Review of marginal loss factor calculation processes (2024)

AEMO has upgraded its software for calculating marginal loss factors (MLFs), presenting it with an opportunity to update its Methodology for the Calculation and Application of Forward-Looking Loss Factors (FLLFs). This methodology is subject to the standard rules consultation procedures described in clause 8.9.2 of the National Electricity Rules (NER). AEMO has commenced formal consultation with the release of an issues paper in July 2024. Prior to the release of the issues paper, AEMO held two industry workshops. These workshops were intended to inform industry of the capabilities of the new software and the potential changes to the methodology.

The scope of the methodology consultation is limited by the NER. Stakeholders are encouraged to provide feedback on the MLF calculation process that lies outside the scope of the methodology consultation to MLF_Feedback@aemo.com.au. AEMO has developed a register of this type of feedback that can be updated with further stakeholder input.