What is WEM Reform?
WEM Reform is AEMO’s Program of work to deliver the Foundation Regulatory Framework part of the WA Government’s broader Energy Transformation Strategy which includes:
The Foundation Regulatory Framework includes two subcomponents:
- Improving Access to the SWIS – changes to Regulations and other instruments to implement constrained network access, as well as necessary, consequential changes to the Reserve Capacity Mechanism (RCM).
- Delivering the Future Power System - Modernisation of the Wholesale Electricity Market to enhance power system security and enable new generators access to the network.
For AEMO, WEM Reform means delivering a new WEM that addresses today’s security and market effectiveness challenges to shape a better energy future for Western Australia.
New market rules developed by the Energy Transformation Taskforce will require more than 50 WEM procedures to be developed or substantially re-written by AEMO and 37 (or around 80%) of AEMO’s current WEM systems will require significant change. The WEM Reform Program has been designed to achieve this change through an implementation program consisting of 26 work packages grouped into six workstreams.
WEM Reform will have significant impacts on the way we work at AEMO and for our market participants, and the pace of change will be high, with RCM changes coming into effect from late 2021 and System Constrained Economic Dispatch (SCED) go-live in October 2023.
For more information, view our WEM Reform Fact Sheet: