What Are the Basic Accounting Theories?

Running head: ACCOUNTING THEORY AND CONTEMPORARY ISSUES
Accounting Theory and Contemporary Issues
Name of the Student
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Author Note

ACCOUNTING THEORY AND CONTEMPORARY ISSUES1
DATE:
TO: The Australian Federal Government
FROM: Mr. Dewey- The Senior Partner of the CPA Firm DC&H
SUBJECT: Concern for Australian Electricity Costs and Reliability
The purpose of preparing this memorandum is to insight the issues related to the
increased electricity costs of Australia that is ultimately stating as the least reliable grid for
Australian households. This is because of the decision taken by the government to go abrupt
into recurrent renewable energy without the baseload to support that conversion. The
government can attain a high degree of security and reliability in the next twenty years but
the present situation is not supporting the decision of the government. The Australian Energy
Market Commission (AEMC) also revealed that the national electricity grid is becoming
more unstable due to the changes in the power generation mix and leave the grid at the
weather’s mercy (Simshauser 2018). The issues related to system security have also ascended
because of less synchronous generation in the system and the mode of operating generating
units.
Consequently, a reduction in primary frequency control and distribution has been seen
that implies the grid. Price electricity is too high for the Australian people. The grid is
becoming unstable and unreliable which can fail load or generation.
Otto von Bismarck states that “Politics is the art of the possible, the attainable- the art
of the next best,” but it is not always remarkable. The government is trying to look for a
solution where there is a market failure. The appropriate role of prices can be seen to consider
the failure from generation to retail. The government must initiate to keep prices as low as
possible and redesign the supply system from ground level to main tan accuracy (Lenzen et