Fees and charges

Electricity budget and fees

Fees and charges for Victorian transmission use of system

AEMO’s Transmission Use of System (TUOS) charges recover the costs for the provision of shared transmission network services in Victoria, and are calculated in accordance with the National Electricity Rules.

AEMO publishes its TUOS prices for the financial year in accordance with its obligations under chapter 6A of the National Electricity Rules.

The 2019-20 TUOS prices has been recalculated after 15 May 2019 as a result of data used for the calculation of prices did not match the information previously confirmed by some customers. The revised TUOS prices are published on 31 May 2019.

Modified load export charges for Victoria

AEMO’s modified load export charges (MLEC) recover the costs associated with the use of Victorian assets considered to support inter-regional flows to neighbouring regions. These charges are calculated in accordance with the National Electricity Rules, and AEMO pricing methodology.

Revenue Methodology for Victoria’s Electricity Transmission System

This document establishes how AEMO calculates the amount to be recovered from its Victorian electricity Transmission Use of System (TUOS) charge

Pricing methodology for prescribed shared transmission services

The pricing methodology for prescribed shared transmission services was approved by the Australian Energy Regulator (AER) in late March 2014 for the period from 1 July 2014 to 30 June 2019.

AEMO has not submitted to the AER a proposed pricing methodology for a period beyond the expiry of AEMO’s current approved pricing methodology. Instead AEMO sought to have the current approved pricing methodology continue to apply to allow AEMO more time to consider the impact on transmission network services and prices of the many recent changes to the way in which electricity is produced, supplied and consumed in the Victorian declared shared network and across the National Electricity Market (NEM). AEMO intends to consult with relevant stakeholders before submitting a new pricing methodology that accounts for these issues.

Accordingly, AEMO proposed an Undertaking to the AER under section 59A of the National Electricity Law to continue to set prices for shared transmission services in accordance with the terms of the approved pricing methodology for the period 1 July 2014 to 30 June 2019, for the period commencing 1 July 2019 and ending on 30 June 2021. The AER subsequently approved that Undertaking.

AEMO then requested a further one-year extension to the Undertaking to allow more time to consider issues in a rapidly changing network environment.

The AER also approved AEMO’s proposed one-year extension to the Undertaking.

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