National Electricity Market (NEM) Participant Fee Structure Review

Timeline

Overview

Under the National Electricity Law (NEL), AEMO may determine fees and charges for services provided by it under the NEL and the National Electricity Rules (NER). AEMO is required under the NER to develop a NEM participant fee structure in consultation with Registered Participants.

The fee structure consultation will determine the approach on how costs are allocated to each Registered Participant or group of Registered Participants. The current fee structure expires on 30 June 2026. Therefore, AEMO will soon commence formal consultation on the structure of participant fees to apply from 1 July 2026.

The consultation aims to provide stakeholders and interested parties with the opportunity to provide feedback on the development of the structure of Participant fees to apply from 1 July 2026. The consultation only applies to the allocation methodology for the fees, as the actual amount charged for each fee is determined on an annual basis via the AEMO budgeting process.

AEMO is also currently consulting on the whether AEMO’s cyber security roles and responsibilities should be determined a declared NEM project, as well as on the determination of the fee structure to recover costs for these roles and responsibilities, if this project is determined to be a declared NEM project. The outcomes of these consultation processes will be reflected in the broader NEM participant fee structure consultation for the new fee structure that will be effective on 1 July 2026. 

AEMO has published its stakeholder engagement plan for the NEM Participant Fee Structure consultation to provide transparency regarding how and when it will engage with its stakeholders through the fee structure determination process, as well as an overview which details the consultation process and current fee structures in place for the NEM.

AEMO is aiming to publish an initial consultation paper by the end of March 2025.

Please note that submissions received through this consultation process will be published, other than confidential material, subject to AEMO’s Consultation submission guidelines.

Key contact:

Email: reformdevelopmentandinsights@aemo.com.au