Rule Change: Completed
Overview
On 10 October 2017 the AEMC made a rule in relation to pricing arrangements during periods of spot market suspension. The final rule simplifies the process for setting prices if the spot market is suspended, and establishes a simpler, more workable market suspension pricing framework.
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On 10 October 2017 the AEMC made a rule in relation to pricing arrangements during periods of spot market suspension. The final rule simplifies the process for setting prices if the spot market is suspended, and establishes a simpler, more workable market suspension pricing framework.
The final rule came into effect on 1 December 2017.
Background
On 25 July 2017, the AEMC received a rule change request from AEMO to amend the National Electricity Rules in relation to pricing during periods of market suspension. The rule change request sought to:
- reduce the number of suspension pricing regimes available and simplify the decision-making process for applying them
- harmonise the price-scaling provisions applicable during periods of market suspension with other price scaling provisions in the NER, and
- allow AEMO to revert to dispatch pricing while the market is suspended, if conditions allow.
This request related to several recommendations made by AEMO in its final incident report for the Black System event which occurred in South Australia on 28 September 2016.
Consultation
A consultation paper was published on 15 August 2017 to facilitate discussion on the rule change request. Submissions closed on 12 September 2017. Seven submissions were received and are available below.
The AEMC considered that the rule change request should be subject to the expedited rule making process. Written objections to the expedited process closed on 29 August 2017. No objections were received.
Documentation
Final
Initiation