Andrew Newnham

Andrew is an economist at Frontier Economics with 13+ years of experience applying economics to government policy formulation, competition assessments, regulatory strategy, litigation and arbitrations, as well as due diligence reviews for major transactions.

He has worked for clients across Australia, New Zealand, and Asia and primarily advises on the economics of the energy sector, for issues in electricity and gas including regulation, investment and market design.

He is also heavily involved in the design, implementation and use of economic market models including Frontier Economics’ own suite of energy models and data tools. Working end-to-end to design, develop and deploy user-friendly economic models, leveraging appropriate optimisation, probabilistic, statistical and game-theoretical modelling techniques. He is fluent in a range of modern modelling, user-interface, database, and data visualisation tools, from advanced Excel to customised programmes deployed via the web.

Energy market analysis

Andrew has worked on key Australian energy market issues since 2012. This has included lead roles in various matters including:

• Leading the data and modelling capability for DCCEEW’s Review of the Integrated System Plan.
• Helping various large Australian energy generators and retailers grapple with issues of system resilience to weather and outages, the value of storage, and implications for prices.
• Advising the Australian Energy Regulator (AER) on the approach to assessing market power in the wholesale market given participant bidding behaviour and the state of the contract market.
• Assisting HSF Kramer acting for the Queensland Government in a large‑scale class action claiming that CS Energy abused their market power.

Energy market modelling

Andrew designs and develops Frontier Economics’ proprietary energy42 model. Along with Frontier Economics’ energy team, he uses energy42 to undertake energy market modelling to understand policy implications, inform investment decisions, aid development of regulation (including regulated prices), develop market strategies and reform ideas, and to forecast energy market outcomes in a range of various scenarios. Examples of energy42 and other market modelling exercises include:

• Undertaking integrated market modelling for clients including Commonwealth Department of Climate Change, Energy, the Environment and Water (DCCEEW), Department of Industry, Science, Energy and Resources (DISER) and Queensland Government on issues such as minimum demand, demand forecasting for large loads and impacts of generator closures.
• Calculating key inputs, including the wholesale electricity cost, for setting regulated prices for the Essential Services Commission (ESC).
• Calculating and assessing inputs and methodologies for Regulatory Investment Tests for the Australian Energy Regulator (AER) and for network businesses.

Advising regulated business and government on policy design and impacts, including the design and impacts of renewable gas targets and the potential role for and level of hydrogen production targets.

We work as one team across the world

In Asia-Pacific, we do this from offices in Australia and Singapore. We work as a single team with expertise and people brought together as required by the problem we are solving for our clients. Reach out to any of our economists and consultants to find out how we can help you.