On 1 October 2021, Five-Minute Settlement (5MS) commenced in the National Electricity Market (NEM), aligning operational dispatch and financial settlement at five-minutes in accordance with the AEMC’s 5MS rule. Refer to the latest 5MS Factsheet for more details.
On this day, AEMO also began reporting on unaccounted for energy (UFE) values as part of the Global Settlement (GS) soft-start. AEMO will continue to work with industry to implement the full GS changes on 1 May 2022, as per the AEMC’s GS rule.
The below diagram outlines what has changed since the 5MS implementation and rule commencement on 1 October 2021.
Post implementation phase
With the 5MS changes now live, the program has moved into the post implementation support phase of the 5MS implementation. For details on the arrangements that are in place to support participants during this phase, refer to the Participant Support Arrangements page
Please note: It is important that all system issues or defects are logged with the AEMO Support Hub in the first instance. The 5MS mailbox will be available for all general enquiries.
The AEMC’s Global Settlement ruling will affect how unaccounted for energy (UFE) costs are distributed across Retailers, moving from a settlement-by-difference to a global settlement framework.
On 1 October, the GS soft-start came into effect. This is where AEMO begins calculating and reporting on UFE values, but does not allocate the costs to retailers until the full GS implementation on 1 May 2022.