Regional Benefit Directions Procedures

Market National Electricity Market
StageDraft Report
ConvenorAEMO NEM
Accepting submissions?No
Submissions close07/11/2023

As required by National Electricity Rules (NER) 3.15.8(b2) AEMO is consulting on the proposed Regional Benefit Directions Procedures (the Procedures) in accordance with the expedited rules consultation procedure in NER 8.9.3. The Procedures have been developed in accordance with NER 3.15.8(b2) and they describe the process and principles AEMO proposes to apply when determining the relative benefit each region receives from the issuance of a direction for the purpose of compensation cost recovery.

AEMO considers that the expedited rules consultation procedure is appropriate because the proposed Procedures are expected to have negligible impact on the cost recovery of directions compensation under NER 3.15.8(b) and (g), as they reflect AEMO’s current methodology and principles when determining the relevant benefit each region receives from the issuance of a direction for energy and other compensable services. If stakeholders consider the proposed Procedures are not a Non-material Proposal, they may email by 5.00pm (Sydney/Melbourne time) on Tuesday 24 October 2023 to request a change to the standard rules consultation procedure, in accordance with NER 8.9.3(b).

AEMO’s process and expected timeline for this consultation is outlined below. Future dates may be adjusted and additional steps may be included as required. AEMO will endeavour to publish the final Procedures prior to 19 December 2023 if possible.

Consultation timeline

Indicative date

Proposed Procedures published

10 October 2023

Submissions due on proposed Procedures

7 November 2023

Final Procedures published

19 December 2023

AEMO invites stakeholders to provide written feedback on the proposed Procedures, in particular:

  • Whether the proposed Procedures reflect a fit-for-purpose methodology to determine regional benefit factors for energy and other compensable services directions.
  • Any suggested alternative drafting.

Stakeholders are invited to submit written responses to by 5.00 pm (Sydney/Melbourne time) Tuesday 7 November 2023.   

Prior to the due date for submissions on the proposed Procedures, stakeholders can request a meeting with AEMO to discuss any issues in respect of the Procedures, or more generally, via email.

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