HoustonKemp

What a remarkable journey 2024 has been! We celebrated our 10-year anniversary this year and are exceptionally proud of what we have accomplished for our clients over the past decade. We asked some of our clients for their ‘one word’ perspective of HoustonKemp and are delighted to share their contributions in this short video. We wish everyone a wonderful holiday season and a fantastic New Year! #economicsinaction

Yesterday the Australian Energy Market Commission (AEMC) published a Directions Paper setting out its economic considerations seeking stakeholder feedback for a suitable mechanism to ensure efficient procurement of inertia in operational timeframes in the National Electricity Market (NEM). The NEM is expecting to experience a significant decline in system inertia as traditional synchronous generation is progressively replaced by renewable energy sources. Inertia, which has historically been provided as a byproduct of synchronous generation, plays a crucial role in maintaining frequency stability by resisting rapid changes in system frequency following disturbances. Adrian Kemp, Elaine Luc and Liam Hickey were pleased to assist the AEMC with an evaluation of the economic case for different market designs for the provision of inertia in the future, with a particular focus on whether a spot market mechanism could deliver better outcomes than the current contract-based approach. We evaluated four potential sources of benefit from providing incremental inertia services above the level available through energy dispatch in operational timeframes. These benefits arise from optimising inertia provision to reduce system costs, with each benefit category reflecting different operational circumstances where incremental inertia could deliver economic value. Our full report can be accessed here https://lnkd.in/ggpuM6gd

Another year, another J.P. Morgan Corporate Challenge!    Congratulations to our amazing HoustonKemp team who traded spreadsheets for running shoes, joining thousands of participants in this year's event. Well done to everyone for their incredible team spirit and commitment! #JPMCC #TeamBonding

HoustonKemp was pleased to submit our response to the consultation on revitalising the National Competition Policy (NCP) earlier this week. The original NCP (still in use – see picture below) brought significant benefits to Australians by expanding competition to new sectors and reducing regulatory barriers to competition. We are optimistic a renewed NCP could drive positive outcomes for consumers and the economy. We look forward to contributing our expertise as this important process unfolds. https://lnkd.in/g_CMKNjf #NationalCompetitionPolicy #EconomicReform #HoustonKemp

Excited to talk to students at the University of Sydney’s ArtSS Career Ready event with Mathew Ditchburn 🎓

Last week, Luke Wainscoat and Ashmit Vyas participated in the annual Great Policy Debate hosted by The Sydney University Economics Society - EconSoc. Opposing the motion that ‘the Future Made in Australia Act is the necessary path forward for economic growth and revitalisation of the manufacturing sector in Australia’, Luke and Ashmit discussed a number of issues ranging from the ability of governments to identify areas of comparative advantage, to the environmental and security implications of industrial policy. After the debate, they had the pleasure of speaking with students about economic policy and careers in economics. HoustonKemp extends its gratitude to the Economics Society and all attendees for making the event possible. 

Our office hosted a group of bright and motivated Harding Miller Education Foundation - Scholarships for girls that change lives scholarship students for an 'Enrichment day' where they explored the world of economics and gained insight into the work of a micro economist. We kicked off the day by introducing them to our type of economics, followed by a speed networking session to discuss the various career paths traversed by some of our staff. Later in the afternoon the students dove into an interactive R activity analysing data from Taylor Swift's music. We extend a big thank you to the Harding Miller Education Foundation for making this enriching experience possible! #WomenInEcon #HardingMiller

We're thrilled to announce the promotions of Dylan Frangos and Nick Twort to Senior Economist! Please join us in congratulating them on this well-deserved advancement in their careers at HoustonKemp. #CareerGrowth #TeamSuccess #Economics

The economics of buyer power can be challenging to navigate, especially in the sensitive arena of grocery markets. Greg Houston, Nick Twort, Zoe Odgers, Adam Evans and Ashmit Vyas were pleased this week to file a report with the Commerce Commission, addressing ‘unresolved issues’ in the proposed merger of New Zealand’s North and South Island Foodstuffs’ grocery cooperatives. Distinct geographic footprints mean the parties don’t compete in any retail grocery market but expect some improved terms from being able to acquire as one from grocery suppliers. Our just published report explains why the merger should be regarded as good for competition and consumers, rather than a lessening as contended by the Commission. https://lnkd.in/g_6qM5yR

The Queensland Competition Authority (QCA) released its draft decision on Queensland Rail's 2025 draft access undertaking in June 2024. Martin, Johnathan, Kate, and Ashmit had the pleasure of assisting Queensland Rail in its response to this draft decision. Their report addressed the following key issues: the appropriateness of the QCA’s decision to escalate existing reference tariff by the Consumer Price Index (CPI) for the West Moreton System, rather than calculate a reference tariff based on a building block approach; the economic implications of asset optimisation for Queensland Rail and other businesses regulated by the QCA; and appropriate cost allocation between coal and non-coal services. Our detailed report is now publicly available. Check it out here: https://lnkd.in/gf9y6HUT