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Reviewing the climate change adaptation readiness of the Australian national electricity market institutions

Bell, William (2012): Reviewing the climate change adaptation readiness of the Australian national electricity market institutions.

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Abstract

This paper aims to identify climate change adaptation issues in the Australian National Electricity Market by assessing the robustness of the institutional arrangements that support effective adaptation. The paper finds that three major factors are hindering or are required for adaptation to climate change: institutional fragmentation both economically and politically; distorted transmission and distribution investment deferment mechanisms; and lacking mechanisms to develop a diversified energy portfolio. Proposed solutions to the three factors are discussed. These proposed solutions are tested and examined in forthcoming reports.

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