The AEMC today called for submissions on a rule change request from Sun Metals Pty Ltd to reduce the time interval for settlement in the wholesale electricity market from 30 minutes to five minutes.

Settlement refers to the exchange of money for electricity supplied and consumed.  The proposed change would align the interval for settlement with the five minute interval used to schedule the supply of electricity to the market.

Under the proposed change, generators would receive prices that reflect conditions in the wholesale market in each five minute period. Retailers and large consumers could choose to pay the five minute price or continue under the existing arrangements.

A consultation paper has been prepared to facilitate public discussion on the rule change proposal and to seek stakeholder submissions.

Stakeholders are invited to make submissions by Thursday 16 June 2016.