The AER’s NSW Electricity Infrastructure Roadmap Contributions Rise Again

A breakdown of the 2026–27 contribution determination and how rising network and scheme charges are flowing through to NSW electricity bills.

On 11 February 2026, the Australian Energy Regulator (AER) released its contribution determination for cost recovery under the NSW Electricity Infrastructure Roadmap for the 2026–27 financial year, in accordance with the NSW Electricity Infrastructure Investment Act 2020.

These annual costs are passed through by the three NSW distribution network service providers (DNSPs) to NSW consumers as part of the network component of electricity bills.

The total contribution determination for 2026–27 is $593.16 million.

The amounts required to be paid by each NSW distribution network service provider (DNSP) are:

  • Ausgrid: $254.23m

  • Endeavour Energy: $221.40m

  • Essential Energy: $117.53m

These contributions have increased significantly over recent years. And for many customers, these scheme-related costs are becoming a more noticeable driver of network charges.

For context: between FY25 and FY26, flat tariffs for small business customers increased by:

  • Ausgrid: 9.6%

  • Endeavour Energy: 9.5%

  • Essential Energy: 7.9%

Notably, almost half of this increase was driven by additional transmission and jurisdictional scheme costs — including NSW Roadmap costs.

If you would like to understand what this means for your organisation’s electricity costs, please reach out to the Edge2020 team. 

Quorn Park signals a new era of hybrid solar-BESS projects

A case study showing how hybrids can boost commercial results and improve system performance as the NEM evolves.

Located near Parkes, NSW, Quorn Park combines 98 MWdc/80 MWac of solar with a 20 MW two-hour battery behind a single connection point as the NEM’s first large-scale hybrid to connect under one Generator Performance Standard (GPS).

We’re heading into a ‘Wave of 2026’ – around 4-6 projects that reached financial close in 2024/25 are expected to start commissioning this year using the single-GPS model. Nearly all new applications for combined solar and battery sites (15+ projects) are now opting for the single GPS model, signalling that it is quickly becoming the new normal.

Historically, if you had a solar farm and a battery at the same location, AEMO treated them as two completely separate machines with two different sets of instructions. Quorn Park is one of the first projects to utilize the Aggregated Dispatch Conformance (ADC) rules, which treat the whole facility as a single “black box” at the connection point. That “true hybrid” approach delivers three big advantages:

1. More valuable energy from the same assets: By storing solar during high-generation periods and dispatching later, the battery helps firm output and shift energy into higher-value intervals. It reduces bidding complexity and also opens the door to revenue stacking, including participation in services like FCAS, improving overall project economics.

2. Better grid outcomes and dispatch alignment: A key operational benefit is tighter conformance with AEMO dispatch targets through Aggregated Dispatch Conformance (ADC) under the IESS reforms. In practice, the battery can respond rapidly to smooth variability and maintain a near-perfect conformance record – supporting grid stability and reducing the risk of performance penalties.

3. Lower duplication and a clearer connection pathway: Because the solar and battery share infrastructure and compliance under a single GPS, the hybrid design can reduce duplicated equipment, streamline approvals and improve cost efficiency versus separate connection approaches.

Now energised and in commissioning/testing, Quorn Park is targeting full operation in H1 2026 – and it’s a useful case study for how hybrids can improve both commercial performance and system outcomes as the NEM evolves.

At Edge2020, we’re committed to keeping you informed about energy market trends and changes that may impact your business. If you’re interested in understanding how this particular trend could affect your organisation, please get in touch with us.