Market and System operation procedures, Methodologies and Guidelines (Wholesale Demand Response)

11/12/2020
Market National Electricity Market
StageSecond Stage
ConvenorAEMO NEM
Initiated09/10/2020
Accepting submissions?Yes
Submissions close29/01/2021

AEMO is continuing its consultation conducted on Market and System Operation Procedures and Guidelines (Wholesale Demand Response) changes. AEMO has published a Draft Report to consult on proposed amendments. The publication of this Draft Report marks the commencement of the second stage of consultation. 

Submissions should be forwarded to AEMO by COB Friday 29 January 2021.

Further details regarding this consultation can be found in the Draft Report. For any queries on this consultation, please contact: wdr@aemo.com.au

Under the Wholesale Demand Response Mechanism (WDRM), from October 2021, consumers will be able to sell demand response in the wholesale market. The WDRM Rule introduces a new market participant category, the Demand Response Service Provider (DRSP).

On 10 September 2020, the AEMC published the final determination in respect to the rule change to improve the intervention mechanisms in the NEM. The final rule removes the obligation on AEMO to counteract and minimise the effect on interconnector flows during an intervention to contribute to minimising costs for consumers. This final rule came into effect on 17 September 2020.

In accordance with the Rules consultation requirements in NER clause 8.9, AEMO is conducting this consultation in respect of: 

  • Market Suspension Compensation Methodology under NER clause 3.14.5A(h)(i). 
  • Procedures for Issue of Directions and Clause 4.8.9 Instructions under NER clause 4.8.9(b). 
  • Intervention Pricing Methodology under NER clause 3.9.3(e). 
  • Constraint Formulation Guidelines under NER clause 3.8.10(c). 
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