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Electricity Supply Network

It is important to understand the basics of how the electricity supply network operates so you can get the most for your money. This will help you know what groups play each role in the electricity market and allow you to make a more informed decision the company from which you your electricity is purchased. The diagram at right illustrates the general structure and order of the electricity supply network. To compare Australian energy providers and get information on Smart Meter   flexible pricing see the links at the bottom of this page.

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The Australian government plays a key role in the electricity supply network. They represent the starting point from which all prices and regulations originate. The price of electricity per kilowatt hour is established as a general range by government energy organizations.

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Generation represents the first point in the supply network that actually deals with electricity directly. Power stations generate all on-grid electricity throughout Australia from the burning of fossil fuels. This produces steam which is then used to spin turbines that drive generators and produce electricity. 

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The transmission component of the supply network is crucial to carry the high voltage electricity produced at power plants over long distances via towers and power lines. The wiring and infrastructure for electricity transmission in Victoria is controlled by SP Ausnet.

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The distribution component finishes the job of the transmission component. The electricity carried in the high voltage lines is run into smaller substations that step down the voltage for residential and business use. Power lines cary this lower voltage electricity from the substations to nearby buildings. SP Ausnet is also responsible for this wiring and infrastructure.

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The wholesale component represents the first point in the supply network where business is introduced. Wholesalers purchase the electricity in bulk from the generation power plants. They then sell this to local retailers.

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The retailer component is the final business block in the supply network. The retailers purchase electricity from the wholesalers at substations to then sell to nearby homeowners. There are a range of companies from which you can choose to purchase your electricity.

The final component in the electricity supply network is the homeowner. Once the electricity has reached your building and you have paid for it, it is readily available for your use.

Compare Australian Energy Providers

 

The link below will direct you to a Yahoo! tool that allows you to find the best deal on your electricity. Simply input the required geographic and household information and see the options available for you.

Find Out More About Smart Meter Flexible Pricing

 

The link below will direct you to the Smart Meters Australian government website. Here you can gain information on how the flexible pricing plans work and use the My Power Planner tool to find out which pricing plan works best for you.

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