SEARCH

SEARCH BY CITATION

Keywords:

  • L95;
  • N77;
  • N47;
  • L5
  • economic regulation;
  • gas industry;
  • New South Wales;
  • utility pricing

The oldest industry in Australia subjected to economic regulation is the gas supply industry in the state of New South Wales. In this paper the aims and motivation of the New South Wales Government in establishing the regulatory regime in 1912 and the subsequent effectiveness in achieving them are determined. Initially the regulatory regime was based on ad hoc arrangements, but eventually a more permanent structure was devised that effectively defused political controversy over gas market pricing and stabilised prices rather than substantially lowered them.