Interrelationship of WDR and FCAS
The information provided by AEMO on WDR is general and may not be appropriate for any participant’s particular situation or market activities. Please also refer to AEMO’s privacy and legal notices.
Can a WDRU participate in the FCAS markets?
By way of context, currently Market Ancillary Service Providers (MASPs) are the registered participant type that can bid ""ancillary service loads"" (ASLs) into the contingency (but not the regulation) FCAS markets.
Under the WDR Mechanism Rule, MASPs are to be renamed DRSPs (clause 11.125.9). However, the WDR mechanism itself is only about energy dispatch, not the provision of FCAS. Please also note that:
- Where a DRSP wants a load to participate in both WDR and FCAS, it will need to apply to classify the load as both a WDRU and an ASL.
- For a single DUID to provide both ASL and WDR and be co-optimised through NEMDE, the following restrictions apply:
- The list of NMIs would always have to be identical
- NMIs for WDR cannot be added to the aggregation that cannot also do ASL and vice versa
- There would need to be a technically satisfactory trapezium provided for the energy/FCAS provision to allow co-optimisation.
- A market load that is classified as a WDRU by a DRSP can only be classified by that same DRSP as an ASL and vice versa.
How are Market Ancillary Service Providers (MASPs) affected by WDR?
Market Ancillary Service Providers (MASPs) deliver market ancillary services by offering a customer’s load, or an aggregation of loads into FCAS markets. Under the WDR Rule, MASPs:
- Become DRSPs on 24 October 2021. AEMO is currently planning how the change will occur in its systems and will engage with MASPs to ensure a smooth transition.
- Can apply to AEMO for approval to classify load as a wholesale demand response unit from June 2021. The MASP registration and ASL classification forms will be changing to ensure consistency between ASL and WDR. This will also allow for a transition of ASL to the Portfolio Management System (planned for late 2021).