The Australian Energy Market Commission today called for public submissions on its proposal to harmonise the start of the gas day in markets across the eastern seaboard from 2021.
The new gas day rule would apply across different facilitated markets governed by the National Gas Rules. Under the draft rule the gas day in each market would start at 6am Australian Eastern Standard Time.
The Council of Australian Governments (COAG) Energy Council agreed in August 2016 to the AEMC’s roadmap to implement the ministers’ vision for an integrated east coast gas market. A common gas day across the facilitated markets would support new market arrangements proposed by that review which are currently being considered by the Gas Market Reform Group established by the energy ministers.
The current reform program indicates the development of the market to standardise capacity contracts and incorporate short term secondary pipeline capacity trading and auctions is expected to be completed by around the middle of 2021. Changes to the gas day under the draft rule would be coordinated with these reforms.
Different gas markets across the east coast currently operate with different gas day start times as a result of legacy pipeline arrangements. These differences impose a cost on the increasingly integrated system.
Feedback is sought on proposed new rules which change the gas day used in the short term trading market and the gas supply hub to be a period of 24 consecutive hours starting at 6am. This will align the gas day in these markets with the Victorian declared wholesale gas market which already uses a gas day that starts at 6am.
Media: Prudence Anderson 0404 821 935 or DL (02) 8296 7817