Energy Security Council
The Energy Security Council (the Council) was announced by the Prime Minister on 10 July 2011 as part of the Government’s Clean Energy Future package.
The Council’s purpose is to provide assurance and advice to the Treasurer in the event that systemic risks to energy security emerge from financial impairment arising from any source, including from the introduction of carbon pricing, notwithstanding the specific measures included in the Clean Energy Future package.
The aim of this mechanism is to provide assurance that energy supply security will be maintained during the transition to a clean energy future and to help manage any residual energy security concerns.
The Council will assess applications for assistance and provide advice to the Treasurer on whether financial assistance should be provided. The categories of applications are for:
- loans for generator owners which need to refinance their debt if finance on reasonable commercial terms is not otherwise available under certain circumstances; and
- loans or other assistance to seek to address systemic risk to energy security in the light of the financial distress of an energy market participant.
The Council’s functions and purpose are explained in more detail in the Council’s charter, which was released by the Treasurer on 12 October 2011.