The AEMC today released a consultation paper on a proposed rule change to make several improvements to the definition of unserved energy - a concept used in tracking the performance of the national electricity market (NEM). These improvements would provide transparency over the unserved energy calculation and bolster the clarity of the framework that underpins it.

In the national electricity market, the concept of ‘unserved energy’ is used to measure any supply interruptions that consumers experience from a shortage of generation, demand-side participation, or interconnector capacity. Actual unserved energy, as opposed to forecast unserved energy, is a reporting tool that helps market participants to track the performance of the NEM over time, and after the fact.

The rule change aims to achieve two outcomes:

  1. clarify what counts towards unserved energy for the purposes of the reliability standard
  2. promote transparency with regard to how unserved energy is calculated after involuntary load shedding has occurred.

The rule change was submitted by the Reliability Panel off the back of their final report Review of Unserved Energy Definition published August 2019. In this review The Panel concluded that the definition of unserved energy for the purposes of the reliability standard is largely fit for purpose for the existing national electricity market environment.

The AEMC proposes to expedite this rule change on the basis that the rule is non-controversial.

The AEMC invites stakeholders to make a submission on the proposed changes, and this expedited rule change process, with submissions closing 22 October 2020. Written requests objecting to use the expedited process need to be received by 8 October 2020.
 

Media: Kellie Bisset, Media and Content Manager, 0438 490041 or (02) 8296 7813