The AEMC is extending the date for publishing the draft determination on the five minute settlement rule change request until 6 July 2017.
The request has attracted a high level of interest with over 50 stakeholder meetings held to date, as well as working group meetings with representatives of generators, consumers, retailers, new technology businesses, financial institutions and energy market bodies. Stakeholders have requested this extension to enable further consultation to better understand the costs and benefits of the proposal and implementation issues.
The AEMC will publish a directions paper on the project on 30 March 2017 which will set out an initial position on key issues raised by the rule change request. Stakeholders will have the opportunity to provide submissions in response as well as participate in other engagement activities. Stakeholders will continue to be notified about opportunities for engagement through the AEMC’s weekly e-newsletter.
This rule change request is being considered against the background of market transformation - with an increasing share of renewables in the generation mix, new energy services on offer, and challenges for system security. The request proposes a fundamental change to the price calculation in the wholesale electricity market. As observed by stakeholders during consultation, the proposed rule change would have implications for the spot market, contract market, metering and IT systems.
The costs and benefits would accrue to most market participants, and ultimately impact on electricity prices for end users. It is important for the Commission to undertake a detailed assessment, informed by stakeholder feedback, of the materiality of the problem and how the proposed rule might affect market outcomes and participants.
Media contact: Communication Manager, Prudence Anderson 0404 821 935 or (02) 8296 7817