5MS Start Notice
AEMC confirms 1 October Rule commencement
On 1 September, AEMO issued the 5MS Start Notice, notifying market participants of its recommendation to proceed with the 1 October 2021 rule commencement date for five-minute settlement (5MS) and global settlement (GS) soft-start. The start notice constituted a recommendation to the AEMC to proceed with 1 October.
On 9 September, the AEMC made a final determination in line with AEMO’s recommendation, confirming that the 5MS and GS soft-start rule commencement will remain as scheduled for 1 October 2021.
In making this decision, the Commission considered AEMO’s readiness assessment recommending no delay, and stakeholder submissions.
For further details, refer to the AEMC’s final determination ruling.
Market Readiness Assessment
AEMO has completed its readiness assessment against the essential criteria required for the 5MS Start Notice.
The readiness assessment concluded that the market readiness criteria have been met and that the essential capability necessary for commencement of the Five-Minute Settlement market is ready. The readiness assessment noted risks to successful operation of the five-minute market and identified mitigations and contingency plans for these risks.
On the basis of the readiness and risk assessment, AEMO concludes that the NEM is ready to operate in accordance with the Five-Minute Settlement rule (including Global Settlement soft-start) as scheduled on 1 October 2021.
The readiness assessment was informed by, and completed in consultation with, market participants through the 5MS working groups. The assessment was presented to the 5MS Industry Executive Forum and is available here.
All market participants should prepare to operate in accordance with the National Electricity Amendment (Five-Minute Settlement) Rule 2017 No. 15 on 1 October 2021 as scheduled.
For more information regarding the 5MS Start Notice, refer to the FAQs on this topic in Participant Toolbox section of this website.