The NEM Reform hits first 'go-live' milestone

2 min

AEMO has reached a significant milestone in the National Electricity Market (NEM) Reform Program, designed to deliver a number of the Energy Security Board’s (ESB) Post 2025 and other energy market reforms.

From today, aggregators of small generating units (< 5 megawatts) can register to participate in Frequency Control Ancillary Services (FCAS) markets, increasing competition and resource availability.

The initiative is the first cab off the rank on the ‘NEM Reform Implementation Roadmap’ which was released in collaboration with the Reform Delivery Committee in Q3 2022, to help AEMO and industry navigate the breadth of reforms, de-risk delivery and inform implementation timing.

AEMO Executive General Manager Reform Delivery, Violette Mouchaileh said that the first initiative contributes to a modernisation of the Australian electricity market.

“Small electricity generation and storage devices will play a major role in supplying not only electricity, but also essential services needed to run a secure power system,” Ms Mouchaileh said.

“Today’s milestone will allow aggregators of small generating and storage units to register and provide contingency ancillary services needed to help restore frequency in the power system after major events and enable AEMO to manage the power system safely, securely and reliably.

“The benefits of this change include giving participants access to additional value streams and promoting competition in the contingency ancillary services markets,” she said.

This March release is optional for participants and AEMO thanks stakeholders who have contributed to the readiness preparations. Resources have been developed to support participants in assessing, preparing and participating in FCAS markets.

Further information and resources can be found here:

In addition to IESS, the March release includes enhancements that enable important registration processes related to other NEM Reform initiatives ahead of the May release.

To learn more and get involved with the program implementation initiatives, please visit the NEM Reform Program webpage.


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