A scheme participant that fails to meet its individual energy savings target is liable to pay an energy savings shortfall penalty in respect of that year.
The energy savings shortfall penalty is calculated as per clause 15 of Schedule 4A to the Electricity Supply Act 1995.
| Energy Savings Shortfall Penalty |
= | Energy Savings Shortfall |
X | Scheme Penalty Rate |
The Scheme Regulator will advise the scheme participant of any energy savings shortfall penalty in the Notice of Assessment sent to the scheme participant.
Base penalty rate and scheme penalty rate
The base penalty rate is specified in clause 15 of Schedule 4A to the Electricity Supply Act 1995 and is adjusted annually for movement in the Consumer Price Index, to comply with clause 30 of the Electricity Supply (General) Regulation 2014.
The scheme penalty rate is calculated by multiplying the base penalty rate by the penalty conversion factor (0.94) as per clause 16 of Schedule 4A the Electricity Supply Act 1995.
| Compliance Year | Base penalty rate per notional megawatt hour |
Scheme penalty rate per notional megawatt hour |
| 2023 | $34.09 | $32.04 |
| 2024 | $36.00 | $33.84 |
| 2025 | $37.06 | $34.84 |