In March 2011, Gas Industry Co issued a Statement of Proposal seeking submissions on the Gas Governance (Insolvent Retailers) Regulations 2010. That consultation process culminated in a recommendation to the Minister of Energy in May 2011 that the Regulations should be allowed to expire (revoked) and that Gas Industry Co would establish a workstream to consider whether a generic regulatory solution is required, and if so the form of that regulatory solution, to address retailer insolvency.
As a first step in considering whether to develop a regulatory backstop for gas retailer insolvency, Gas Industry Co engaged Castalia Strategic Advisors (Castalia) to provide advice on whether normal insolvency processes could be relied upon to produce acceptable outcomes when a gas retailer becomes insolvent. The Insolvent Retailers Workstream: Castalia Strategic Advisors Report - June 2012, stakeholder submissions on the Report, and an Analysis of Submissions are available below.