Between 1999 and 2003 the Australian electricity industry and M-co took a lead role in promoting a renewable energy marketplace through the establishment and operations of the Green Electricity Market (GEM).GEM went live in July 2001 and provided an Internet based portfolio management and trading platform for the Renewable Energy Certificates (RECs). The governance structure of GEM was founded on an industry self-governance and co-operation model. This allowed market participants to voluntarily determine, agree and enforce operational market rules independent of industry regulators.
On 30 June 2003 the GEM Governance Board announced that the members of GEM had decided to cease operations.
In a letter from Mr Simon Mathis, Independent Chair of the Governance Board of GEM, the Chair stated that, “Members of GEM have determined that the climate for environmental markets was such that it was no longer feasible to continue operating for another year, in spite of considerable commitment given to GEM by Members over the two last years.”
Mr Mathis went on to say, “As a participant-led initiative GEM was at the forefront of the development of environmental certificate trading in Australia – a pioneering model of industry self-governance and cooperation…On behalf of current and past members of GEM, I would like to note the contribution made by The Marketplace Company (M-co), GEM’s Market administrator, and thank it for its professionalism, commitment and support.”
M-co’s Chief Executive, Philip Bradley, believes that GEM has provided the renewable industry with leading examples of industry self-governance, Internet trading and payment guarantee.
“GEM was a world first. Its evolution and growth from an experimental REC spot-market to a mature liquid marketplace was hampered by key policy decisions. Much has been learnt from this and all parties involved gained important and valuable insights and experience throughout the GEM project.”
M-co remains fully committed to environmental markets and registry services through its work in administering the Commonwealth’s REC-Registry and in services provided to a number of industry clients.
For media enquiries about Green Electricity Market, please contact Alastair Walton or call on +61 2 9256 6333.
