Settlements Procedures

AEMO Market Clearing Procedure

This procedure has been established to nominate AEMO’s preferred electronic funds transfer facility for the National Electricity Market, Declared Wholesale Gas Market, Short Term Trading Market, Queensland Retail Market, and other payments cleared by AEMO. The procedure has also been provided to assist participants in establishing and operating routine payment processes, and to provide additional information and references.

• AEMO Market Clearing Procedure

NEM Transmission Network Service Provider Payment Procedure

AEMO has established a NEM Transmission Network Service Provider Payment Procedure in order to recover amounts arising from negative inter-regional settlements residues in a timeframe that minimises the impact on the settlement of market participants. The procedure has been made in accordance with National Electricity Rules 3.6.5(a)(4) and 3.6.5(a)(4A) and is effective 1 July 2010.

• NEM Transmission Network Service Provider Payment Procedure

Primary Settlement Nomination for Multiple Participant ID's

AEMO has developed this procedure to enable companies with multiple Participant ID’s to nominate a single primary identifier, which is used for settlement. All other Participant ID’s continue to have statements issued as normal, however all statement amounts are reassigned to the primary identifier.

• Primary Settlement Nomination for Multiple Participant ID's

Early Settlement Payment Procedure

The procedure has been established so Market Participants can elect to make settlement payments on the 19th business day after the end of the billing period (i.e. the business day prior to settlement payment date, referred to as the early payment date). This enables greater flexibility in making settlement payments, and to reduce the risk of payment delays. A Market Participant may also make an early payment in response to a prudential issue.

Early Settlement Payment Procedure - Final Version 1 22 Dec 2009 | filename: 0500-0015.pdf

 

Application of the GST to NEM Transactions

The Goods and Service Tax (GST) was applied to National Electricity Market (NEM) transactions commencing midnight 1 July 2000. GST exclusive pricing has been adopted for the NEM when displaying Electricity Spot Prices.

AEMO is registered for GST, and processes NEM transactions which fall into the various classifications of:

• taxable supplies;
• financial supplies;
• GST Free supplies; and
• no supplies.

For GST purposes, electricity is supplied by the Generators to AEMO and by AEMO to its customers on a principal to principal basis.

For enquiries regarding this document, please contact: Infocentre

Application of the GST to NEM Transactions 16 Nov 2009 | filename: 0520-0002.pdf

 

Application for Reduced MCL

This document provides guidance to Market Participants who elect to use “Reduced MCL”. Participants can request their MCL be calculated using a reduced payment period (14 days instead of 28 days), which effectively reduces the MCL but can increase their risk exposure.

For enquiries regarding this document, please contact: Infocentre

Application for Reduced MCL 12 Oct 2009 | filename: 0530-0003.pdf

 

GST Information Note for New Registrations

As you are aware the GST is applied to most National Electricity Market (NEM) transactions. Below is a GST information note for applicants addressing the:

• adoption of GST exclusive pricing for NEM transactions; and
• need to obtain an applicant's written agreement for AEMO to issue Recipient Created Tax Invoices.

Registration applicants are required to complete and forward two copies of the written agreement for AEMO to issue Recipient Created Tax Invoices.  The zip file contains a template "Written Agreement" and instructions (520-0012).  Once executed by AEMO, one copy of the agreement will be returned to the registration applicant for their own records.

For enquiries regarding this document, please contact: Infocentre

GST Information Note for Applicants 16 Nov 2009 | filename: 0520-0001.pdf
Agreement For The Issue Of Recipient Created Tax Invoices 25 May 2011 | filename: 0526-0006.doc

 

Settlement Estimates & Revisions Policy

This paper sets out the policy for the preparation and issue of revised settlement statements, and AEMO's position with regard to the use of estimated values in the calculation of settlement results.

In particular, this paper sets out AEMO's response to two of it's settlement related obligations under the National Electricity Rules. The obligations relate to the development of and consultation for:

• procedures for estimating settlement results when normal processing is not possible under NER 3.15.12 (c); and
• policy for revised settlement statements under NER 3.15.19 (e).

The procedures and arrangements described in this paper complement the requirements of Clause 3.15 of the National Electricity Rules, and in the event of any inconsistency between the two, the NER will prevail until the paper can be revised through the Rules consultation procedures. Version 1 was published for consultation on 20 February 2001, and closed 9 March 2001. Two submissions were received, and were addressed in Version 2. There were no responses to Version 2 which was published on 28 March. Version 3 is the final product of the consultation process.

To access previous versions please contact AEMO Information Centre.

Please note that references in the paper to the National Electricity Code or NEC should be read as National Electricity Rules. A revised version is currently being developed.

Settlement Estimates and Revisions Policy 16 Nov 2009 | filename: 0530-0006.pdf

 

Settlements Revisions Liability Deed

The following deed is for use when one entity wishes to take liability for the settlement revisions of another, for example in the event of an acquisition. 

Settlements Revisions Liability Deed 28 Jan 2011 | filename: 0536-0007.doc

 

Application of the Bank Bill Rate to Settlement Dispute Adjustments

The purpose of this paper is to outline AEMO Settlement application of v1.0 of National Electricity Rules Clauses:

• 3.15.19(a) Settlement dispute adjustments;
• 3.15.20 Payment of adjustments;
• Chapter 10 Glossary - Bank bill rate.

For further information on this document, please contact: Infocentre

Application of the Bank Bill Rate to Settlement Dispute Adjustments 16 Nov 2009 | filename: 0500-0013.pdf

 

Reallocation Procedures

This document contains the procedures followed by participants and AEMO when lodging reallocation requests. Word versions of the appendices are provided to assist in completing the Letter of Agreement in accordance with the procedures.  The MMS Reallocations User Guide provides practical details on working with the browser interface to lodge reallocation requests.

For further information on this document, please contact: Infocentre

Reallocation Procedure: Energy and Dollar Offset Reallocations 04 May 2011 | filename: 0500-0025.pdf
Reallocation Procedures Appendices 16 Nov 2009 | filename: 0500-0005.doc
Reallocation Information Paper and Examples 16 Nov 2009 | filename: 0500-0012.pdf

 

This document is a user interface guide providing instructions on using the Reallocations System in the Electricity Market Management Systems (EMMS) Web Portal.

EMMS Reallocations User Interface Guide v3.05 03 May 2011 | filename: 0500-0024.pdf

 

This document is a Reallocation Procedure for Swap & Option Offset Reallocations, and was updated on 4 May 2011. Note however that the procedure is not currently active, as AEMO is awaiting the necessary regulatory approvals. Once the approvals have been obtained, AEMO will issue a new version and determine the effective date.

Reallocation Procedure: Swap & Option Offset Reallocations 04 May 2011 | filename: 0500-0026.pdf