having at least six months to enact the separation is appropriate for ensuring a smooth transition for staff, and that the appropriate systems and administration infrastructure can be tested and completed.

1.6It is noted that a shared services offer for ICT and property services are still being developed. These details should be worked through and finalised as soon as practical.

1.7As such, the Coalition would encourage the Government to ensure this Bill is passed in the appropriate time frame to enable the most efficient and smooth separation for the AER.

1.8Part of the efficiency with this separation is the fact that this proposal comes at nil net cost to the government, and that any one-off costs will be absorbed by the AER.

1.9The Coalition notes the evidence from the ACCC that they are not looking at any new staff as part of this proposal, and that some of the ACCC corporate staff will transfer across to the AER.

1.10Coalition Senators will be monitoring the claimed efficiencies of separation, including the ‘nil net cost’ and no new staff, through Senate Estimates.

Senator the Hon Jane Hume

Deputy Chair

Liberal Senator for Victoria

Footnotes

[1]Ms Sarah Proudfoot, Chief Executive Officer, ACCC, Proof Committee Hansard, 12 August 2025, p. 5.

[2]Ms Clare Savage, Chair, AER, Proof Committee Hansard, 12 August 2025, p. 7.

[3]Ms Linda McGrath, Head of Division, National Energy Transformation, DCCEEW, Proof Committee Hansard, 12 August 2025, p. 14.